How to Make Money on SoundCloud? Guide to Making Money on SoundCloud

In the quickly changing digital landscape, SoundCloud has emerged as a crucial platform for producers and music fans. With 140 million users, it is a very well-known platform that even outstrips Apple Music. People develop their careers by using SoundCloud. Though not everyone is aware of all the strategies, everyone is fighting for the top spot on this platform by accumulating more fans and attention.

However, many artists still have the same question: Does Soundcloud pay artists? SoundCloud provides a number of ways to monetize your content, including SoundCloud for Artists, a program created especially for musicians. But the majority of users miss out on chances to make money from their content.

To help musicians get the most out of SoundCloud, this guide will outline the SoundCloud payout structure, look at different monetization techniques, and offer advice on how to maximize their earnings.

Understanding SoundCloud’s Payment Structure

It’s crucial to comprehend the general operation of this system before delving into all the specifics from SoundCloud streams to money. Unlike services that charge a fixed fee for every stream, SoundCloud pays artists through a fan-powered royalties model that is controlled by its users.

Let’s break down this concept further.

• What Are Fan-Powered Royalties?

• How Much Does SoundCloud Pay Per Stream?

• Maximizing Your Earnings on SoundCloud

• Comparing SoundCloud with Other Platforms

• Promoting Your Music Effectively

What Are Fan-Powered Royalties?

In 2021, SoundCloud declared that it would transition to “fan-powered royalties.” Fan-powered royalties are unique to SoundCloud and make artists’ earnings more personalized. Unlike other high-paying music streaming platforms, there is no royalty pooling or pro-rata distribution to artists.

So, how do SoundCloud artists get paid? Their earnings are determined by dividing the total amount of time fans spend listening to their signature SoundCloud recordings by the total amount of time fans spend on SoundCloud rather than by a set rate per stream.

According to SoundCloud, a fan-powered royalties payout structure benefits independent artists more than megastars. In short, SoundCloud’s compensation strategy is designed to put the artist-fan relationship first rather than the rights holder with the biggest market share.

So, if a fan only listens to one artist, that artist will receive most or all of the net subscription or advertising income that SoundCloud Monetization generates from that action. 

How Much Does SoundCloud Pay Per Stream?

The platform has several paying rates for creators. It’s important to note that SoundCloud can monetize artists’ content only in the following countries: the US, UK, Ireland, France, Australia, New Zealand, Canada, Germany, and the Netherlands.

The most accurate range for each stream is $0.0025 to $0.004, although this varies by region. So, how much does SoundCloud pay for 1 million streams? If we do the math, you can earn up to $4,000 per month using SoundCloud’s monetization scheme if your song receives one million audio plays each month.

Listening time directly correlates with your earnings in the SoundCloud paying model. Nevertheless, these factors also affect the overall amount of money you receive.

• Level of Engagement: When listeners do more things like share, discuss, and like, it can lead to more earnings.
• Location of the Listener: Streams from nations with higher ad rates generate more money. A US-based stream, for instance, will often fetch a higher price than one originating from a country with less ad income.
• Ad consumption: The revenue created by adverts is added to the general pool and split among the artists. Earnings are significantly impacted by how engaged your fans are with adverts.
• Subscription status: SoundCloud Go+ subscribers typically generate more money than non-subscribers since popular SoundCloud users pay to remove ads from their streams. However, even if non-subscribers listen to advertising, they still help the artist earn money, although a smaller amount.

It’s important to remember that while SoundCloud’s payment system allows musicians to make money off of their work, your success on the platform is also influenced by the quality of your music, marketing campaigns, and the general demand for your genre. To boost your SoundCloud earnings, you should always keep these things in mind and strive to promote your music.

Maximizing Your Earnings on SoundCloud

Artists can make money on SoundCloud in several ways. Let’s get into it.

Monetization Options Available

SoundCloud For Artists’ Monetization

To learn how to get paid on SoundCloud, you must first obtain SoundCloud for Artists. With the help of this integrated program, users can monetize their tracks. Once you are considered eligible, your income will depend on how many streams you receive.

Artists can choose what content they want to monetize. You can visit this page for detailed instructions on how to do it. Nonetheless, you can generally do the following:

1. After logging in, access the SoundCloud for Artists dashboard.
2. Choose the track you want to monetize.
3. Enable monetization.

