Since CD sales are from a bygone era, how do groups make their main source of income?

    • Best Answer

    Album sales is their primary source. They earn literal fractions of a penny for streams, it takes like billions of streams to earn a million or two. The luckiest ones get paid to advertise and endorse, or make a small amount from appearances probably. Then there is merchandise sales and of course concert tix.


    But groups that remain successful and viable for years upon years have one thing in common - solid, reliable album sales.

      

  • 2techs

    Selected a post as the best answer.
  • Actually, it's touring that generates the most income for artists if we are discussing music income.

    Here's an article that broke it down but it's from 2018: https://www.businessinsider.co…s%20in%20the%20same%20way.

    "Of their total earnings, about 95%, or $52 million, came from touring, while less than 4% came from streaming and album sales. Garth Brooks (who came in second on the list), owed about 89% of his earnings to touring, while Metallica (ranked third) raked in 71% of their earnings in the same way."


    alright, got it.

  • "Of their total earnings, about 95%, or $52 million, came from touring, while less than 4% came from streaming and album sales. Garth Brooks (who came in second on the list), owed about 89% of his earnings to touring, while Metallica (ranked third) raked in 71% of their earnings in the same way."


    alright, got it.

    The big record companies and labels also take a huge chunk of the income too. It's def not easy to make it as a musician now a days if you don't get a hit song or build a fan base.

  • Large album sales are good for the company and less for the artists, usually. Touring generates the most profits for most musicians. They often have a bigger cut.


    Some artists can also make a substantial amount from royalties and songwriting credits, but that is only a meaningful amount for a hit song or one that is licensed frequently for commercials, particularly one with longevity - like Mariah Carey's "All I Want For Christmas Is You" makes about $2.6M a year - and she has half of the royalties on the song (another person co-wrote it with her). This is why in some groups there ends up being friction - the songwriters will make more money than the frontman, for instance, or the songwriter feels they're doing all the work.

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  • I'm not sure why people are trying to conflate other music markets to that of kpop.


    There's a reason labels push physicals an incredible amount in the kpop landscape, it makes them a lot of money.


    Large tours will be the end goal but it takes time to get to a point where touring makes more money then other activities. You can exploit album sales through gimmicks with a smaller fandom.


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  • Album sales in Kpop do not depend on the CD actually, rarely fans listen on the CD cause new laptops, new cars, and new everything do not have a CD slot. In Kpop the content in the album is the main point, thats why instead pf decreasing album sales like the rest of the world it keeps getting bigger with the globalization of Kpop. Other markets albums just include a CD and maybe a poster. That's why merch was used to magnify sales back when they counted.


    Touring obviously generate the most, endorsements are steady income also and a main one

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  • The artist or the company?


    For the artist, it's concerts -> common idol path.


    Royalties if they write hits -> songwriter path.


    Brand deals if they are attractive and famous -> celebrity/influencer path.


    TV appearances, particularly in variety/hosting if they have strong/funny personalities -> entertainer path.


    Dramas if they can act and/or are extremely attractive -> actor path.


    Preferably all the above.

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