MusicDish e-Journal - February 22, 2018
MusicDish Advertising Network
» HOME » INSIDER SCOOP » CAREER TIPS » MUSIC SPOTLIGHT » MUSICDISH*CHINA
» INDUSTRY INTERVIEWS » NEWS BEAT » DIGITAL SKOOL » OPEN REVIEW » MUSICDISH EDELWEISS
Search MusicDish e-Journal (Advanced)
Subscribe To MusicDish e-Journal
About | Contact | Advertise | RSS | Submit Article | Submit News | Artist Development | Premium PR Distribution
Mi2N | MusicDish*China | MusicDish Network | MusicDishTV | Urban Music News Network

Declining Music Sales Aren't All Down to File - Sharing: Report
By Jon Newton, p2pnet.net
(more articles from this author)
2003-06-06
Comment | Email | Print | RSS

Although more than half of lost music sales can be attributed to file sharing, the music industry and retailers need to look beyond file sharing for other important root causes of ongoing music sales declines - especially among mature music buyers.

That's the conclusion of a recent consumer-tracking survey from NPD MusicWatch, an info service from NPD Music that reports on what consumers buy, as well as where and why.

Consumers across all demographics are buying less music now than in the past two years, says the report. Total full-length CD sales were down 13% Q4 2002 compared to Q4 2001 and, "Already this year Q1 unit sales trended downward by 9 percent," says the NPD going on that while p2p accounts for more than 50% of lost music sales, 60% of music consumers with access to the Web "have not downloaded any music for free" and sales to those customers are off by as much as 7%.

"Without a doubt, file sharing has had huge negative impact on music industry sales," says Russ Crupnick, NPD Group vp. "But 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."

While there are many root causes for lost sales, one important view is uncovered by looking deeper into the demographic segments of music buyers, says the NPD. "Research shows steeper sales declines among consumers aged 36 and over, than among younger demographic groups," it says. "Nearly half of these adult consumers report they are purchasing less music, because there's less music they're interested in buying. Plus, fewer than 10 percent of this age group report purchasing less music because of downloading.

advertisement

Crupnick says it's important to note that this group of 'mature consumers' represents 45% of all CD sales, "and near-term population growth trends should stand as a warning to the industry to reach out to older buyers, because the core teen and college market population is not expected to grow over the next five years".

"Often the older consumer is looking for deep catalog titles by artists like Paul McCartney, Bruce Springsteen, Santana and the Rolling Stones. But with growing consolidation within the retail market - and the rise of mass merchandisers in the place of failing independent music sellers - there's less chance the stores they shop will carry the types of music they're looking to buy."

When reviewing the needs of an older demographic segment, several possible prescriptions for dwindling sales present themselves, adds the NPD. Included are:

1. Focus on the revival of legacy artists - Recent music industry sales successes of CD compilations by older artists (e.g., The Beatles "One" and Pink Floyd "Echoes") illustrate that mature buyers will still purchase music when it fits their taste. "There remains a big opportunity for additional sales of legacy artists among older consumers," says Crupnick.

2. Create specialized sections for adult consumers - As consumers get older, they are less likely to be influenced by radio and more likely to be influenced by finding a record while browsing. In fact, just over a quarter of people age 35 or older report purchasing a CD after hearing a single on the radio, versus more than half of teens. Said Crupnick, "music merchandisers need to look at each segment of their consumer base separately and, when possible, cater to the way they shop. Point-of-purchase merchandising and sales incentives targeted toward older consumers might also help increase sales."

3. Leverage targeted marketing - Advertising influenced purchases of music among 12 percent of teens (age 13 to 17), but the same can be said for only 4 percent of music buyers over the age of 36. Said Crupnick, "Whether this finding implies that younger people are more susceptible to advertising than mature consumers can be debated; but it makes sense for record labels and retailers to revisit marketing and advertising plans, to reach the eyes and ears of older consumers."

