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More People Bought Physical CDs and Vinyl Than Songs on iTunes Last Year (bgr.com)

An anonymous reader quotes BGR: Sales from individual song downloads have unsurprisingly been falling with no end in sight, thanks to the convenience of streaming options like Spotify and Apple Music. A new report, though, makes clear just how few people there are these days who will buy individual digital songs -- there are so few of them, in fact, that they were outnumbered in 2018 by people who went old-school and bought actual compact discs and vinyl records.

According to the Recording Industry Association of America, total download sales in 2018 -- for which iTunes led the pack -- dropped almost 30%, to a little more than $1 billion. Purchases of full album downloads likewise fell, by 25%. To put that in context, download sales represented more than 40% of the music industry's revenue back in 2013. Last year? About 11%.

Meanwhile, that drop in sales has resulted in a lop-sided reality that harkens back to the pre-iTunes days. Sales of physical media including CDs and vinyl, according to the RIAA's new report, were down 23 percent but totaled $1.15 billion, thus edging out digital download sales. Another interesting takeaway from the new report: Music fans bought almost $420 million worth of vinyl in 2018, which Cult of Mac notes in a piece today is almost as much as people spent buying album downloads from iTunes last year.

The RIAA reports that "virtually all the revenue growth" for 2018 came from streaming music platforms like Spotify, Apple Music, Amazon Music, and Tidal, which last year collectively added 1 million new subscribers every single month, and now have a record number of more than 50 million subscribers.

"By the way, don't be fooled into reading something positive about CDs from the title of this post," adds BGR. "While physical media sales were down 23%, CD sales themselves slipped 34% for the year to $698 million. That's the first time CD yearly revenue has come in below $1 billion since 1986."

24 of 160 comments (clear)

  1. Indie music, indie platforms. by eggman9713 · · Score: 4, Informative

    I've been getting way more into indie music genres, and by far my most used purchasing platform is now Bandcamp. DRM-free downloads, the ability to preview the entire track or album before buying, stream the purchased music on their mobile app, and the ability to download high-quality AIFF, WAV, FLAC, etc. formats for archivists and packrats like me. Any time I find a piece of music I want to buy, I always check Bandcamp first. iTunes is now my last resort for digital purchase.

    1. Re:Indie music, indie platforms. by ctilsie242 · · Score: 2

      For some reason, the big labels seemed to have dropped some of the bands that are not big, but are worth listening to. Thankfully, Bandcamp has picked them up.

      The closest analog to Bandcamp is the old mp3.com. There is a lot of mediocre stuff there... but there is a lot of very good stuff that is worth a listen. Worst case, if you don't like a band, go to another page.

      The fact that I can download in a high quality format (WAV, FLAC, ALAC) makes it worth it. I can keep the uncompressed or lossless compressed stuff in my media library, and transcode as needed, depending on device.

  2. It's about preservation by MpVpRb · · Score: 5, Insightful

    If I love a piece of music enough that want to preserve it in my library, I want a CD for backup, even if most times I listen to it as bits on a device
    I trust my backup abilities way more than I trust the cloud or streaming services

    1. Re:It's about preservation by Anonymous Coward · · Score: 3, Insightful

      I have perfectly playable CD's from 1983. That is 35 years ago. What do you think the odds are that your streaming service will be around in 2055? Oh, and I have never lost a CD or had one stop working and I used to carry them in cars when cars had CD players.

    2. Re:It's about preservation by Mike+Frett · · Score: 4, Insightful

      Knowingly spewing BS like should be a crime. I've got 30 year old CD's that I've taken care of, which isn't that difficult at all. If a CD get's burnt up in a fire that's one CD, when a cloud service goes belly up, which happens often, that's millions of virtual CD's.
      There are 1001 ways streaming services are NOT better. Let's not even talk about what happens if the electricity goes out or how a person can convert all their CD's to MP3's.

      So I apologize, but you're full of it.

    3. Re:It's about preservation by careysub · · Score: 2

      CDs get lost, burn up in fires, get scratch, lots of things happen. streaming services generally are a much better way to preserve the files.

