Boring music as bad for CD sales as P2P

Don't blame file sharing alone for declining CD sales, analyst group warns record companies

Dinah Greek

Boring music, not file swapping alone, is causing falling sales of music CDs, according to research from NPD Group.

The analyst group warned record companies that unless they address this factor they will not reverse market decline.

Advertisement

The music industry has been waging a long-running series of legal battles against peer-to-peer sites, which it blames for the slump in music CD sales.

Last year, sales in the US fell by 13 per cent, and were down another nine per cent in the first quarter of 2003.

But the year-long study from NPD into the buying habits of internet users showed that, even though 60 per cent of music buyers had never downloaded free music, CD sales for this group had still declined by seven per cent.

NPD Group attributes more than half of the slump to free file-sharing activity on services like Kazaa and Morpheus, but it also said that a significant portion of the decline came from older music buyers.

This group, which is not generally associated with illegal file sharing or digital piracy of any kind, complained of a dearth of interesting new material.

"Our research shows that even if digital file sharing were to disappear tomorrow, the record labels and retailers would still need to overcome important underlying causes of recent market declines," said Russ Crupnick, NPD's vice president.

  • Have your say
  • Send to a friend
  • Print
  • Digg
  • Reddit
  • Share

Tags:

Do you agree?

Related whitepapers

Related jobs

Most watched

Xperia X1

Video Review: Sony Ericsson Xperia X1

First Looks Editor Ian Williams gets hands on with the Sony Ericsson Xperia X1

HTC Hero

Video: HTC Hero launch

Handset maker unveils its latest Android-based smartphone

IT white papers

Search white papers

Top categories

Poll

Poll: Summer smartphones

Poll: Summer smartphones

Which smartphone will you be taking to the beach this summer?

View poll results

Advertisement

Advertisement

Newsletter signup

Sign up for our range of FREE newsletters:

Existing User

Newsletter user login:

Enter email address to edit your newsletter preferences

Job of the week

Search thousands of IT jobs :

Search thousands of IT jobs:

Advanced search

Hiring now on ComputingCareers:

Related IT jobs

Search thousands of IT jobs :

Search thousands of IT jobs:

Advanced search

Spotlight

firefox logo

In Pictures: Firefox 3.5

Screenshots from Mozilla's latest Firefox web browser

BT

BT scraps Phorm rollout

Telco claims to be too tight on resources to support...

Nokia

Nokia denies Android smartphone rumours

Mobile phone giant insists it will stick with Symbian

Second Life

Second Life seeks to mix the real and virtual worlds

Linden Lab unveils plans to integrate with social networks and...

Primary Navigation