A 10% premium doesn’t sound like it would dilute royalties that much.
If half of the plays are getting paid the bonus and half are not, then you’d have 55 credits for the bonus plays and 50 for the non-bonus plays. 50/105 is 47%, so that’s still half the plays getting 47% of the credit. Or basically a 6% reduction in revenue.
If the holdouts on the tech are only 20% of the plays, then we’re looking at 20/88 split in revenue, or where the 20% non-bonus tracks will get a 18.51% of the revenue, or a loss of 7.4% of revenue they would’ve otherwise.
It’s not nothing, but it’s also not a devastating loss of revenue.
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A 10% premium doesn’t sound like it would dilute royalties that much.
If half of the plays are getting paid the bonus and half are not, then you’d have 55 credits for the bonus plays and 50 for the non-bonus plays. 50/105 is 47%, so that’s still half the plays getting 47% of the credit. Or basically a 6% reduction in revenue.
If the holdouts on the tech are only 20% of the plays, then we’re looking at 20/88 split in revenue, or where the 20% non-bonus tracks will get a 18.51% of the revenue, or a loss of 7.4% of revenue they would’ve otherwise.
It’s not nothing, but it’s also not a devastating loss of revenue.