Downloaded Music Gets More Expensive
Reverberant writes "Just as the online music market is starting to gain traction, what to music execs want to do? Why, raise prices, of course! Under consideration is raising the price of online singles up to $1.25 to $2.49, or bundling less desirable tracks with hot singles."
Geez louise! That's exactly the problem with CD distribution in the first place! They still want me to believe I need to spend over $ 16 bucks on a disc that I know damn well cost them only $ 0.40 to manufacture and distro. Even with a couple bucks to the artist and the studio, it's overpriced. Then, I have to buy 12 or more songs, of which I'm only ever going to like about 3. Which is why I want my iTunes and MP3s in the first place. I like to be able to take even my legitimately purchased music and reduce it to the set of what *I* want to listen to. Isn't that my right as a consumer? Oh, and let me pick the medium to do it, whether that's my PC, my iPod, or a CD mix I burn for the car...
(and maybe also first post?)
Ich suche die Leidenschaft, die keine Leiden schafft.
They want to charge what the market will bear, so as participants in that market we should refuse to bear their prices.
It's holding steady at $0.00 per song, last I checked. ;-)
"I only speak the truth"
Karma: null(Mostly affected by an unassigned variable)
Trying to get me to buy a cd or downloaded music for anything other then $10 when DVDs are loaded with tons of extra for only $15 or so.
Daily Shenanigans
The point you missed here is, competition normally drives prices down. They know this too, thats why they want to artifically inflate prices so they can continue riding high.
A slip of the foot you may soon recover, but a slip of the tongue you may never get over. -Benjamin Franklin
Yes, I believe this is called an "album" these days.
Will they ever learn? Having to buy whole albums with only a single good tune was one of the major reasons why online music became so popular, and why P2P is so useful. Downloading single songs is great, costs very little yet delivers exactly what we want.
And now they're going to "bundle" it up again? Force us to get more than what we want with the package, and obviously pay for it?
They'll never learn...
If he explores all forms and substances Straight homeward to their symbol-essences; He shall not die.
Magnatune experimented with what I would term "tipware". Here, you pay a certain amount in excess of a minimum (like at a restaurant) as opposed to donationware where the minimum is $0. Data is available from this, and it might surprise you.
-I am an elective eunuch.
Yes, you read that right - online stores just selling downloads are charging *more* than Amazon does for the CD itself (and Amazon typically has free shipping if you get at least $25 worth of stuff). That's seriously ridiculous: while I'm looking at this new "revolution" of pay-for-download music optimistically, I must admit that having the hard copy is still just better. Much better audio quality if you're an audiophile, ability to rip it and do what you want with it, and while the jewel cases suck the little inserted booklets are often pretty handy. Stick the CD and the booklet into your 288 CD binder and you're good to go. Unless they start packaging downloads with nicely designed info files with picures and lyrics and such, I'm not interested.
Is there ANYONE at the top of the music industry who has a clue? Consumers get a chance to get choices and pay half-decent prices. So what does the industry do? Take away the choices (the whole reason why people we're moving to online music) and raise the prices! They want to take away every reason to buy things online. They act like jerks to customers, customers demand something better, something better comes, the industry tries to change it to treat customers like jerks.
What a winning business strategy. QUICK! Call Donald Trump and tell him the great idea!.
Does anyone else get the feeling that music industry execs don't listen to any music? How else could they be so radically out of touch with what they are doing to consumers?
Comment forecast: Bits of genius surrounded by a sea of mediocrity.
I wish that the RIAA would "get it". Their sibling organization, the MPAA, has at least realised that if the merchandise is inexpensive enough, people will buy it, despite their objections on DRM (region codes) and forced things like the startup commercials. I don't like what the MPAA did to try to get DeCSS, but their products are cheap enough that I feel that I'm getting my money's worth by buying them.
The RIAA charges as much for a CD as the MPAA for a movie. I don't feel that this is worthwhile, and thus I don't buy music, while I'll buy a DVD once a month. There's no reason to charge more than $10 for a regular CD. $17.99 is just ridiculous to expect from someone for twelve songs, with only two of those being particularly memorable.
Do not look into laser with remaining eye.
- Listen to a copy your friend has
- Skim through it at a record shop (if they will let you)
- Download it
I personally don't have money to burn (and like to make up my own mind) but I do like to own CDs because they sound better on my equipment than MP3s do. I wish there was a way to not get duped into buying something which wasn't up to scratch without 'being shadey' or having to wait for someone else to make the leap of faith.... just like CDs did.
If I knew the wedgies I gave you back in 6th grade would have resulted in this . . . I might have taken a moments pause.
