Choosing a Distributor as an Indie Artist
If you are an independent artist, you need to ensure that your music is showing up on Apple Music, Spotify, and all other relevant digital streaming platforms. In order to have your music delivered to relevant DSPs, you will have to utilize a distributor. Distributors, in 2024, are essentially digital middle men who take music from the artist and send them to DSPs for upload. Subsequent to a song's release, distributors will collect master royalties generated from streams, dolling them out to master owners.
Distributors nearly all provide the same service. However, their payment structures vary. In my estimation there are two different types of payment models with which you can engage. There are those that take a percentage of your earnings in exchange for distribution and there are those you pay upfront in exchange for distribution.
Those that take a percentage include STEM or AWAL. Stem takes 10% of all royalties while AWAL takes 15% of all royalties. This can be beneficial for an artist who has very, very little budget for distribution but it does cut into your back end earnings. Of these two distributors, Stem will provide you with more services. Not only do they distribute your songs to DSPs, they also distribute royalties to any other master owners. With AWAL, you will have to do the accounting yourself. In order to use either of these distributors, you will have to apply for their services. This gives each company an air of prestige - one that I advise you to ignore. Choosing a distributor is purely a business decision and you should not be swayed by trivial matters. If, perhaps, one of these distributors has a key person interested in your work or can offer you an advance against earnings, they might have the edge!
Distributors that you have to pay upfront include TuneCore and Distrokid. Both sites have subscription based services that ensure you’re getting the services you want which can include artist revenue split, unlimited track uploading, and pre-save campaigns. With distrokid, certain additions are paid for on top of your subscription service.
For most independent artists I recommend using Distrokid. The upfront fee is relatively small and the guarantee of unlimited releases,100% earnings on streams, and master distribution services really helps artists guarantee they are making the most money and doing the least accounting work. That said, every artist is different and you need to do your own research to figure out which distributor is best for you.
