Renowned Nigerian music producer Sarz, born Osabuohien Osaretin, has explained why music streaming earnings are significantly lower in Nigeria than in the United States and other Western nations.
Appearing on a recent episode of the Afropolitan podcast, Sarz noted that revenue for one million streams on in the United States ranges between $3,000 and $5,000.
In contrast, the same number of streams in Nigeria generates between $300 and $500, despite marketing and promotion costs being nearly the same.
“A million streams from the United States is maybe $3000–$5000. That same one million streams from Nigeria is arguably maybe $300–$500 but it will cost you the same amount to market or promote a song in Nigeria as much as it would cost you abroad,” he said.
Sarz attributed the disparity to economic differences, explaining that subscribers in Western countries pay significantly more for streaming services due to stronger economies.
He added that while Nigerians love and actively consume music, many lack the financial capacity to afford premium subscriptions, making streams from Nigeria less economically valuable compared to Western markets.
Speaking on possible solutions, Sarz said Nigerian entertainers and executives are hopeful that improvements in the country’s economy will positively impact the industry.
“We are waiting for the state of the country to get better so other things can start improving.
“I think we have done very well with the resources that we have and with all the obstacles against us.
“People are streaming music, but those who can’t afford it simply don’t have the money to. And how do we empower them? Back to the government. So, we are just waiting till the economy gets better.”
