Hit Songs, Empty Pockets: The Hidden Math Behind India's Viral Music Boom

A song takes off on Reels. Millions of people use it in their videos. The views pile up. But who actually gets paid?

India has around 2-2.5 million active digital creators, according to a 2025 BCG report. Together, they influence an estimated $350-400 billion in annual consumer spending. That number could cross $1 trillion by 2030.

Yet money is not reaching everyone equally. BCG says only 8-10 per cent of these creators monetise effectively. Many nano and micro creators earn less than Rs 18,000 a month. 

Music sits at the heart of this content. And the people who make it often see the least.

Who Really Gains From Virality

"The creator economy in India is thriving, yet the issue of who really makes money from virality has not been addressed yet," Gaurav Dagaonkar, Co-Founder and CEO of Hoopr, told NDTV.

In his view, platforms and creators with existing music libraries benefit most. Independent composers see very little from their viral songs. Meanwhile, creators risk takedowns when they use music without the right permissions.

Mumbai-based musician and songwriter Kaustubh Patil explains how the tracking side works. Every view, stream and Reel, Short or TikTok use is tracked through a unique Content ID generated for each song.

The money flow is simple. The system tracks usage. The distributor takes its cut. The rest goes to the artist. If other artists collaborated on the song, the amount is split by their roles. So, the distributor an artist picks decides how much finally lands in their account.

Three Kinds Of Viral

Patil sees virality from three angles:-

• The safe angle. Some brands and creators pick stock music from online libraries. There is no takedown risk and no strike. It is convenient, but not very creative.
• The momentum angle. Some creators pick a trending song on purpose. They want to ride its wave and boost their own reach.
• The designed-to-be-viral angle. Some artists and labels build a song around a catchy hook. Then they push it to leading creators, who make content with it. Others follow.

Patil told NDTV that virality pays off in other ways too. Musicians get more engagement across streaming and social platforms. They get recognition and live gig offers. Creators get a bigger following and more brand deals.

Mumbai-based musician and songwriter Kaustubh Patil

The Licensing Pitch

Dagaonkar argues that licensing can change the equation. The idea is to build payment into the process from day one.

Artists earn through direct licensing income and royalties facilitated by IPRS, the Indian Performing Right Society. Dagaonkar says his company has paid out more than Rs 4.5 crore to over 1,500 artists across 20+ genres. 

Brands are a big part of this. Dagaonkar estimates that over 80,000 brands and five lakh creators in India make branded content. He puts that opportunity at around Rs 1,500 crore. All of that content needs music that is cleared for use.

The Listening-Versus-Paying Gap

The problem is not a lack of listeners. Hoopr's figures say 96 per cent of smartphone users listen to music. Only 38 per cent have ever paid for it. For video, 86 per cent have paid. India has around 14 million paid music subscriptions, against more than 200 million for video. Free options like YouTube widen the gap.

Rights are also fragmented. Awareness is low, and tracking of music use is limited. Hoopr estimates that unlicensed commercial use of music means about Rs 3,600 crore in lost licensing revenue every year.

Dagaonkar says the music economy will only grow if brands change how they see music. It has to be a paid creative product, he says, not a free resource. For now, the viral song is still the easy part. Getting paid for it is the hard part.