      This claim - that it is silly to cache stuff locally in media that you control, that the "net will provide" - is something I've heard ever since before the Internet went public.

      As the half-life of digital services is a few years at most, over the course of a decade or two, access to lots of things disappear. Any sort of service providing access to copyrighted material at a reasonable cost is one lobbyist-written piece of legislation, or lawsuit under existing law, away from being taken away. That is if the service itself does not suddenly shut down for its own reasons.

      There is a reason that Archive.org exists, and is very important, and it does not successfully save everything. If there is something on the Internet this is of value to you, you should cache it locally.

      --
      Starships were meant to fly, Hands up and touch the sky - Nicky Minaj
  3. Can confirm, bought lot's of physical media in '18 by Proudrooster · · Score: 2

    Believe it or not, old school is back in my house.

    iPods, with Sound Docks (check, 30-pins are cheaper than dirt, good sound quality, easily repairable)
    iTunes library on a NAS (check)
    Plex Home Media Server on a NAS, (check)
    Rasperry Pi with Hi Fi Berry as a player (check)

    I love going on Ebay or to a local CD resale shop, finding media, bringing it home and putting it on the home media server then storing the media in the basement.

    Streaming is great, but you can never seem to find what you want when you want it, or you have to rent/but it.
    Streaming doesn't work it in the car, but the 128GB iPod works just fine with voice controls and playlists.

  4. Re:No surprise by chispito · · Score: 4, Funny

    Most folks steam their music.

    Yes, we call them "steamed jams." It's an Albany expression.

    --
    The Daddy casts sleep on the Baby. The Baby resists!
  5. I buy a lot of used CDs, by pecosdave · · Score: 5, Informative

    you can seriously pick them up anywhere from a few bucks, to a few bucks for a box full, to free sometimes.

    When you want to buy music new on Amazon sometimes it's cheaper to buy the physical disk with "Auto-Rip" than it is to buy just the digital album.

    Either way, I rip the disk to Ogg/Vorbis and keep it on my phone, and everything else I own. They still sound awesome, and unlike vinyl and tape media they still sound just as good today as the day the original owner bought them fifteen years ago even if they were played hundreds of times. (unless you bought from an ogre that didn't take care of them, then you can still sometimes run the polisher)

    As far as I'm concerned buying a few used disks a month is cheaper than a bandwidth draining subscription service, and in time you'll have a better selection than they do anyways. Unless you like pop, in which case the cost and storage of your music isn't the first serious contemplation you need to make about your music.

    --
    The preceding post was not a Slashvertisement.
  6. Rent e-stuff, buy real stuff by pedz · · Score: 2

    I subscribe to Apple Music which isn't a "purchase" but closer to rental. I find it is real fun to walk through old collections of 60s and 70s groups. But if and when I buy something, I buy a CD, DVD, blu ray. I have purchased a very few items via download but there are (still) all sorts of fears and problems. You get the idea that the purchase is "in the cloud" and will be there forever but that's not true for a number of reasons. There are also issues with transfer of ownership (as far as I know) and generally there are problems with loaning folks your copy of something.

  7. Re:cheaper to spotify by BlazeMiskulin · · Score: 5, Insightful

    Because I only pay for that song once. I can listen to it for the next 50 years without paying anything more, and it can't be "discontinued".

    I have vinyl going back 70+ years. It was paid for once, and generations of our family can still listen to it.

    If you want to rent your music and have its availability subject to the whims of someone else, that's your choice. Some of us, however, prefer ownership.

  8. Re:cheaper to spotify by MightyYar · · Score: 3, Interesting

    I spend a tiny fraction on music compared to in the past. I discover music on YouTube or some other free streaming service and only buy when I really, really like it and want to listen repeatedly. In the bad ol' days, I'd hear one good song and buy an entire - sometimes terrible - album. Now I can try before I buy.

    I'm also older, so there's that. Old people don't spend as much on music.

    --
    W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
  9. Re:Um... not to be too picky, but. by Dutch+Gun · · Score: 4, Informative

    The music files are sitting on your local machine, in AAC format, and are all DRM free. I'm not sure how you consider that "renting."

