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    How To Make Money With Music Licensing

    how-to-make-money-licensing-music

    Interesting fact: If you are a music writer, you need to get your song played 1,000,000 times on Spotify to make $3,000 (which very few songs ever hit).  Or you can license your song just ONCE and make $3,000!

    A lot of starving artist hit me up and ask for copywriting/business advice....and sometimes I'm not super sure how to help them since the music industry is not my specialty.

    However I recently came across a woman named Joyce Kettering who is a musical artist that's been able to license and sell a bunch of songs. Like....A LOT of songs.

    joyce kettering music licensing

    Here's some of the 2016 full-year stats Joyce had:

    • She wrote and produced 110 music tracks.

    • 52 of those 110 were placed in music libraries.
    • 100+ total licensed songs from just 2016 till mid-2017!!

    These are extremely impressive numbers....so I'm gonna get off the keyboard, and let Joyce start typing from here on out:

    ---Joyce Starts Talking Here---

    I’ve written over 100 songs. I don’t perform live, I don’t have a fan base. I don’t know anyone in the music industry.

     

    The point is: I like to sit at home and make music.

    I am NOT interested in dragging my gear around the country to perform live and entertain people when I don’t feel like it.

    Don’t get me wrong, I’d love the attention! It just seems like a lot of effort I’m not prepared to put in.

    My music is all over the place:

    • I write electro-orchestral tunes in the vein of Woodkid and Hans Zimmer.
    • I write ambient, atmospheric tunes influenced by Air and Radiohead.
    • Once in awhile, I try to write happy music but rarely make it work.

    Half the time I just don’t get social media.

    So I hate performing live. I don't have a "genre" to stick to. I don't know marketing super well.....

    As you can see, I don’t really have what it takes to build my “tribe”, a loyal following of listeners who will come to all my shows, buy my albums and support me in any way they can.

    Still, I manage to make lots of money making music.

    How?

    I license it.

    That means that in exchange for the right to use my music in a project, people and companies give me money.

    Given my profile as a non-gigging musician, music licensing is my best bet to make a decent living with music.

    BUT I’d argue it’s the best bet for 90% of musicians.

    Why? Well.... We all know album sales are not what they used to be and the money from streaming platforms isn’t exactly rolling in...

    I laughed when I saw my Spotify streaming earnings for the first time!

    $0.18 in the bank!

    That was in March 2017. I had released 2 EPs and 2 albums in November 2016, 4 months prior:

    joyce-kettering-music-licensing-albums

    Over a year later in 2017 I’m up to….

    $1.69 !

    How did I make that huge jump in earnings I hear you ask ;)

    Well, from April 2017, I started driving traffic to Spotify:

    spotify-units-stats

    After over three month of driving traffic to Spotify, I have $1.69 in the bank.

    So that’s a $1.51 return on investment for asking my small following (essentially friends and family) to listen to my music on Spotify instead of any other platform.

    Sweet! :)

    What a great time to be alive!

    Now I can hear you protest that I don’t have any fans and therefore very few streams and that I could try other streaming services to earn more.

    Well, that’s incorrect.

    First of all, all the streaming platforms pay less than peanuts (literally):

    music-pays-peanuts

     

    I used the statistics from my distributor (Distrokid) to calculate the average stream earning per platform.

    This is what I got:

    streaming-music-pay-scale

    Whichever platform you look at, it’s a long shot to make a decent living that way.

    Second, it’s true my streaming numbers are not very impressive.

    9 months after releasing 2 EPs and 2 albums:

    15,098 streams = $49.69

    streaming-music-money-chart

    They're also pretty average when compared to other indie musicians.

    Your streaming numbers would have to be EXCEPTIONAL if you were to count on streaming income to make a living.

    1,000,000 streams on Spotify will get you approximately $3,000 in royalties:

    spotify-streaming-payout

    I need 1 MILLION plays to make about $3,000!

    Can you even hit that target in a whole year? I’m not even sure I could make it in TEN years!

    So unless you're Bruno Mars or Taylor Swift, it's unlikely you'll make significant money through pure music streaming.

    Enter the Money-Maker Known As Music Licensing:

    Here are 6 different ways you could make $3,000 with music licensing. It might take you a whole year when you’re first starting out but it certainly won’t take you 10 years to get there!

    make-money-from-music-chart

    By getting a song licensed in just ONE advertisement you can pull in $3,000+.