You must have a SoundCloud Artist Pro account in order to receive payment through the SoundCloud For Artists Monetization program. It is a paid service that costs $9.99 per month or $119.88 per year. It comes with a bunch of additional features like:

• The ability to store as many tracks as desired.
• Access to comprehensive statistics and sophisticated insights.
• Improved upload speed and the ability to schedule releases.
• Higher potential for promotion.
• The capability of swapping out tracks without affecting existing locations.

However, the ability to distribute your music across several well-known streaming platforms is one of the biggest benefits. Additionally, you’ll be the first to learn about exclusive partner agreements that could further boost your earnings.

Use Ads

Since the pay rate per 1000 streams is low, artists look for other ways to make more money. When users listen to your tracks, they will hear ads, generating additional revenue for you. If the song also contains an embedded commercial, you can expect an even larger increase in your earnings. So, the question is: how much does SoundCloud pay for ads? It depends on various variables (the total number of listens, the average number of listens, etc.), so every ad will have its unique pricing.

Advertisement offers will start rolling in later on when you’ve established yourself as an artist. That means there will be more ads in your songs, and your income will keep going up. You can pick what to promote based on what your audience likes. If your fans love the things you promote, you may deepen your partnership with the company and provide them with exclusive deals.

Connect SoundCloud to Sellfy

How to make money on SoundCloud with third-party tools? Connect your music profile to Sellfy, an e-commerce network for creators, to sell your tracks as digital products. To do that, you’ll need to make a profile with a password and email address. After that, add items to your cart and select a subscription plan (the first two weeks are free).

Because songs are considered “digital products,” you’ll need to provide a description and a link to the song or album. Make sure to include the product’s name, some details for the clients, and the price. Also, add a picture to the preview. This will help people find your music, among other similar items.

The fact that Selly may be customized is an additional perk. With Store Customizer, you can make your profile stand out by adding photographs, changing the background color and pattern, and creating unique designs. Last but not least, make sure you upload your payment info to Sellfy before you promote your products. Choose between PayPal and Stripe.

Make sure to connect your Sellfy profile to your SoundCloud profile description. Users will know there is an alternative site where they can receive exclusive music once they see it.

Add a Buy Link

Can you make money off SoundCloud apart from streams and ads? Absolutely! You can add a link to a donation page, songs, or playlists that cost money. If listeners wish to show their support or listen to extra music, they should click the link and pay. It is unnecessary to name this link “Buy Link” in its exact form. You have the option to modify its name when you subscribe to SoundCloud for Artists.

However, this approach will only work if you have a sizable audience. Adding a buy link might not be the best idea while you’re just starting on the platform. You may want to invest in the promotion to establish a strong presence and grow the listener count first.

Strategies to Increase Stream Counts

You should take into consideration the following tactics to improve the number of streams and your income on SoundCloud:

Create a Compelling Profile

Listeners’ initial impression of your profile greatly affects their decision to play, follow, or ignore it.

So, first of all, keep your SoundCloud username consistent with your other music platforms to help people find you. Additionally, use the same picture for all of your profiles or pick one that is similar to them. The header image is an enlarged copy of your photo. You want it to reflect who you are as an artist and be in line with your present style.

The next important step in making a profile is writing the bio. Avoid repeating someone else’s description, as it may come across as clumsy or exaggerated. Instead, introduce yourself and your abilities in a succinct and understandable manner. This description is essential if you are just starting out.

Last but not least, add links to your website, social media profiles, and any other streaming services you may be using. More people will be able to find out about this and contact you as a result.

A good example is Kehlani’s profile. She is easily recognized by the header and profile pictures. Additionally, links to her contact details and social media accounts were provided.

Use SoundCloud’s Promotion Tools

SoundCloud’s self-service promotion tool enables you to promote your tracks and increase streams. You can promote multiple tracks simultaneously with the SoundCloud Artist Pro plan. Here’s the procedure. Choose targeting options that align with the demographics of your fans. It includes information about location, device age, gender, and other factors. After that, you can promote your music to the venues where you wish to play live or pique the interest of fans in your genre with upcoming albums. Over time, it will increase your visibility and fan base.

Be Consistent

Remember that the secret to success is consistency. You earn people’s trust when they are aware of what to expect from you. Make frequent appearances on SoundCloud, share your most recent songs, and interact with your fans. Keep in mind that timing is just as crucial. There isn’t a single posting schedule that works for everyone, though. Thus, monitoring your audience’s most likely online times is the best way to make sure your new music reaches them as soon as possible.

Eventually, this will help you become recognized as an expert in this area, which will help you maintain your position in the music business and perhaps even draw in influential listeners.

