Apple Is Now the #1 US Music Retailer

Quantrell writes "A leaked e-mail shows that Apple hit the #1 spot for music sales in January. The article speculates that consumers cashing in their holiday gift cards may have played a role; but of course Wal-Mart and the other retailers sold gift cards too. The news is a mixed bag for the record labels. 'For the music industry, there is a dark side to Apple's ascension to the top of the charts. Buying patterns for digital downloads are different, as customers are far more likely to cherry pick a favorite track or two from an album than purchase the whole thing. In contrast, brick-and-mortar sales are predominantly high-margin CDs.'" We recently discussed Wal-Mart's role in the music business, back when they were selling nearly 20% of US music. For January Apple was at 19% and Wal-Mart at 15%.

Comments

Sue Different

[Doc Ruby]

Since Apple is the #1 music retailer, and the music biz is always the most copycat, fad-driven biz, they've got to start suing more of their customers.

They don't want the cool kids at the RIAA to think they're lame.

What will be the first Apple lawsuit crusade? DRM violation? iPod hacking? Or something really creative?