    Now doesn’t that seem much more achievable than 1 MILLION streams on Spotify?

    Instead of aiming for a HUGE number and not knowing where to start, you could aim for a much more manageable number of sales.

    In fact, they are a LOT of other projects that could use your music AND the sales prices above are fairly conservative (as you’ll find out in a little bit).

    So now you know WHY music licensing is a great income stream for musicians.

    Let me show you HOW you can get your music licensed.

     

    This is what I did to license 52 songs last year:

    I've licensed a lot of my songs and made more money off my music than most musicians could ever hope for.  Here's the exact steps I took:

     

    1.) I wrote a LOT of music in a LOT of different genres:

    When I first started exploring the world of music licensing, I read or heard somewhere that you needed about 100-200 tracks to make a decent living through production music libraries (I’ll explain what those are later).

    At that point, I didn’t have much going for me:

    • I had major writer’s block when it came to lyric writing.
    • The music I wrote didn’t fit any particular genre of music and varied greatly from one track to another.
    • I wasn’t very good at music production.

    This is how I solved everything:

    • I gave up on vocals and focused on instrumental music.
    • I wrote a lot of everything, experimented different genres, trying unfamiliar styles that would “sell.”
    • I embraced the notion that quality comes with quantity (i.e. the more I produce music the better I will be at producing music).

    This is what I learned:

    • There is a LOT of demand for instrumental music and ZERO need for songs with mediocre vocals.
    • I can write happy advertisement-ready music but I don’t enjoy it and I’m more prolific when I write electro-orchestral trailer music or sci-fi atmospheric music.
    • I can write really good music really fast. Knowing that is really helpful when there’s a big deadline looming.

    Could I make more money if I wrote great lyrics and performed great vocals?

    Possibly. A colleague who has all that now only submits instrumentals because he realized his versions with vocals never sell.

    Could I make more money if I stuck to one genre?

    Probably. It’d be easier to market my work and stand out from the crowd (provided I went super-niche).

    Could I make more money if I persevered in writing happy music?

    Maybe. Happy music is perfect for high-paying advertising jobs BUT it’s hard enough earning a living as a musician. Might as well enjoy it and write music you enjoy!

    With my music recorded, mixed and mastered…

    https://media.giphy.com/media/tesOpJlQwEjQs/giphy.gif

    ... I started looking for places who might be happy to use my music and...

     

    2. I got 50+ tracks working for me in production music libraries:

    If you’re just starting out and have ZERO experience and network in the music industry, getting your music in a production music library is a great first step.

    Production music libraries are platforms that curate music with licensing opportunities in mind.

    So their role is not to promote music to venues or potential fans, they don't really care about that, it's not their business.

    The focus of music libraries is to make your tracks available for licensing to potential customers like ad agencies, YouTubers that need music for their video, videographers, indie filmmakers, music supervisors on TV shows (a LOT of reality TV shows out there! :p ), etc.

     

    Navigating production music libraries can be tricky because they’re all different and you never really know which ones you can trust or not.

    When I first started trying to get my music licensed, I just submitted lots of music to lots of music libraries, without really paying attention to anything except making sure I didn’t tie down my entire catalogue (about 10 tracks at the time) to an exclusive deal.

    Note that I still manage to make a big mistake a tie down 4 of my best tracks to a 5 year exclusive deal. I have gotten ZERO licensing $$$ from these 4 tracks. 1 of those consistently outperforms all my other tracks on streaming platform so I KNOW it’s good :)

    https://soundcloud.com/madlassmusic/all-we-need-instrumental

    Overtime, I’ve refined my approach and have gotten better at identifying serious music libraries that can get me good licensing opportunities.

     

    I ask myself 3 questions when I submit music to a library:

    1.) Can being associated with them damage my “brand”?

    In truth, at this stage I have no “brand” BUT I don’t want my best music on crappy royalty-free platforms selling tracks for $1 a pop.

    For those libraries, I’ll use a pseudonym and submit music I’m not especially proud of. That doesn’t mean it’s bad. It’s usually just meh.

    Why the pseudonym when nobody knows my name?