Keep Attention to Analytics

Monitoring analytics is a smart way to elevate your streams. With SoundCloud analytics, you can get valuable insights into your listeners’ habits, their geographic locations, etc., and ensure people interested in your music see it. By signing up for SoundCloud for Artists, you can have access to premium metrics like:

• Information about your top listeners
• Locations of your biggest fans
• Channels that promote your profile the most

Comparing SoundCloud with Other Platforms

The amount of money you make from sharing your music depends on your chosen platform. Although a lot of people focus on the variations in per-stream compensation, there are other factors that will affect your success as well. You should also consider the platform’s community and long-term growth prospects, as well as how it encourages discovery. Let’s compare SoundCloud to other big names in the industry.

Pay Per Stream Rates Across Platforms

How much does SoundCloud pay per stream rate differ from its biggest rivals? We’ve included a brief comparison below:

Despite paying less than the major players, SoundCloud is still popular due to its user-friendly approach and fan-focused business strategy. For musicians with a devoted fan base, particularly with premium subscription plans, this translates into more money for each fan.

Unique Features of SoundCloud

One of the main reasons for SoundCloud’s popularity and success is its unique features:

Upload and Share Music

SoundCloud eliminates nearly every obstacle to online music-sharing platforms by allowing anyone to post up to three hours of tracks for free. Most music DSPs, including Spotify, Apple Music, and others, still require artists to collaborate with distributors who typically charge a monthly fee. Alternatively, SoundCloud provides a more collaborative and open environment. The majority of the songs on the platform are self-uploaded by independent musicians. Once uploaded to SoundCloud, it is accessible to fans, other artists, and anybody else. Artists can use this opportunity to get noticed for their music.

Fan-powered royalties

The pay-per-stream model is yet another distinctive element. You receive all earnings from plays on SoundCloud if you use the service to monetize your songs. And fan-powered royalties pay you based on fans’ listening habits. Most competing platforms use different business models, with artists receiving royalties according to their share of total streaming from a large pool of committed fans. For independent artists, fan-powered royalties offer a more transparent and equitable approach than those of competitors, which primarily benefit A-list celebrities.

Distribute

Can you get paid from SoundCloud? Yes, but there are other benefits as well. With SoundCloud, you can share your music anywhere. You can keep 80 percent of the money made from the distribution of your music on more than 60 platforms, such as Spotify and Apple Music. You can use this feature if you have an Artist Pro subscription.

In the video below, musician freshlysunlit shared a detailed tutorial on how to upload and distribute your music on SoundCloud for Artists.

Interaction and Feedback

The only streaming service that has built-in tools that enable artists to message their fans directly is SoundCloud. Additionally, it gives artists comprehensive data about their most devoted followers and levels of engagement. Conversely, listeners have the option to comment on specific track timestamps. By facilitating direct communication between listeners and creators, this tool promotes a feeling of community.

Promoting Your Music Effectively

Getting others to listen to your music is as challenging as creating quality music. Promotion is essential if you want to establish a reputation on SoundCloud and elsewhere. Engaging with listeners and utilizing social media are the best strategies to accomplish this goal.

Utilizing Social Media Channels

One effective way to increase your SoundCloud pay per stream is to use social media to its fullest. Promote your music on SoundCloud to your current social media followers instead of promoting it on the platform itself.

When your loyal fans interact with your track, it can spark interest from a wider audience, making it more visible. One way to do this is to deliberately publish your SoundCloud URL on prominent networks such as Facebook, Instagram, and YouTube. Another option is to use Instagram or TikTok to make a reel with a few music clips and then link to the full version on SoundCloud. You can even go a step further and share your SoundCloud releases in Facebook groups for musicians. Also, don’t forget to tweet about your new music whenever you release a new single, EP, or album.

As a result, more people will feel comfortable connecting with your SoundCloud content and will be more likely to listen to it.

In the video below, you’ll find more information on the most effective techniques to increase your SoundCloud plays and fans. The author gives specific examples to show how to use social media and other practical strategies for your success.

Engaging with Your Audience

The platform’s fan-powered royalties mechanism means that your profits are directly linked to the listening habits of your loyal fan base. As the level of engagement between you and your listeners increases, so does the amount you pay per stream. Therefore, building a dedicated fan base requires constant engagement and communication with them. Ask questions, respond to comments, and genuinely engage listeners in the conversation. This will give your fans an unforgettable experience that will make them stay loyal over time.