Album sales are one of the most typical metrics for success in the music business. But how much money do musicians and record companies actually make from a platinum album? The solution is more complicated than you may imagine.
To begin with, the conditions of an artist’s deal with their record label determine how much money they will make from album sales. Artists typically receive a portion of album sales proceeds, with the label taking a bigger share. Depending on the specifics of the contract, musicians can anticipate making between $1 and $2 for each album sold, according to industry experts.
So what precisely qualifies as a platinum album? When an album sells a minimum of one million copies in the US, the Recording Industry Association of America (RIAA) certifies it as platinum. The requirement for platinum certification may differ in other nations. For instance, to be certified platinum in the UK, an album must sell at least 300,000 copies.
Let’s now turn our attention to singles. The RIAA has modified its certification requirements to take into account digital sales and streaming data in the era of streaming. A song earns the gold certification in the US when it streams or sells the equivalent of 500,000 units. When the equivalent of one million units have been sold or streamed, a single is designated platinum.
Who then possesses a diamond record? The RIAA’s highest certification, the diamond, denotes that an album or single has streamed or sold the equivalent of 10 million units in the United States. The Beatles, Garth Brooks, and Eminem are a few of the musicians who have received diamond status.
Let’s finally discuss 360 record deals. In a 360 deal, a record label shares in an artist’s earnings from all sources, including album sales, touring, merchandise sales, and sponsorships. Even though these kinds of agreements have proliferated in recent years, they are contentious due to the increased control labels now have over an artist’s career and revenue.
In conclusion, the terms of an artist’s contract will determine how much money they receive from a platinum album, and national certification standards may differ. Diamond certification denotes sales or streams of 10 million units in the US. Singles are now certified based on sales and streaming figures. Additionally, even if 360 record deals are more common, there is still some controversy around them.