    Well… if I ever do make it to the next level and get some bigger opportunities, I don’t want to be perceived as low-quality.

    2.) Do they require exclusivity for the tracks I give them?

    I don’t necessarily mind granting exclusivity on some tracks (you tend to get paid more for those) but I always make sure that I have plenty of tracks left available for non-exclusive deals.

    3.) Are they worth my time?

    Basically, do they pay well.

    For one track accepted to a music library, it'll take about 10-15 minutes to set it up properly (with a good description, relevant keywords and track information).

    I want to make sure the music library will be worth my time before I submit 50 new tunes.

    Let’s take a few examples:

    selling-music-tracks

    Now that I know a few musicians who are also pursuing music licensing, I also ask around to find out if anyone has anything good or bad to say about a particular library.

    Here are a few examples of production music libraries that will hopefully give you a better idea of what I'm talking about :D

    • Audiosparx.com (fairly big player that will give you a good idea of all the admin that comes with licensing, i.e. writing a description for your song, finding the right keywords to increase its chance of appearing in the search results, etc.)
    • Jinglepunks.com (big player, lucrative but selective).
    • Premiumbeat.com ("race to the bottom" type of library in the sense that they really sell their catalogue for cheap...)
    • Railroadtrax.com (small boutique library, competent & super friendly)

     

    This is what I didn’t do (which saved me a lot of time licensing my music):

    I DID NOT Get my music copyrighted.

    I don’t waste any time, money or energy getting my music copyrighted.

    Why?

    There are more than 10 hours of music being uploaded onto Youtube, Spotify, Soundcloud and other listening platforms every MINUTE of every day.

    What are the chances of MY music being exactly what some little leach needs?

    2. Even if I did copyright all of my music and someone stole one of my songs, I’d only start to care if they made a shit ton of cash with it and I didn’t get a dime.

    In fact, it’d have to be so much money that spending years in court making advance payments to lawyers would be worth it.

    Again, highly unlikely.

    3. If someone is making shit loads of money with my music, that’s good news!

    If Beyonce’s next hit single uses one of my instrumentals, here’s what will happen:

    • I’ll get my head out of my ass and realize SHE made it a hit and the music has very little to do with it.
    • I’ll record a video demonstrating that the instrumental Beyonce’s singing to was actually written by little me.
    • I’ll post the video everywhere to promote my music licensing platform, basically saying: Beyonce loves my music, it must be good!

    madlassmusic-chart

    Now, of course, it’s your call and it’s your responsibility. I’m just spouting off my opinion here. I’ve decided that, for my music, copyrighting is not worth my time and money. I may live to regret it.

    By all means, get every single one of your songs copyrighted if you like. Just make sure you’re not using this step as an excuse not to move forward, like a wantrepreneur creating an LLC before having a product.

     

    I DID NOT I Pay to get my music heard.

    Another no-no for me is paying to get work.

    I don’t pay any subscription service like Taxi, Songtradr or Music X-Ray.

    These are what I call  “opportunity platforms”: websites that curate music licensing opportunities.

    The difference with a production music library is that a library will take your tracks and put them on their website where potential customers can browse, search and find them.

    On the other hand, opportunity platforms are letting you know about what their customers are CURRENTLY looking for and YOU can put your own music in front of those customers.

    It goes a little bit like this...

    production-music-libraries

    Opportunity platforms can be great because you know exactly what kind of tune to pitch.

    The flipside is they know it and most have you pay them for their service.

    Fair enough I guess, they ARE providing you with information you don’t have easy access to.

    There’s also an argument that by asking for a small submission fee, they ensure the quality of submissions are VERY GOOD.

    My view is there are a LOT of businesses out there taking advantage of people’s passion projects. One of the most common passion projects is music.

    Until you have a really good idea of what kind of music you want to write and you can clearly see in what type of project that music would work, I suggest staying away from paid opportunities.

    I think you’ll learn a lot more by doing it yourself and looking for opportunities yourself:

    music-libraries-breakdown

    There are others that are less expensive (for example Music Clout offers unlimited submissions for the platinum members who pay $179/year).

    Songtradr is another one. The free plan gives you 35 credits per months. For $7.99/month, you get 250 monthly credits. One submission usually costs 2-5 credits so that’s about 840 submissions for $95/year.