Source: www.p2pnet.net

Related News from Mi2N:
» Declining Music Sales: It's Not All Digital Downloading, Says The NPD Group


Home » News Beat » Declining Music Sales Aren't All Down to File - Sharing: Report
Permalink:http://www.musicdish.com/mag/?id=8265
Email |Print |Comment |RSS

back | top


MusicDish Advertising Network

News Beat

» ICE and Facebook Reach Multi-Territory Music Licensing Agreement

» B-Reel Named Top 10 Most Innovative Company in Music by Fast Company

» VNUE Inc. To Acquire Music Rights Startup Soundstr

» Viberate & Imogen Heap Strive To Give Equal Opportunity To Every Artist

» Mixcloud Taps Gracenote for Advanced Music Recognition

News Beat Directory



» [2018-02-21] Briony Turner And Alec Boateng Promoted To Co-Heads Of A&R, Atlantic Records UK; Turner And Boateng Will Oversee The Atlantic A&R Team, Joint Projects, As Well As Maintaining Their Own Artist Rosters

» [2018-02-21] ICE And Facebook Reach Multi-Territory Music Licensing Agreement; New Deal Will See Songwriters And Composers Remunerated

» [2018-02-20] B-Reel Named Top 10 Most Innovative Company In Music By Fast Company; Global Creative Agency Receives Honor For Its Award-Winning Gorillaz Campaign

» [2018-02-18] YG PLUS And Gracenote To Bring K-POP To Fans Around The World; Gracenote And YG PLUS To Make All K-POP Music More Searchable And Discoverable On Global And Regional Streaming Music Platforms And Services

» [2018-02-17] VNUE Inc. To Acquire Music Rights Startup Soundstr; VNUE Acquisition Aims To Ensure A Fairer Royalty System

» [2018-02-17] Is Podcasting The New Radio?; 25% Of Surveyed Americans Say They've Listened To A Podcast In The Past Month, Up From Less Than 10% In 2008

» [2018-02-01] Insomniac Announces Inaugural Electric Daisy Carnival China Set To Debut In Shanghai; China Marks EDC's Second Location On The Asian Continent

» [2018-02-01] Viberate & Imogen Heap Strive To Give Equal Opportunity To Every Artist; Heap's Main Role In Viberate's Advisory Team Will Be To Help Further Guide Us Toward A Second To None Service For The Live Music Segment

» [2018-01-22] Italian Independent Music Collective Fil1993 Group Signs With MusicDish*China; MusicDish*China Will Be Developing Their Online Presence And Social Media In China As Well As Releasing Their Catalogue To Chinese Streaming Music Services

» [2017-12-25] MusicDish*China Presents 'Savage Guitarist' Todd Clouser In Beijing; As Part Of His #YouTheBrave Asia Tour That Includes 8 Shows Across Japan, Todd Will Be Giving Solo Shows At Laifu Livehouse On 12/27 And Temple Bar On 12/28

» [2017-12-20] Mixcloud Taps Gracenote For Advanced Music Recognition; Next-generation Audio Fingerprinting Helps Mixcloud Identify And Catalog Copyrighted Music Within User-generated Content

» [2017-12-18] Copyright Royalty Board Increases Sirius XM Royalty Rate; Judges Announce Royalty Rates And Terms For Satellite Audio Radio Services (SDARS) And Preexisting Subscription Services
MusicDish Advertising Network

follow MusicDish on
Follow MusicDish on Twitter

Mi2N Music PR

Hybrid Studios Hosts Annual NAMM Afterparty

High Definition Music Card - The New Way To Experience Music!

DEATH BY MISADVENTURE, New True Mystery Podcast Launches 31st January 2018

Music And Kids Joins Forces With Carnie Wilson, With Plans To Provide One-on-One After-School Music Education To Thousands Of Middle And High School Students

Don Dawil's Valentine's Day Debut Latin Single "Necesito Verte"

Taking Applications - The 23rd Annual USA Songwriting Competition

The International Music Consulting Firm GINGIO Hosts Events At NAMM And Grammy Weeks



Websites: Mi2N | MusicDish*China | MusicDish Network | MusicDishTV | Urban Music News Network
Services: Submit Article | Submit News | Submit Video | Artist Development | Premium PR Distribution

Copyright © 1997-2018 MusicDish LLC., all rights reserved.
About MusicDish e-Journal | Contact Us | Advertise | RSS | Internships