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The Hidden Costs of "0% Commission" Music Distribution Platforms

By Maxence Pepin

11 April, 2025

In today's digital music landscape, many independent artists are attracted to distribution platforms advertising "0% commission" models. While the promise of keeping 100% of your streaming revenue sounds appealing, these platforms often conceal numerous disadvantages that can significantly impact both your earnings and career growth. Before committing to such services, it's crucial to understand what you might be sacrificing in exchange for that "0% commission" promise.

Reduced Earnings Despite "0% Commission" Claims

Despite the attractive marketing, "0% commission" platforms typically generate lower per-stream rates compared to full-service distributors. This occurs because they typically pay from net earnings after their operational costs are deducted. With high overhead expenses and infrastructure costs, these platforms often have less revenue to distribute to artists, resulting in diluted earnings that undermine their core selling point.

Hidden Fees and Expensive Add-ons

The "0% commission" business model is usually sustained through numerous hidden fees. Many artists are surprised to discover expensive withdrawal fees that significantly cut into their earnings. When transferring money internationally, currency conversion charges can further reduce payouts by 3-5%. Additionally, these platforms often charge transfer fees to move earnings to external accounts, while essential features that should be standard are locked behind paywalls as premium add-ons. These accumulated costs frequently exceed what you would pay with a traditional commission-based platform that offers comprehensive services.

Concert

Limited Growth Opportunities

Most zero-commission platforms provide minimal promotional support or industry connections. Without access to editorial pitching services, artists struggle to secure valuable playlist placements that could significantly increase their streams and visibility. The absence of industry networking opportunities leaves musicians isolated from potential collaborators, mentors, and business partners. Many of these platforms also lack structured marketing support that could help artists reach new audiences, leaving them to navigate promotion entirely on their own. Without these growth opportunities, artists may save on commission percentage but lose substantial potential revenue and exposure.

Substandard Support Systems

Customer service quality is frequently sacrificed to maintain low operational costs. Artists often wait days or even weeks for responses to urgent issues that could impact release schedules or revenue collection. When support finally arrives, it's typically from representatives with limited knowledge of music industry specifics, resulting in generic advice rather than specialized guidance. Many platforms rely heavily on automated responses and chatbots, creating frustrating experiences when dealing with complex problems that require human intervention. This lack of support can be particularly damaging during critical release periods when timely assistance is essential.

Restricted Functionality

Many zero-commission platforms offer bare-bones services with limited tools. Their analytics dashboards typically provide only basic information without the depth needed to make informed strategic decisions about marketing and audience targeting. Distribution options may be limited to major platforms while excluding potentially valuable niche services. The absence of sophisticated royalty management features makes it difficult to handle splits with collaborators or track recoupment of recording costs. Without these essential tools, artists find themselves cobbling together multiple services at additional expense to fill these functional gaps.

Delayed Withdrawals and Payments

Financial operations on these platforms are often inefficient, creating significant challenges for artists who depend on regular income. Withdrawal requests frequently remain in processing for weeks, while irregular payment schedules make financial planning nearly impossible. Many platforms set high minimum payout thresholds, meaning artists with modest streaming numbers might wait months or years before accessing their earnings. These payment obstacles can create serious cash flow problems, particularly for emerging artists who need consistent access to their revenue to fund ongoing projects and career development.

Singer

The Comprehensive Alternative

In contrast, platforms like Releese offer a more balanced approach to music distribution. While maintaining competitive pricing, they provide comprehensive publishing collection services that capture all potential revenue streams, ensuring artists don't leave money on the table. Their business model eliminates the need for paid add-ons by including all essential services in their base offering. The platform's efficient operational structure enables higher per-stream payouts that actually reach artists' pockets without being diluted by excessive fees.

Releese's suite of growth tools includes pre-save subscription features that convert casual listeners into committed fans, alongside sophisticated royalty splitting and recoup mechanisms that simplify financial management for collaborative projects. Their editorial pitching services open doors to playlist placements that might otherwise remain inaccessible. Throughout the distribution process, artists benefit from responsive, high-quality support from professionals who understand the music industry's unique challenges.

Conclusion

While "0% commission" may appear advantageous at first glance, the numerous hidden costs, limited opportunities, and inferior services often make these platforms a poor long-term choice for serious artists. Before selecting a distribution partner, look beyond the headline commission rate and evaluate the complete package of services, support, and genuine income potential. The right distribution partner should not only deliver your music to platforms but also provide the tools, opportunities, and support necessary to build a sustainable music career.

Maxence Pepin
Written byMaxence Pepin

Maxence has amassed over 50 million streams as an independent artist before working as a business development manager for an indie dance record label.