    Much better...

    I only use free stuff. Maybe that’s a mistake but I don’t think so.

    I’ve asked musicians from varying backgrounds and at various stages of their careers to share their experience with these services....

    Most have been bitterly disappointed. Many feel like they’ve been scammed after spending more than $200 with nothing to show for it.

    In fact, only 2 out of 30+ musicians who got back to me got a paid gig through these platforms.

    Both are very experienced and accomplished musicians. One of them I know has also landed plenty of other licensing opportunities without paying a dime.

    All of this suggest to me that you are better off submitting your music to free opportunities, at least until you have proof that your music is good enough by landing your first placement.

    It seems these paying “opportunity platforms” can be lucrative but you’ll mostly be wasting your money if you start out that way.

    One of the free platforms I use is Songtradr. They got me on 4 small licenses in the past few months.

    Let’s have a look at Songtradr’s pricing tool. Songtradr are a curator of licensing opportunities. They’re basically a platform where music composers can upload their tracks and submit music to licensing opportunities.

    music-user-controlled-pricing

    music-licensing-deals

    If you’re a little geek who likes playing with figures like me, you can go ahead and register to Songtradr for free and have some fun with their pricing tool!

     

    What I’m GOING to do (to license even more music):

    1.) Get up to speed:

    Too many tracks that are not working for me in music libraries yet. Need to upload and set up new tunes.

    2.) Transition from amateur to pro:

    In the past few years, I spent a lot of time experimenting with music and exploring different genres.

    I didn’t care about quality too much as I focused on writing, recording and producing a maximum number of tracks possible.

    That has served its purpose. I am now VERY confident in my music production skills AND I know I can write good music in different genres.

    Now is the time to niche down and focus on high-quality only.

    I’m taking down all the mediocre tunes on my licensing platform, keeping only the really good ones that wouldn’t sound out of place on a TV show, in a documentary, in a video game.

    I am raising the prices, showing how hard I worked instead of how desperate I am for my music to work :)

    3.) The Direct Sales Approach

    With my tunes set up and working for me in production music libraries, I feel going direct to the customer is how I will get to the next level.

    If you’re just starting out, you might want to try that approach at the same time as you contact music libraries. I really do think that we all underestimate our network and you might very well have a few rapper friends or Youtubers that could use some music and wouldn’t mind paying $20 for the privilege. You might know someone who works in an ad agency and can put music in front of a supervisor.

    It’s not the approach I started with but it’s definitely the approach I’m going to be focusing on in the next few months.

    Why?

    Well, no more splitting 50/50 for a start :)

    No, really, my music is already set up in a few key libraries that I trust. I’ll be adding a few new tunes here and there to show I’m still active and avoid dropping down their internal SEO ladder.

    With my catalogue working for me in production music libraries, I’ll be focusing on getting deals over the line by going direct to my customer.

    After a couple of years writing a LOT of music to make sure I had 100+ tracks for production music libraries, I’ve figured out what I enjoy writing and what I’m best at.

    With that question finally answered, I have a clear idea of who my ideal customer is.

    And with THAT question finally answered, I’m ready to go direct and license more music!

    In a year’s time, if Neville’s up for it, I’ll let you know how that went ;)

    Sincerely,

    Joyce Kettering

    joyce-madlassmusic

    My Music Website: Madlassmusic.com

    My Teaching Licensing Website: CreativeAndProductive.com

    My SoundCloud Channel: SoundCloud.com/madlassmusic

     

    Download this entire post for your files:

    GGReqC36FEkUuKJTryAt-lAVjIveE6B8FNMh9bEp

    --Download and keep in your own files--

    --Share with musician friends--

    --Download in any format--

    P.S. Joyce shares even more in-depth instructions on licensing music (and her step-by-step process) over at MadLassMusic.com

    P.P.S. Have any questions about music licensing for Joyce? She'll answer any questions about her process, marketing, and music here!