    You can argue whether or not you care about having the data in uncompressed format, but beyond that, the argument seems a bit weak. They're both just digital bits on a physical medium.

    --
    Irony: Agile development has too much intertia to be abandoned now.
  10. Sloppy writing by sootman · · Score: 4, Interesting

    The headline says "More people bought physical CDs and vinyl than songs on iTunes" but the numbers given are "total download sales in 2018 [were] a little more than $1 billion", "Purchases of full album downloads likewise fell, by 25%", and finally "Sales of physical media... totaled $1.15 billion".

    So are we talking about number of people, as said in the headline, or song sales, or album sales, or money?

    I clicked through to the report and the most shocking thing to me was that people spent $25 million on ringtones and ringbacks in 2018.

    As far as I can tell, the numbers don't account for any second-hand sales of physical media at all, which may not be a thriving market but also isn't trivial, at least in terms of unit sales. Money-wise, it's probably pretty low, due to high supply and low demand resulting in low prices.

    Regardless of what they counted or how, I'm pretty sure most artists are still getting fucked.

    --
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  11. iTunes music has been DRM-free for a decade by tepples · · Score: 4, Informative

    you don't really *buy* songs on iTunes, you rent them.
    (Same as with any service that doesn't provide you with physical media.)

    To be fair, music purchased on iTunes Store since 2009 has been delivered as DRM-free M4A (MPEG-4 AAC audio) files that play on numerous devices. You can back up these files to CD-R, DVD+R, or whatever other physical media you prefer.

    But I use Amazon instead of iTunes for one reason: Amazon makes a downloader available as a web application that works in Firefox for X11/Linux. It thus runs on an x86-64 desktop or laptop computer or on an Arm-powered Raspberry Pi computer. Amazon also publishes a native downloader for Android. iTunes Store, on the other hand, relies on a native downloader application available only for macOS, Windows, and iOS, and the Windows version was incompatible with Wine last I checked.

    1. Re:iTunes music has been DRM-free for a decade by j-beda · · Score: 3, Informative

      Well that is just great for everyone who started buying digital music after 2009. What about us old fogies?

      At some point there was an option available to "upgrade" previously DRMed music to tracks without DRM, I think for an extra fee. One can also do some tricks with "iTunes match" to get higher bitrate, non-DRM versions of music from Apple. However, this only works for music that is in Apple's current catalogue - I think if your have DRM versions of music that Apple no longer sells, you can still re-download it, but it is still the old DRMed file.

      Anyhow, here are some directions from Apple on how to upgrade tracks to "iTunes Plus" - https://support.apple.com/en-c...

  12. any platform, if the song was released in Vinyl by williamyf · · Score: 2, Interesting

    If you take a "Modern" song, and try to put it in Vinyl, the moder equalization would make the needle jump out of the record. This is termed "Loudness Wars", and was made possible by the introduction of Digital Music (CD, DCC, MiniDisk, etc).

    If the song you want was released in Vinyl AND the same mix was used for Vinyl, CD and digital download, you can feel free to get it in the media most convenient to you.

    If, on the other hand, there are different mixes dependeng on the media, go for Vinyl, you will not get the most acurate reproduction, and there may be noise, but at least, you will get a hell of a lot better dynamic range in your song.

    https://www.nytimes.com/2019/0...

    --
    *** Suerte a todos y Feliz dia!
  13. Re:Um... not to be too picky, but. by Anonymous Coward · · Score: 4, Informative

    Sure, I bought the songs, except when I updated my Mac, several songs were deleted without my consent or knowledge. I only found out after six months when I synced my iPhone and it reported that some of the songs were no longer available. Apparently this is a bug that goes back at least 2016 that has never been fixed. The songs are no longer associated with the albums that I bought, and the advice online was "you should have backed up your songs." Not very helpful advice after the fact. I have TimeMachine set up, but I wasn't able to go far enough back to restore the missing files. Now I have an album that jump from track 13 to track 16 because of the missing songs.

    Yes, you buy the songs from Apple, but Apple can modify your iTunes library without informing you of the changes or requiring your consent. And despite Apple causing the files to be deleted, they are not responsible for any damages.

