DistroKid vs CD Baby: When Does DistroKid Pay?

If you're an independent artist looking to distribute your music, you've likely come across DistroKid and CD Baby. Both are prominent names in the music distribution industry, helping artists get their music onto digital platforms like Spotify, Apple Music, and Amazon Music. However, understanding the nuances between the two, particularly regarding payment timelines and processes, is crucial. This article will delve into the key differences between DistroKid and CD Baby and answer the frequently asked question: when does DistroKid pay?

Understanding DistroKid

DistroKid is known for its straightforward, user-friendly interface and affordable annual subscription fees. One of the primary reasons artists choose DistroKid is its unlimited uploads feature. For a single annual fee, artists can upload as much music as they want. This makes it an attractive option for prolific musicians and those looking to build extensive catalogs over time.

When Does DistroKid Pay?

The payment process with DistroKid is quite prompt. Typically, artists can expect to receive their earnings monthly. DistroKid aggregates your earnings from various platforms, and once those earnings are reported (usually within a couple of months from the actual streams or sales), they are made available in your DistroKid account. From there, you can withdraw your funds via PayPal or direct bank transfer.

Specifically, DistroKid processes payments on a monthly basis, usually around the 14th of each month. This means that you can expect your earnings to be updated and accessible for withdrawal around this time. However, it's essential to consider that digital platforms have varying reporting and payment schedules, which can influence when you see the actual funds in your account.

Understanding CD Baby

CD Baby, on the other hand, operates on a different model. Instead of an annual subscription, CD Baby charges a one-time fee per album or single release. This can be advantageous for artists who release music less frequently. CD Baby also offers physical distribution options, which can be beneficial for artists looking to sell CDs or vinyl records in addition to digital formats.

CD Baby's Payment Process

CD Baby has a similar payment schedule to DistroKid but with some differences in the details. CD Baby typically distributes earnings weekly, but the timeline from the sale or stream to the payment can be longer due to the processes involved. Like DistroKid, CD Baby aggregates earnings from various platforms and reports them to your account once they have been received.

Artists can choose to receive their CD Baby payments via PayPal, direct deposit, or check. The minimum payout threshold for CD Baby is also a notable point to consider. CD Baby requires a minimum balance of $10 for PayPal and direct deposit payments and $20 for check payments before processing a payout.

Comparing DistroKid and CD Baby

When deciding between DistroKid and CD Baby, several factors should be considered:

1. Subscription vs. Per Release Fees

If you plan on releasing a large volume of music, DistroKid's annual subscription model might be more cost-effective. For artists who release music less frequently, CD Baby's per-release fee could be more suitable.

2. Payment Frequency

DistroKid processes payments monthly, whereas CD Baby distributes earnings weekly. However, CD Baby's payout minimums and the time taken for various platforms to report earnings can affect the actual time it takes to receive your money.

3. Additional Services

CD Baby offers physical distribution and a wider array of supplementary services, such as mastering and promotional tools. DistroKid focuses more on digital distribution but provides features like synchronized lyrics for social media platforms and instant Spotify verification.

Conclusion

Choosing between DistroKid and CD Baby ultimately depends on your specific needs and plans as an independent artist. If you value frequent releases and a straightforward, flat-fee payment model, DistroKid might be the better choice. On the other hand, if you prefer to pay per release and need additional services like physical distribution, CD Baby could be more advantageous.

Understanding the payment schedules and processes of each platform is crucial for managing your income and planning your releases. By choosing the right distributor for your music, you can ensure that you maximize your reach and revenue while keeping your distribution process efficient and effective.

If you're ready to take your music career to the next level, consider signing up with SoundOn, another powerful platform for music distribution and promotion. Register as a SoundOn artist here and start reaching a global audience with ease.