    User Feedback

    Recommended Comments



    Guest Vino Cleezy

    Posted

    Again, thanks for sharing this post, Joyce! I actually read every word where I typically drift off somewhere after the third sentence. Your writing style is conversational and held my short attention span. It's inspiring to hear you found your 'voice' and developed a process to create and distribute your work. I'll mos def be following...
    Link to comment
    Guest Joyce Kettering

    Posted

    Thanks Vino, I'm glad I didn't bore you to death! :)))
    Link to comment
    Guest Neville

    Posted

    Glad you liked this Vino! I personally thought it was not only fun to read, but super educational. Had no idea this whole world works!
    Link to comment
    Guest barbara berger

    Posted

    Hi Joyce. Very well written article. I will be sure to forward it to my songwriter / composer friends. As what Vino mentioned, I read the entire article which is extremely rare. I am trying to do an indie music website myself and I think ALL Indie Artists should become aware of your stats! Thank you Neville and Joyce for sharing. Very inspirational from a Kopy example sense but I think ALL songwriters/composers will feel a lot better reading what you have to say...ie. there ARE ways to still earn income from your music.

    Barbara

    P.S. I am a true believer in T-shirts. I hope I can win or purchase one. There is no better way than showing your appreciation from a product or course or band than to endorse it with a t-shirt!

    Link to comment

    Thanks Barbara! I'm glad you enjoyed the article and thanks for sharing with your songwriter/composer friends!! I really appreciate it :)

    I don't have any merch on offer at the moment. I might look into it in the future though. It could be fun!

    Link to comment
    Guest Jonathan Kiilerich

    Posted

    Hey Joyce.

    Great post!

    Awesome to see, that it's possible to make money on your music, without having to sell yourself in the traditional sense.

    Link to comment
    This is really interesting. I never thought that you can make 'good' money making and selling music (or anything else you create) without building up a following and audience first or knowing anyone in the industry (which can take years of trial and error). A nice reminder that just because something has been done a certain way, doesn't mean you have to follow the same path.
    Link to comment
    Joyce, you did a great job. Neville knows how to do this and he's not been doing it as long as I have but I'm always learning from him, and that's the power of the internet and finding the right people to help convey your thoughts and ideas. When I read this I thought, "How in the heck can I use what they've told me to make more money and help more people at the same time. There's something very special about people who can take a few words and create something that connects with a certain group of people. Emotional at first, then logical after they buy. Good stuff. You guys rock. Doc Carney P.S. The format is particularly good.
    Link to comment

    I have a few friends who are professional musicians who have been riding the how-am-I-gonna-pay-rent / it's-not-champagne-if-not-from-france roller coaster. It's a tough / happy life, looking closely from the outside.

    I'm forwarding this link to them because I want them to buy more drums if they want, or opt out of Macaroni & Cheese dinners, and me just playing their songs in my car while I'm driving people via rideshare ain't gunna do it. Maybe this will.

    Link to comment
    Guest Mike Bass

    Posted

    Joyce, you're a legend, thank you for this! (and thanks, Neville!) This is exactly what I've been thinking about for the past year with my music, but wasn't confident in which step to take first with licensing. I'm going to implement and get back to you.
    Link to comment

    That's music to my ears Mike ;)

    What's the first step you're going to take? Maybe I can help.

    Link to comment
    Thanks Betty! What kind of music do your friends write? Maybe I can point them to a music library that's specialized in their genre?
    Link to comment
    Guest Mike Bass

    Posted

    Glad to hear it! I was initially considering starting with what you ended the post with -- selling directly through my website -- but I think you're right, just getting about 100 underscore tracks down and using the established music libraries first sounds like a better way to gain confidence with personal producing without using studio time.

    One thing that has always held me back is that I'm an acoustic guitarist with very little keyboard experience, so I've questioned whether to go super niche and only cater to people looking for acoustic tracks or get a keyboard to broaden the genres I can write for. What instruments did you start with?

    Link to comment
    Guest Robert

    Posted

    Hi Joyce,

    My wife, Sue Horowitz http://www.suehorowitz.com/folk-singer/ has been doing Jewish spiritual music for many years but recently did a folk/singer-songwriter album that might have wider appeal. Could you suggest a library to her with whom to work?

    Thanks,

    Rob

    Link to comment

    This is exactly the kind of thing that more people could do but have no idea about. Everyone spends so much time trying to be a really big fish in a crowded ocean that they don't even realize they can be a medium sized fish in a fishbowl and do really well. Not only that but it sounds like you actually enjoy what you're doing and can do more than just support yourself. Isn't that what we all want?

