Equivalent weighting: Measuring music consumption

Equivalent weighting: Measuring music consumption

CONNECT tracks music consumption activity: all the ways people listen to recorded music, from streams to purchases to radio airplay. But these activity types are unequal measures of listener engagement and economic value. So we use equivalent weighting to convert them into comparable units of consumption. 


CONNECT applies different weighting formulas to Streams, Product Sales and Song Sales to calculate Album Equivalent and Stream Equivalent units. 


The below formulas don't apply to every equivalent figure shown in CONNECT. Exact weights and ratios may vary significantly based on chart type or country. Official Billboard charts are subject to additional rules that can affect equivalent calculations. For Billboard chart criteria, see Chart Eligibility




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Filtering and exclusions 

Billboard and Luminate equivalents measure on-demand, official content only. Before applying our formulas, we exclude ineligible activities and content types, i.e. programmed streams and UGC. 


Ad-supported and premium streams are weighted differently. 


Video and audio streams are treated the same.


Excluded activity vs. filtered activity

Exclusions

Programmed streams and UGC are preemptively removed from all equivalent calculations. They cannot be factored into Album Equivalent or Stream Equivalent figures at any level.


Filters

By default, CONNECT filters out Interactive activity from Dashboards, Industry Analysis and Market Share. This means that Interactive streams are not factored into Album and Stream Equivalent figures unless you adjust Activity Options from the Data Controls menu. 



BREAKOUT
INCLUDED
EXCLUDED
FILTERED (optional)
Commercial Model
Premium
Ad-Supported


Service Type
On-Demand
Programmed
Interactive
Content Type
Audio
Video


Creation Category
Official
Song UGC
Non-Song UGC


Refer to Activity Types for more details.

 





Album Equivalent 

Album Equivalent activity is a measure of combined weighted streaming, digital, and physical sales figures converted to one (1) album unit


An Album Equivalent measurement combines weighted streams and song sales with traditional album sales. We track Album Equivalent activity in countries for which we have product sales data (U.S. and Canada). 



Weighted Streams

1,250 premium audio or video streams = 1 album

3,750 ad-supported audio or video streams = 1 album


Weighted Song Sales

10 digital song sales = 1 album


Album sales

1 purchased album = 1 album



Weighted Streams + Weighted Song Sales + Album sales = Album Equivalent units






Stream Equivalent

Stream Equivalent activity is a measure of weighted ad-supported streams, premium streams and digital song sales converted to one (1) premium stream unit


Unlike Album Equivalents, Stream Equivalents treat streaming activity as the base unit of consumption. We use them to measure activity worldwide and in countries that do not provide product sales data.*


Stream Equivalent ratios assign audio and video streaming content the same weight.



Weighted Streams

4.5 ad-supported streams = 1 premium stream

1 premium stream = 1 premium stream


Weighted Song Sales** 

1/200 song sales = 1 premium stream



Premium Streams + Weighted Ad-Supported Streams + Weighted Song Sales 

 = Stream Equivalent units




*The above formula applies to Worldwide Stream Equivalents, not to every country.
We adjust weights and ratios at the country level to reflect local consumption patterns. 

**Premium stream is the base unit. 200 premium streams = 1 song sale.





Equivalent FAQs


How did you arrive at these ratios? 

Our equivalent formulas and contributing data are maintained by Luminate in close collaboration with Billboard. 


The current ratios reflect music consumption patterns and audience behaviors in today’s market. Some charts apply different weighting formulas to more accurately depict consumption in other countries or for different genres and formats. We work with Billboard to adjust ratios and formulas as needed.



How do equivalents factor into the Billboard charts? 

Luminate provides the raw data and the weighted equivalent figures used to create Billboard chart rankings. Final published Billboard charts are subject to Billboard’s eligibility rules.


Some charts are based on pure consumption; others use equivalents to determine chart placement. For example, Airplay charts are ranked by either Spins or Audience, while the Billboard 200 chart is ranked by Album Equivalent units. 



Do all charts use these ratios? 

