Monday, March 01, 2010

Universal Music: Online Music Sales 2009 Up

Universal Music seems to be winning with their online sales. P2P killing music.. Bah! No way. Universal Music Group's digital sales have grown 8.4% in 2009.

The format has changed from physical copy to digital. As one would expect if you belong to other distribution channels that allow content to be downloaded at a fraction of the price of the physical. Still, my thoughts are that physical product sales (CDs) are just over-priced per se. When you're paying a HUGE portion as an artist to the distribution channel [like 40% just to get it from a shop] it's no surprise that they are declining.

Okay this label has the likes of U2, Amy Winehouse, Lady Gaga, Taylor Swift, Black Eyed Peas, Rihanna, Eminem, and Lil Wayne are all on Universal. No small fish for the pop world wonders! So, we'd see healthy downloads as people use for both mp3 and smart phone usage!

According to TechCrunch mobile products have been "tempered by softening demand for mobile products in the United States and Japan". The author continues, "UMG says it will 'continue to encourage and support innovation', citing Spotify's iPhone application and MusicStation's presence on the Android Market as examples."

Well, that and maybe making songs for download simultaneously worldwide via your new distribution channels might stop p2p, or at least make the temptation a lot less. This seems to be a widening and a sad approach to frustrating money paying fans, who in desperation make their way to p2p places to download something they'd have otherwise paid for.

I for one and very frustrated with walled off sales on websites. I think they stifle the artist and directly effect sales. The market has now changed. If you're not selling your products at the right time, then blame the p2p community for killing your profits. Still, there is having cake and eating it in my opinion. Force ISPs to block p2p, so people cannot listen to an album before buying and not allow downloads. Mmmmm... something familiar here?

It would not surprise me if Apple etc encode a download code in the AAC code, so if you share something, they know the culprit. Watch this space for more info.

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