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Step 3 of 10 in this module#43 of 1,000

3. The Distributor's Cut: The Second Cascade (20% of Net)

Part 1 • Financial Cascade of Content ID Revenue (The Artist's Take Rate)

Your distributor (e.g., DistroKid, which charges a 20% commission on YTM revenue, as discussed in Module 63) takes the next cut. This is typically a percentage of the remaining revenue, not the original gross.

<ul> <li><strong>Net Ad Revenue (after YouTube's cut):</strong> $55.00</li> <li><strong>Distributor's Commission (20% of $55):</strong> $11.00</li> <li><strong>Remaining for Artist:</strong> $44.00</li> </ul> This $11.00 represents the fee your distributor charges for managing the Content ID claims, collection, and payout process on your behalf.

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In this module: Financial Cascade of Content ID Revenue (The Artist's Take Rate)10 steps
  1. 1The Starting Point: Gross Ad Spend
  2. 2YouTube's Cut: The First Cascade (45%)
  3. 3The Distributor's Cut: The Second Cascade (20% of Net)
  4. 4The Artist's Actual Take Rate: 44% of Original Ad Spend
  5. 5Visualizing the Cascade: From Gross to Net
  6. 6Why This High Commission is a Critical Cost
  7. 7Strategic Implications: Content ID as a Marketing Tool
  8. 8DistroKid vs. Alternatives: Comparing Take Rates
  9. 9The Importance of Track Popularity for YTM Revenue
  10. 10Your Actionable YTM Take Rate Strategy