No. The Album Equivalent shown above is used for certain Billboard album charts and as a KPI on U.S. and Canada Dashboards. Some album charts use different weights and ratios or have different exclusion rules. 


The Stream Equivalent shown above is for Worldwide only. We adjust Stream Equivalent weights and ratios in different countries to reflect local consumption patterns. 



What’s the difference between Album Equivalents and Stream Equivalents?

Album Equivalents are units that represent physical album sales. An Album Equivalent figure is a count of product sales (actual) plus digital song sales (weighted) and streams (weighted). We use Album Equivalents as a performance metric in the U.S. and Canada. 


Stream Equivalents are units that represent premium streams. We arrive at Stream Equivalent figures by applying different coefficients to premium streams, ad-supported streams and song sales, then adding them up. We use Stream Equivalents for global charts, as a worldwide metric and at the country level outside the U.S. and Canada. 




Why do Song Dashboards show Album Equivalents?

"Album Equivalent" is a standardized unit of measurement. The Album Equivalent ratio converts different activities into one metric that can be used for chart rankings. This ratio can be applied to everything in CONNECT: albums, songs, products, recordings and artists. 


On a Song or Recording Dashboard, the Album Equivalent figure indicates roughly how much of that song's activity translates to Album Equivalent units for charting purposes. 


On an Artist Dashboard, the Album Equivalent figure is an aggregate of converted activity for that artist's discography.



Why don’t I see Album Equivalents? / Why do I only see Stream Equivalents?

Album Equivalents include Product Sales data, which we only track in the U.S. and Canada. Therefore, Album Equivalents can only be calculated for the U.S. and Canada. 


The Worldwide view and all other countries only show Stream Equivalents. 



Why aren’t Equivalents shown in Activity by Location?

See above. Album Equivalent ratios are only available in the U.S. and Canada; we don’t include them in country tables.


In addition, Stream Equivalent ratios differ from country to country, and the worldwide Stream Equivalent does not apply to every country. To compare Stream Equivalents between countries, you’ll have to change Locations and look at each country’s Stream Equivalent KPI individually. 



What are Song Equivalents? / When do you use Song Equivalents? 

Song Equivalents are a completely different metric from Album or Stream Equivalents. They help us equate streams, radio play and song sales to single sales. Singles were once commonly distributed in physical form (ex. 7-inch vinyl 45s, mini CDs). We now use Song Equivalent formulas to calculate certain popular song charts that were once based on single sales.


Song Equivalents are not currently available in the CONNECT UI. All Song Dashboards display either Album or Stream Equivalents. 



Is the legacy SES metric the same as a Song Equivalent? 

No. See above. Song Equivalents are a different metric; they incorporate Airplay data and use different weights and ratios. 


The legacy Music Connect “SES” (Stream Equivalent Song) figure used the same ratios as an Album Equivalent. 



How do I convert the song-level Album Equivalent ratio to an SES?

On a Song Dashboard, multiply the Album Equivalent by 10 to estimate the legacy SES figure. 




Why doesn’t the Dashboard Album Equivalent match the figure on a Billboard chart?

There are a few reasons the Dashboard KPI Album Equivalent might not match the figure ranked on a chart. For instance:

    1. CONNECT excludes UGC from all Equivalents.
    2. Your Data Controls may be filtering out activity from the Dashboard.
    3. Billboard groups Songs differently and may exclude certain ISRCs from chart eligibility. 
    4. Other Billboard eligibility rules may exclude some Equivalent activity from any given chart.
    5. Charts are “locked” after publication, while Dashboards are dynamic and may incorporate consumption that was reported and/or restated after the chart week ended. 

See Data Discrepancies for more details and troubleshooting tips. 




Can I use equivalent units for RIAA certification? 

The RIAA uses its own certification criteria, reporting process and weighting system for album and single units. Please refer to the RIAA’s guidelines for gold and platinum certification. Luminate does not directly report figures to the RIAA, nor do we comment on consumption data reported by any organization other than Luminate.










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