How much do I earn on sold CDs and downloads? |
How much do I earn on sold CDs?
You will get the difference of the achieved sales price / retail price and the costs for manufacturing and delivering of the CDs.
If we distribute finished CDs we keep 30% of the achieved wholesale price.
Following a comparison between distribution through us and a typical record deal.
All values are basis of an album-CD that's recommended retail price is 16 EUR. The finally achieved values depend on the store that sold the CD and if it has gone directly or through wholesale and distribution partners.
We can make available single-CDs. But note that your earning on single-CDs is near zero, even though we distribute finished single-CDs. You should always focus on releasing an album-CD and see single-CDs as promotion object, only. People prefer buying album-CDs.
| |
distribution through us |
typical record deal |
| |
deduction |
left |
deduction |
left |
| 19% VAT |
2,55 EUR |
13,45 EUR |
2,55 EUR |
13,45 EUR |
| ca. 30% margin retail |
3,04 EUR |
9,41 EUR |
- |
- |
| ca. 30% margin wholsale / distribution partners |
2,82 EUR |
6,59 EUR |
- |
- |
| extra discount demanded by major stores |
vary, depending on store |
ca. 5 EUR - 6 EUR |
- |
- |
| 10% our margin (6 EUR deducted by 10%) |
1,80 EUR |
5,40 EUR |
- |
- |
| or manufacturing costs (check manufacturing costs in FAQ) |
vary |
vary |
- |
- |
you earn per CD by distribution of finished CDs through us
you have to pre-finance - risk of unsold CDs |
ca. 5,40 EUR |
|
you earn per CD by distribution of On-Demand-CDs through us
you don't have to pre-finance CDs |
vary, depending on manufacturing costs |
|
| basic license usually is 18%, on CD sales it is 50% of basic license = 9% (this example: wholesale price is 9,41 EUR, less 91%) - always remind additional deduction for extra costs the label will declare |
|
|
8,57 EUR |
0,84 EUR |
| you earn by typical record deal |
|
0,84 EUR |
|
