News
Who is making money from music sales in 2008?
Market researchers NPD have compiled a list of the top five U.S. music retailers, and it makes for pleasing reading for Steve Jobs and Apple. The iPhone may be snatching headlines for Apple at present, but the iTunes store is solidly holding down the #1 position as the place where consumers commonly go to buy music. The top five currently looks like this:
1. iTunes
2. Wal-Mart
3. Best Buy
4. Amazon
5. Target
The figures include both downloads and CD sales, with bricks-and-mortar stores such as Wal-Mart and Best Buy trailing in iTunes’ wake. Amazon has also enjoyed a small leap in popularity in the first half of 2008, and it’s clear that people who pay for music are increasingly turning to online sources for their purchases. NPD thinks that Apple’s success is largely due to the slow down in CD sales, but also hints that Amazon is going to be a stiff competitor as its download services become more robust. [Hypebot]
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It definitely seems like Amazon is making a strong push although it'll be tough to overcome iTunes since so many people use it to listen to music.
Amazon has the advantage of selling both physical AND digital versions of albums. But the immediacy ain't there for the physical part (gotta wait a few days!) and you're right, there's no player associated with Amazon which is always gonna be an advantage for iTunes. Imagine if Apple started selling CDs at Apple Stores.
That's a good point about Amazon narfish. I might be the exception, but I actually bought more music from Amazon than iTunes last year.