- The launch of Jazzi will see a new approach to rewarding artists for music streaming
- Each subscriber’s “favourite artist” will receive a proportion of their net-subscription*, every month
- The number of tracks streamed on jazzi.net will not be used in calculating artist payments
We’re proud to say the Jazzi launch represents the introduction of a new idea in paying for artists’ rights in music streaming – where every subscriber has the opportunity to nominate a “favourite artist” at sign-up for priority payment of a portion of their own net-subscription* – sent by Jazzi direct to the artist, every month, while their subscription remains current.
The payment percentage starts at 25% of net-subscription* up to 200 “favourite artist” nominations, and moves upward on a sliding scale for each band of 100 nominations, maxing at 50% for 500 and above.
To do the sums – say Jazzi had 200 subscribers who selected a particular artist as their “favourite” artist; on our planned pricing that would result in the artist earning around USD350 per month or USD1.50 / nomination. If the artist was able to build their “favourite” nominations to say 500 subscribers, the monthly amount would increase to approximately USD1,000 or USD2.00 / nomination.
If the artist was able to continue to increase their “favourite artist” nominations, the amount per nomination would increase even further, with the artist receiving 50% of net-subscriptions* for every nomination over 500.
We fully appreciate building “favourite artist” nominations will take time and some artists will not wish to focus on that aspect of the Jazzi relationship – you can read more about our approach to “favourite artist” nomination levels here.
Overall, we hope it’s a win-win, as our artist payment approach is also a central aspect of our marketing strategy, in that it is designed as an incentive for our artists to build their own personal Jazzi following: family, friends, fans and followers all having an opportunity to contribute financially to their “favourite” artist, on an ongoing basis, directly through their subscription.
If a subscriber has chosen not to nominate a “favourite artist”, 25% of their net-subscription* will be allocated to an artist payment “pool” which is then distributed proportionately across all artists, based on the hours of music they have listed on the site. The artist payment is not lost – just allocated proportionately across all artists. Some subscribers may see this as a more equitable model, so it’s their choice how the artist portion of their subscription is distributed.
To be clear, once listed on jazzi.net, all artists will be treated equally with regard to income – number of streams by our subscribers will not be used in our artist payment calculations.
* Net-subscription is the price to the subscriber less any value-added / sales tax and payment processing fees. It is the amount we are able to retain from each subscriber, for distribution to artists and the rest of the Jazzi team.