Not crap attached to it.
Not stuff that'll cost more than it's worth.
I thought they had got this right, and now they come up with this crap.
If they had half a brain they would've realized by now that songs should be sold like domains are now.
Remember when domains cost $35? Now that they've opened it up, everyone and their grandma is selling domains, most of the time very cheaply. And you're not stuck having to buy hosting or other crap like what the music execs want to do now.
Imagine when (if) this will happen for music! Everyone and their grandma sellings songs, for cheap! And unlike domains, you can sell any song more than once!
But, for now, we're stuck with this BS. Oh well...
AC comments get piped to
Most albums have 0-1 decent songs on them. I wouldn't mine paying for single songs from albums like that. If the album is decent all the way through, I am going to jsut buy the CD.
Ummm...what sounds fine to you? The article says they may start bundling crappy songs with good songs. So, like buying an entire album, you have to pay for the bad track when all you wanted was the one good track.
$8.95/mo web hosting
Man: Well, what've you got?
Waitress: Well, there's egg and bacon; egg sausage and bacon; egg and spam; egg bacon and spam; egg bacon sausage and spam; spam bacon sausage and spam; spam egg spam spam bacon and spam; spam sausage spam spam bacon spam tomato and spam;
Waitress:
Waitress:
Wife: Have you got anything without spam?
Waitress: Well, there's spam egg sausage and spam, that's not got much spam in it.
Wife: I don't want ANY spam!
Man: Why can't she have egg bacon spam and sausage?
Wife: THAT'S got spam in it!
Man: Hasn't got as much spam in it as spam egg sausage and spam, has it?
Wife: Could you do the egg bacon spam and sausage without the spam then?
Waitress: Urgghh!
1. Jump from the airplane without opening a parachute. When falling, sue the ground for being hard and the air for being soft, but refuse to do the sensible thing everyone is suggesting.
2. When just seconds from hitting the rocks, finally open a parachute in desperation
3. As soon as they slow the fall to survivable speed, start thinking about folding the parachute again and toughing it out.
4. ???
5. PROFIT!!!
Virgin Megastores recently offered 6 CD's for 30, basically working out at a fiver a go. I bought my first Cd's for years during this deal, because music once again became affordable for me.
Similarly, a lot of people don't object to legally purchusaing music from iTunes etc. If they're going to push the prices up again, the same thing will happen, more and more people will turn to downloading it for free P2P. Untill the record companies wise up to these simple facts, we're just going to keep going round in circles.
RIAA Exec #2: Yes. Brilliant!!
RIAA Exec #1: Well, I've devised a new way to get even more money from them.
RIAA Exec #2: More you say? But how?
RIAA Exec #1: We'll charge them more and take it all anyway!
RIAA Exec #2: Brilliant!!
RIAA Exec #1: And you know how we can't seem to sell all this other crap?
(Points to rotting pile of Shakira singles)
RIAA Exec #1: Well I thought of a way to get rid of that too.
(Staples a worthless single to a Top-40 single and doubles the price)
RIAA Exec #2: Brilliant!!
(Both strip off their clothes and have sex with pigs on a huge pile of cash.)
--FIN--
-- I'm not a pessimist, I'm a realist. It's not my fault that life sucks so much. --
I buy CDs because I like to get whole albums, rather than picking individual singles. Why is that? I really enjoy albums that are a complete whole - concept albums, themed albums, whatever you care to call it. That is, I don't suffer from the "Buy a CD to get 1 or 2 popular songs, and get a whole bunch of crap" problem because I just don't buy those albums. My problem is thus: The amount of stuff out there is getting thinner and thinner.
In days gone by you could get Animals, or The Wall, and even albums that weren't that tightly bound often tended to be designed to at least have the tracks sit together as a collective whle - to have some sort of theme and order to the m aterial presented on an album. In the last 10 years or so we've The Downward Spiral, another fine concept album, and the likes of Aphex Twin, and Autechre still put together albums as if all the tracks were designed to sit next to one another, plus myriads more doing similar things. But mainstream? Anything even approaching mainstream? It's harder and harder to find anything but a random collection of singles that bear no relation to one another, that fail to hang together in any way shape or form. I have an attention span that runs longer than 5 minutes. I'd like to listen to music that is more thna just a single. I'd like to listen to an hour or so of music that has theme and progression. Why is that getting so increasingly hard to find?
Jedidiah.
Craft Beer Programming T-shirts
If this is not price fixing, then I don't know what is... FTC, where are you ?
The Raven
Whats up with "less desirable tracks" in the first place? Why release them if you know people won't like them?