    While I love music and licensing has no bearing on me personally, this really opened my eyes and showed me that I can look at my market obliquely to figure out what works for me personally.

    Thanks to you both!

    Joe

    Link to comment
    Sooo - this has to be the most informative, well crafted post I've ever read to from start to finish, shared with musicians and left a comment. I've never left a comment anywhere. Ever. Well done!
    Link to comment
    Guest Justin

    Posted

    Hey Nev & Joyce,

    Awesome post. I'm a professional musician as well, but going down the "traditional" band route, slogging gear across the continent and slowly building a fan base.

    We (my band) have almost 4 million spins on Spotify, 95% of those coming from just two songs, and I can also confirm the $3,000 per million benchmark... actually even less, since once you start getting more spins, your payout per spin is lower. You'll get $3,000 on your first million, but closer to $2,000 on each of your next two million streams. I'd imagine it continues to go down from there.

    We've also had a bunch of great licensing placements, including spots in Monday Night Football, Parks & Recreation, Suits, and a few others I'm forgetting at the moment. All of those pay in the $1,500 - $5,000 range... which is great for material that you're making whether or not you get a placement.

    What Joyce is doing is super intriguing to me; I've been so ingrained in the route I've been pursuing that I was totally blind to these little licensing things where quantity reigns supreme. Banging out three or four $50 "songs" in a day could be pretty easy once you're used to the method of production.

    For anyone interested, we're called The Blue Stones. If you have any questions send us a message on Facebook and mention this article, I'd love to help you out.

    Joyce, if you do a podcast or anything and want to have someone from the "traditional" side talk about licensing, or anything in particular from my side of the fence, let me know, would love to do that.

    Link to comment

    Hey Rob,

    First off, what a name for a musician! Vladimir Horowitz is my favorite pianist of all time! :)

    Railroad Trax is a library I love for singer/songwriters. The license agreement is a 50/50 split, non-exclusive.

    Audiosparx is always helpful for people starting out because it forces you to find relevant keywords and track descriptions. It's very admin heavy but worth the effort in my opinion.

    Looking at your wife's website, I have a couple of questions and suggestions:

    1. suggestion: I'd like to hear more. Maybe she could embed her Spotify playlist....

    2. suggestion: for licensing purposes, I think focusing on the Jewish spiritual music could be GREAT! Not as common as folk/singer-songwriter...

    3. question: is she getting a lot of traffic on her website? Would it make sense to have the music available for licensing on there? (The answer can absolutely be NO and NO ;)

    4. question: are there any niche Youtube channels she could get in touch with to provide music?

    Joyce

    Link to comment
    Aaaaah that's awesome! Love it Roxy and thanks for sharing! It means a lot :D
    Link to comment

    Hey Justin,

    I'm listening to your music as I type.... seriously cool :)

    Your Spotify numbers are VERY impressive! Well done!

    I'm curious... Is there an obvious reason those two have way more plays than the others? Were they featured in a playlist?

    Yeah it becomes pretty easy and always fun to write a lot of music really fast. The trick is to always invent new constraints to work with ;)

    I like using Brian Eno's "Oblique Strategies" which is a deck of cards with creative constraints.

    You can purchase on Eno's website: http://www.enoshop.co.uk/product/oblique-strategies.html

    Or use an online generator like this one: http://stoney.sb.org/eno/oblique.html

    Don't have a podcast (yet!) but would love to talk to you and maybe do a video interview for my website.

    Feel free to get in touch at joyce@creativeandproductive.com

    Link to comment

    Yeah... and sometimes the life of a medium sized fish is less taxing than that of a big fish :D

    On a side note, licensing is a pretty elegant profit-making machine in a lot of industries, are you sure your market couldn't use a bit of it? ;)

    Link to comment
    Guest Justin

    Posted

    The song Black Holes (Solid Ground) is on a bunch of Spotify official playlists, yeah. The other song is one that's been featured in a bunch of TV shows so those spins came from people hearing the song after hearing it on air.

    Cool, with definitely send an email! Cheers and thanks again

    Link to comment
    Guest Ed Hamill

    Posted

    Loved Joyce's article! How does she record? Home studio? Or what? Thanks, Ed Hamill
    Link to comment



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