Rap artists make a lot of money through different mediums and sources. We are often asked: Do rappers make money from Youtube? And the simple answer is yes. But not as much as they should be getting. There are a few factors that prevent rap artists from really cashing in on receiving checks from their music videos on Youtube, and in this article I will break down the whole thing.
How Do Rappers Get Paid From Youtube?
YouTube identifies an artist’s tracks whenever they appear in a video; including videos uploaded by other users. When your music is ID’d through Youtubes Content ID System, YouTube will monetize those videos by running ads on them. You earn 70% of the music rights-holder’s share of any ad revenue generated. When artists fans use their music in their videos on YouTube, they’ll make money.
The great thing about this is that the Youtube Content ID system is not only reserved for major artist, but is open and available to all artists! Yes even up and coming rappers.
Why Major Artists Don’t Get All The Money Owed To Them
If an artist is signed to a major label then the money will be deducted from a few entities before it reaches them. For example, a company like Vevo is one of the biggest video distributors in the world. They have video licensing rights to some of music’s major stars such as: Justin Bieber, Rihanna, Lady Gaga, Eminem, Beyonce and dozens more.
Vevo collects the revenue generated from ads on music videos from these artists and takes their cut. Vevo also has to distribute some funds to the Publisher the artist is sign to. The Publisher is the copyright holder for the artist and a fee needs to be paid to them anytime the artist’s material is used. Then Vevo has to send money to the record label who is the Sound Recording holder of the artist’s music. And lastly after the record label collects it’s share it gives the rest to the artist.
Related: 3 More Ways To Sell More Music
As you see the money gets slit so many ways that the artist ends up with a small portion. Is it fair? Yes I think so. That’s one of the caveats that come with being signed to a record deal. Artists know what they get into when they sign a deal; that’s just the way it is and the artist is okay with that. If you are an indie rapper who owns all the rights to his materials, then all the money will come directly to you!