This is like raising the price of a pizza and then adding a side order of maggots.
Someday a Slashdot ID of 177180 will mean something.
ITunes let's you listen to 30 seconds of each song. Generally speaking I think that give you enough of the song to get a feeling if you're going to like it.
The other day I was at Barnes & Nobles (Waterfront in Pittsburgh) and they have these neat machines where you can listen to the whole album (no 30 second limit per song) for every single CD in the store. These little machine have a built-in bar code scanner. Scan the barcode, it starts playing! I am sure somewhere in the store there is a big server with lots of MP3s...
The music companies are reluctant to talk openly about their wholesale-pricing strategies, but they are quick to blame the retailers for higher prices. A spokeswoman for EMI, for instance, stresses that the retailers, not record companies, ultimately set the prices consumers pay.
I call bullshit. Retail price is directly related to inventory cost. Any retail outlet must meet operating costs by marking prices up. While I do feel some retailers are enjoying rather healthy margins, I know what it takes to run a brick-and-morter shop in direct competition with an online market. Which brings up another point- in the article it's mentioned many albums are now more expensive when downloaded online than actually paying for the physical CD.
Looks to me like record companies are starting to recognize that the problem is not piracy, but a crappy product. Even in legit download sites like iTunes, people are going right for the songs they like, and ignoring the crap they don't. What does the recording industry do? Raise prices on good songs, and bundle crap via the label "Also included!"
It's all about control- they want you to hear only what they feed you. They want you to pay for what they produce, whether or not you like it. Instead of buying the 3 or 4 songs off an album you like, they make it cheaper to buy the CD in a store, or if you still download- you get the other 4 or 5 crappy tracks along with it, "as an added bonus" (paid for by the price increase).
It's complete crap. What will it take for these overpaid execs to see what their market wants?
Really... The music industry (specifically the RIAA) still does not get it! They're obviously still working under the old school sales book of "find something consumers want, and as soon as they show they're willing to pay for it, raise the price".
Their business model is probably a slight variation of the typical "Underwear Gnomes" theory, and goes something like this...
1. Introduce new music/artists which sound and look very similar to other acts you've succesfully promoted
2. Drop newly signed artists if their debut record sales don't top the sales of existing signed acts
3. As soon as the listening audience shows interest in anything being promoted, immediately mass-market it to the point where they're all sick of it (Thus insuring that 90% of the signed acts out there never release a succesfull sophmore album due to the over-saturation of their 1st)
4. As people begin to get sick of the oversaturation, begin to crank up prices to try and suck as much as possible from the remaining buyers
5. As sales continue to dwindle off, spend enormous amounts of money tying to find a scape goat to point the finger at, rather than
a. spend that money on R&D to improve the company's operations
b. spend it on signing better, more original acts.
c. Trying to figure out what consumers really want
6. Sue, and threaten to sue anyone who markets or trades music in any way outside of the usual channels established by said music industry. Above all, DO NOT let the established monopoly change
7. Continue to charge more to those who are honest and continue to pay for their music. Blame the increase on the scape goats established in step 5
8. Repeat
As the saying goes, "Meet the new boss, same as the old boss".
There were practical reasons to justify the existence of b-sides, the most prominent one being that vinyl in fact had a b-side, something might as well by pressed there, and the person buying the single mostly just wanted the single.
And people bought singles. IIRC, singles were of a higher quality than LPs. Also, people often wanted, and only had enough money, for the single. Many were willing to wait for the LP to go on the used rack
The interesting thing is that in the pre p2p days, there was much talk that singles were the cause of the declining record sales. The labels claimed that people were buying singles instead of albums, which was likely true, but in that case we were actually paying money for music. The labels did not like that money and began to try to limit the availability of singles.
Which bring us to today and the current evil of p2p. One reason we do not legally license music(as we no longer are allowed to purchase it) is that the music is just not there. There are many tunes for which I have to download album for 10 bucks. I often buy the used cd for 7 or 8 bucks. Often the desired track is widely available. Just as often I can run off a copy from a friend. The labels need to just let Apple sell tracks for a buck. People are buying them. It solves a bunch of problems. All this other crap is just unneccesary jacking with market.
"She's a scientist and a lesbian. She's not going to let it slide." Orphan Black
Well, capitalism ( not competition ) is intrinsically designed to drive prices down, simply because of economies of scale ( ie. costs less per widget when a million widgets are made as opposed to when a hundred are made )
Competition can drive prices up or down -eg. In his classic book, Professor & psychologist Robert Cialdini talks about one common tactic to get customers to buy your product - RAISE prices!
