Radio royalties

Radio airplay can be a goldmine for artists—or just another small paycheck.

It all depends on where your song is played, how often, and what kind of station spins it.

Unlike streaming, radio royalties don’t pay per play. Instead, they follow a complex formula based on licensing deals, station revenue, and listenership.

Big-name artists can rake in six-figure checks from major FM stations, while indie artists might earn just a few bucks per spin. But don’t let that discourage you—many legendary musicians started small and built their wealth through consistent radio exposure.

Let’s break it all down.

How Radio Royalties Work

There are two main types of royalties for radio airplay:

1. Performance Royalties

Paid to songwriters, composers, and publishers
Collected by Performance Rights Organizations (PROs) like ASCAP, BMI, and SESAC
Amount earned depends on the station’s size, revenue, and audience reach

2. Sound Recording Royalties

Paid to record labels and performing artists (but NOT in the U.S. for traditional AM/FM radio)
Collected by SoundExchange for digital radio (like SiriusXM and online stations)

📌 Example:

If a hit song is played one million times on FM radio, the songwriter might earn $50,000+ through their PRO.
The artist performing the song? $0—unless it's digital radio.

How Much Do Artists Actually Make?

1. FM Radio (Terrestrial Radio) – The Big Money (for Writers)

Major stations in big cities (like Los Angeles or New York) pay $4 to $10 per spin to songwriters.
Smaller local stations might pay a few cents to a couple of dollars per spin.
If your song is played 100,000 times nationwide, you could see a six-figure payday—if you're the songwriter.

📌 Case Study: Mariah Carey’s “All I Want for Christmas Is You”

Every holiday season, this song gets played thousands of times daily across radio stations worldwide.
Carey and her co-writer earn millions in royalties each year.

2. Digital Radio (SiriusXM, Pandora, iHeartRadio) – Where Artists Get Paid

Unlike FM, digital radio pays artists too.
SoundExchange collects these royalties.
Rates: About $0.002 per play (varies).

📌 Example:

A song played 1,000,000 times on digital radio could earn around $2,000 to $5,000 for the artist and rights holders.

3. College & Non-Commercial Radio – Small but Important

Payments are lower (a few cents per spin).
Great exposure for indie artists.
Many breakout stars started on college radio (Nirvana, R.E.M.).

📌 Case Study: Nirvana’s “Smells Like Teen Spirit”

Before becoming a rock anthem, this song gained traction on college radio.
The buzz pushed it into mainstream FM stations, leading to millions in earnings.

Maximizing Your Radio Royalties

Want to earn more from radio? Follow these strategic moves:

✅ Register with a PRO (ASCAP, BMI, or SESAC) – Otherwise, you won’t get paid.

✅ Get your music on digital radio (Pandora, iHeart, SiriusXM) – Where artists get paid.

✅ Pitch to college & local stations – They might not pay much, but they build buzz.

✅ Sync your radio play with streaming & merch sales – Fans who hear you on radio might buy your album or concert tickets.

Final Thoughts

Radio airplay can be a powerful income stream—but only if you understand the system. Songwriters make the most money from FM radio, while artists benefit from digital radio. If you're serious about making money in music, radio should be part of your strategy.

💡 Need help getting your music on radio or boosting your career? Reach out to us—we’ll help you navigate the industry and make sure you get paid what you deserve!

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