How to Monetize Music Beyond Streaming

In my artist management course at the Roc Nation School of Music Sports & Entertainment, we explore how the wealthiest artists monetize their fandom. What we consistently find is that those who reach billionaire status do so not just through music consumption but by selling tangible products—whether it's liquor, makeup, apparel, etc. (Taylor Swift being a notable exception, largely due to her record-breaking Eras Tour). When I explain this to my students, I break it down like this: If Rihanna sells her newly released GLOSS BOMB STIX HIGH-SHINE GLOSS STICK for $25 USD and conservatively moves half a million units in a fiscal year, Fenty grosses $12.5 million USD. To match that figure through streaming alone, Rihanna's catalog would need to generate 2.5 billion streams, assuming a per-stream payout of $0.005. Now, consider Beyoncé as she launches her new whisky line, SirDavis, priced at $89 USD—a collaboration with LVMH-owned Moët Hennessy. If she sells, conservatively, 250,000 units in the first year, she'll gross $22.25 million USD. To achieve that same amount through streaming alone, Beyoncé’s catalog would need to amass 4.45 billion streams, again assuming a per-stream payout of $0.005. The key takeaway I emphasize to my students is that selling a product, whether it’s whisky or makeup, often proves far more profitable for an artist. This is why nearly every artist who has crossed into billionaire territory has had a product line that significantly boosted their net worth. Check out this insightful graphic from Trapital's Dan Runcie, featured in his Culture Report, which does a fantastic job explaining this phenomenon.

UNDERSTANDING MUSIC LICENSING: HOW ARTISTS CAN TURN THEIR MUSIC INTO LONG-TERM INCOME Music licensing is the process of granting permission for a song to be used in another form of media — such as films, television shows, commercials, video games, YouTube videos, and more — in exchange for payment. When an artist licenses their music, they retain ownership of their work but allow others to use it under specific conditions, often receiving upfront fees, royalties, or both. Key Types of Music Licenses: • Sync License (Synchronization License): Needed when music is used in timed relation to visual media (e.g., films, shows, ads). • Master License: Covers the use of a specific recorded version of a song. • Mechanical License: Required for reproducing and distributing copyrighted songs (common for cover songs). • Public Performance License: For playing music in public spaces like restaurants, radio, and streaming services. How Artists Can Gain Knowledge and Monetize Through Licensing: • Education: Take courses, attend webinars, and follow industry leaders who specialize in music publishing and licensing. • Music Libraries and Licensing Agencies: Partner with companies that place songs in TV, film, and ads. Examples include Musicbed, Epidemic Sound, and Songtradr. • Direct Pitching: Build relationships with music supervisors — the people who select music for films, TV, and games. • Register Your Music: Join a Performing Rights Organization (PRO) like ASCAP, BMI, or SESAC to collect royalties. • Metadata Matters: Ensure your tracks are properly labeled with all necessary information (title, genre, mood, tempo, writer credits, contact information) to make it easy for licensing teams to find and use your music. • Protect Your Rights: Understand contracts thoroughly or work with an attorney who specializes in entertainment law before signing licensing agreements. Licensing is one of the most powerful ways for independent artists to earn consistent revenue, grow their exposure globally, and build a sustainable career — even without being signed to a major label. Knowledge is key. The more artists understand licensing, the more they can unlock new doors for income, opportunity, and creative expansion. - Adrian Pearson Jr

J. Cole is breaking the mold of how artists at his level monetize their fanbase... Instead of following the traditional path of streaming dominance and massive merch drops, he’s leaning into storytelling and exclusivity. His recently released audio series, Inevitable, gives fans an intimate look into his rise to stardom for just $10. This is a direct transaction with his audience behind a paywall. On top of that, he’s dropped a deluxe edition of 2014 Forest Hills Drive, featuring 8 bonus tracks, also behind a $10 paywall. For Cole and his team, it seems that these moves aren’t about chasing radio hits or flashy partnerships. It is about creating unique experiences for his core fans, something they crave. It’s a powerful reminder that sometimes the best way to innovate is by taking a direct approach. In Cole's case, this one prioritizes the connection between him and his audience. #musicbusiness #directtoconsumer #jcole #fanengagement #monetization #musicindustry