Customers have this mistaken perception that price equals value, so higher price translates in their mind to valuable, lower prices to inferior/cheap goods ( this actually goes waaaay back, to Karl Marx's Labor Theory of Value )
The masses might actually buy a $5 song in the mistaken assumption that it is somehow more valuable than a song for $0.99.
"considering they have to pay for advertising, marketing, distribution, renting the studios, etc."
How much marketing do the record companies do for Elvis, The Eagles, Frank Sinatra, The Rolling Stones, and The Beatles these days?
You were mistaken. Which is odd, since memory shouldn't be a problem for you
The in-store listening-posts or whatever they call them are indeed groovy.
The 30 second limit on iTunes sounds a little stupid to me, it would make more sense to let people hear a whole 64bit encoded mp3.
Reasoning? Jump to 30 seconds into:
American Woman - The Guess Who
The End - The Doors
Beyond The Realms Of Death - Judas Priest
Champagne Supernova - Oasis
Here I Go Again - Whitesnake
You Can't Always Get What You Want - The Rolling Stones
Today - Smashing Pumpkins
The first 30 seconds of these isn't really enough to get a good impression of the song, either because the kick-assedness steps up after 30 seconds, or because the lyrics don't start until later or both. Maybe I'm making something out of nothing, bearing in mind that most pop music lasts 2 minutes 30 seconds...
And...if you're a parent who wants to listen to a track before downloading it for your young child, you should be able to hear the lyrics and decide whether they are appropriate...
Why do people try to equate movie DVDs to music CDs this way? It's such a flawed comparison. Here are two big reasons why (and I'm sure there are others):
1. A movie will have made money at the box office; DVD sales are just gravy on top of that. Music isn't sold to you twice this way, you buy it on CD and that's it.
2. You'll get far more use out of a CD than you will a DVD. Think how many times you've listened to your favourite albums. Now think how many times you've watched your favourite films. Unless you're the sort of fool who wastes half his/her life watching Star Wars, Titanic or Grease every week then there's no comparision. With music, you get far more bang for your buck.
Please, stop trying to compare two totally different forms of entertainment in such a crude way. Just because they both come on a shiny 5.25 in. disc and they're sold in the same stores that doesn't mean they are equal.
By your rationale, all PC and console software should cost $10-20 too, but I think you're going to be seriously disappointed if you expect the price of new games to come down to that level just so that all the similar-looking shiny round things cost the same at your local mall.
"Accept that some days you are the pigeon, and some days you are the statue." - David Brent, Wernham Hogg
The iTMS doesn't play the first 30 seconds. I believe the authoring tool Apple supplies to the labels lets them choose which 30-second block is excerpted, per track.
I'm afraid the answer was price fixing, but thanks for playing. DVDs have much less stringent price controls, so nothing prevents a retailer from undercutting their competition. The same is unfortunately untrue of music distribution. You're also forgetting that they do sell the same music several times to you. I've seen people with the same album on vinyl, cassette and CD, and they'll probably get whatever next format comes out. There's no excuse for price fixing, and the music industry needs to get bitch-slapped by the FTC in a major way.
"I like systems, their application excepted", George Sand (French)
Examples: If you paid admission to a nightclub, some of that money goes to satisfy ASCAP / BMI. That money goes to all the members, even the musicians you hate. Hate rap? Well, too bad, you just kissed their ass. Hate Barbra Streisand? Tough. Buy ANYTHING advertised on radio, you are kissing their ass whether you like the music or not.
Bought stuff at a store that plays piped-in music? You guessed it! Some of your cash is going to gold-plated Escalades and coke, which I am sure these bastards find ways to deduct anyway at taxtime.
I totally agree. In a way nothing has changed. Restricting what other people can copy has nothing to do with property rights, or even creativity rights. Because of copyrights, they were enabled to be abusive and monopolistic to begin with. Then when copyright enforcement became threatened they started to file tons of lawsuits to keep alternatives at bay while offering other download venues for cheap prices. Now that they have a market toehold they are leveraging copyrights to choke off alternetive distribution and raise prices as they do to finance it.
Moral: liberty is an is an end in itself, not pricing, not artificial markets, not unjust property rights, not distribution of profits, not creation of music, or even the artists. There are a lof of good sounding cuases that people can sell their freedoms down the river for, but only one major reason to have liberty - and that is to have more freedom in the future.
Conclusion: Anything less than the outright abolition of copyright monopolies is just going to delay the inevitable and make the situation worse.
Silly wabbit. Those peskie anti-trust laws were secretly repealed back in 1980 when the last bit of civilization in the United States was destroyed.