    I regret making purchases through iTunes and having an iPhone, and an AppleTV, that is controlled by an external entity who can change the terms of service at any time.

  14. It's impossible to hold a "streaming" file. by TigerPlish · · Score: 4, Insightful

    But a record, ahhh... that's tangible. Feel it. Smell it. The smell of library. The smell of history. The smell of many rounds of weed cleaned with licenses on the folds of an LP cover.

    Run the Hunt EDA carbon fiber along the surface.

    Brush off the dust bunnies off the stylus.

    Hear the ker-thunk *plop* as the stylus settles into the groove.

    Watch the the filaments in the KT-88 power tubes run their cheerful cherry orange. Ditty for the 12AX7s in the preamp. Smell it. Dust on hot glass.

    Amaze yourself at the total lack of snap-crackle-pop, because you have a real turntable, not some made-in-china massmarket unit. No, you're running something German, from the mid-70's. When vinyl was the only game, really.

    Streaming for convenience. Physical, tangible, for the foreverness.

    I'm going to say this very carefully, very deliberately: Fuck... this modern world and its 100% fakeness. Fuck it long and hard, dry, with a very splintered phone pole.

    There's *nothing* like that which you can hold, and store, and cherish, and long for, lust for. Fuck this fake digital modern world.

    But truly, nothing beats the sheet music in front of you, with your barely-able fingers poised over the ebonies and ivories.

    Fuck this modern world and those who worship at its altar.

    There's still room for the old ways.

    --
    The "Civilized World" jumped the shark ca. 1973.
    1. Re:It's impossible to hold a "streaming" file. by Anonymous Coward · · Score: 4, Funny

      *Sent from my iPhone

  15. Buy then digitize by SuperKendall · · Score: 5, Interesting

    CDs get lost, burn up in fires, get scratch, lots of things happen. streaming services generally are a much better way to preserve the files.

    You think that right up until your streaming service of choice suddenly drops some music you listen to often. There is more music than you think that can drift in and out of music service coverage... this has happened to my wife before.

    With a CD, as long as you can read it once you are golden. Just digitize it yourself - using a service like iTunes Match even means you can still listen to it even if it's not on the streaming service the company offers. (not sure what companies besides Apple offer something like iTunes Match).

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
    1. Re:Buy then digitize by GrumpySteen · · Score: 2

      Pedantry for the win!

  16. Physical media by AHuxley · · Score: 2

    Something a big company can't find sinful.
    Who wants to find their digital music fully curated due to politics?

    --
    Domestic spying is now "Benign Information Gathering"
  17. Are the Results Drvien by Demographic? by ytene · · Score: 2

    The data quoted by the OP, which comes from bgr.com, suggests that download sales fell precipitously in 2018, whilst physical CD and vinyl sales were less impacted, even though they, too, fell.

    The linked article doesn't break down their headline numbers in to demographics, but when this topic is covered elsewhere, there is a stated generalization that download sales are driven more by milennials, whilst legacy formats are driven mainly by older consumers. [It's tempting to take this one step further and observe that there may be a direct correlation between the age of the buyer and the format purchased, but I'm less convinced by that].

    So perhaps the data quoted is telling us something else, which is that maybe milennials cut back significantly on their music purchases last year? That, if substantiated, would be a much more interesting angle to cover, because that one element marks a significant change in trend. Then the question becomes: is that a one-off, or is that something deeper?

    In a way it's a shame that formats like SACD and DVD-A didn't catch on in the same way that the video industry has managed a more successful transition from tape to DVD to BluRay to 4K. Perhaps this says more about our lifestyles [you actually have to sit still and watch a movie, whilst music can now be enjoyed "on the move" far more easily than ever before] than it does about our desire for higher quality music.

    Last point - on the slip of CD sales... I still purchase physical CDs and will continue to do so for as long as they are available. However, if I can obtain it, I now prefer to purchase high definition audio (say 192-bit, 96kHz) if the mastered copies are being offered for sale. It would be interesting to know whether the data underpinning the bgr.com article includes these "hi-def" sales in their download numbers (given they are almost exclusively offered by specialist retailers). I know several music-enthusiast friends who are making the same switch when they can.