Implementing a User-Centric Payment System in the Music Streaming Market: A Comparative Static Approach from User Data

35 Pages Posted: 28 Apr 2023

See all articles by François Moreau

François Moreau

Université Paris 13

Patrik Wikstrom

Queensland University of Technology - Digital Media Research Centre

Ola Haampland

Inland Norway University of Applied Sciences

Rune Johannessen

Inland Norway University of Applied Sciences

Abstract

We study the consequences of the implementation of a new payment system in the music streaming market. Instead of pooling all the subscription revenues and remunerating artists according to their number of streams, which is currently the norm, an alternative payment system adopts a user-centric perspective and splits the subscription fee of each user among the artists they listen to proportionally to the number of streams. Using data provided by a leading music streaming platform in France from more than 140,000 unique users during six months (436 million streams), we study the static effects of a change in the remuneration model at different levels: artists, music genres, country of origin, type of provider, and vintage.

Keywords: streaming, user-centric, music industry

Suggested Citation

Moreau, François and Wikstrom, Patrik and Haampland, Ola and Johannessen, Rune, Implementing a User-Centric Payment System in the Music Streaming Market: A Comparative Static Approach from User Data. Available at SSRN: https://ssrn.com/abstract=4432605 or http://dx.doi.org/10.2139/ssrn.4432605

François Moreau (Contact Author)

Université Paris 13 ( email )

France

Patrik Wikstrom

Queensland University of Technology - Digital Media Research Centre ( email )

2 George Street
Brisbane, Queensland 4000
Australia

Ola Haampland

Inland Norway University of Applied Sciences ( email )

Rune Johannessen

Inland Norway University of Applied Sciences ( email )

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