Man I'm sick of hearing this particular complaint.
Let's look at the numbers. 1M plays for ~$42. Sounds like not much right? Wrong.
Yes AM/RM Radio paid ~$1500 but for 20,000 plays. Now ask yourself this question: how many people heard those 20,000 plays? If the rate of pay was the same ($42/1M) it would have to be 35.7M listens. Well, at 20,000 radio plays that averages 1800 people per listen. Is the likely audience higher or lower than this number? It's bound to be higher. So streaming services are in fact paying more (per listen per listener).
Let's look at the numbers. 1M plays for ~$42. Sounds like not much right? Wrong.
Yes AM/RM Radio paid ~$1500 but for 20,000 plays. Now ask yourself this question: how many people heard those 20,000 plays? If the rate of pay was the same ($42/1M) it would have to be 35.7M listens. Well, at 20,000 radio plays that averages 1800 people per listen. Is the likely audience higher or lower than this number? It's bound to be higher. So streaming services are in fact paying more (per listen per listener).
See http://davidtouve.com/2011/12/13/uk-radio-versus-spotify-a-c...