Performance Royalty
A Performance Royalty is a payment made to songwriters and their publishers for the public performance of their copyrighted musical compositions.
Performance royalties are generated every time a musical composition is performed publicly. This includes a wide range of uses: terrestrial radio broadcasts, television broadcasts, plays in public venues (restaurants, bars, stores), live concerts, and non-interactive digital streaming (like Pandora or SiriusXM). These royalties compensate the creators of the song (the songwriter and their publisher) for the public use of their intellectual property. They are distinct from Mechanical Royalties (for reproduction) and Neighboring Rights (for the sound recording).
In most countries, Performance Royalties are collected and distributed by Performing Rights Organizations (PROs) such as ASCAP, BMI, and SESAC in the U.S. These organizations issue Blanket Licenses to businesses that use music publicly, track music usage, and then distribute the collected fees to their affiliated songwriters and publishers. For artists who write their own music, affiliating with a PRO is a fundamental step to ensure they collect all due income from the public performance of their compositions.
When your song is played on a local radio station or a cover band performs it live in a club, a Performance Royalty is generated. The PROs collect these fees from the radio station or venue and pay them to you (the songwriter) and your publisher.
melabel's Music Analytics can provide insights into the public performance of your compositions, helping you understand your Performance Royalty earnings and ensuring your works are properly registered for collection.