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CD sales continue to slide
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Theres a lot of focus on music sales, whether from traditional CDs or the newly emerging digital storefront. The Compact Disc, a technology developed in the 70s, has remained a formidable mainstay for the last 20+ years. However, like any other technology, its time is gradually sailing off into the sunset, as newer and more advanced technology is adopted.
The Internet has enormously impacted the lifestyle of people. Life 20 years ago for many people is incomparable with everyday life today. Journalism, banking, work, dating, socializing, TV, and of course music acquisition, have radically changed because of the Internets integration into daily life. And thanks to the Internet, the need to lug around multiple CDs with limited space has been replaced by P2P, BitTorrent, and iTunes.
With the iPod MP3 player entrenched in the digital landscape and no longer a pop-trendy technology, the need for CD players - especially portable devices - is slowly becoming obsolete. How slowly CD technology completely departs on the obsolescence train is still up for some debate. Although MP3 players and digital tracks are largely replacing the CD, theres still some room left for this mold to grow. Blank CD media is still very popular, and according to a new study by Ipsos, the US population is still buying CDs produced by their favorite band.
In a study released today, Ipsos found that the power of fan loyalty is still strong among the populace. Although alternative methods of music acquisition exist, the allure of supporting ones favorite band seems to overwhelm a majority of music consumers.
"For new releases from a favorite artist, physical CDs remain the primary method of acquisition among US Music Downloaders aged 12 or older. 62% of US Downloaders purchased a physical CD of their favorite artist’s last release versus just 28% who paid to download one or more individual tracks," the study found.
Although this is good news for more powerful and mainstream artists, the picture isnt entirely rosy. In fact, the overall picture for the CD is quite bleak. Ipsos found that the number of US citizens that purchased 1 CD in the last six months has declined by 15% since 2002. In 2002, approximately 63% of Americans bought a CD in the previous six months. This number now hovers around 51%.
The study demonstrates that people are still willing to buy CDs of established acts and artists they are familiar with. However when it comes to experimentation, people are less willing to spend 10-15$ on an unfamiliar artist and risk disliking the music. For that purpose, downloading tracks is a much more alluring option - and one that continues to put pressure on the music industry. |
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Published on 19-05-2007 |
