Amazon.com $3.99 album sales don't really help, iTunes is still dominating digital sales | Hipster Runoff

Amazon.com $3.99 album sales don't really help, iTunes is still dominating digital sales


From what I understand, some bands expect to be paid 'in real money' for making MP3s, so there are a few retailers who sell MP3s. Much like physical stores, they are kinda like some sort of 'place where u buy shit', and they compete against one another by having gimmicks/price cuts/etc.

Anyways, a lot of ppl were wondering 'Is Amazon's MP3 selling business catching up with iTunes?' Amazon offers DRM free mp3s, and iPods MP3s are all protected and shit, and sometimes Amazon offers 'low deals' on entire MP3 albums, bc if u rlly think abt it... How much is an MP3 worth? Should all MP3s really 'cost the same'? Is an MP3 hidden on a CD worth more than an MP3 u buy from a retailer?

Amazon will do this thing where it 'drastically reduces prices' on new/old albums just to get customers 2 buy the album from them. Apparently Amazon MP3 'still blows' and 'iTunes is kicking ass.'

On the day Apple Inc. rolled out the Beatles' catalog on its iTunes Store, Amazon.com Inc. fired back with a digital exclusive of its own: The latest album from rap-rocker Kid Rock—whose music still isn't available on iTunes—for just $3.99.

Such steep discounts are a cornerstone of Amazon's strategy to gain traction in a market in which iTunes remains the dominant player. At the same time, a debate has arisen among music labels about whether such discounts risk undermining the value of their products.

Do bands get to decide their pricepoint?
Should bands even sell mp3s on iTunes/amazon?
How much do $$ do artists even see when u buy their music from megaretailers?
Have u ever purchased an album 'at a sweet discount' [via bargain bins]?
Should MP3s rise/fall in price depending on the market for them?

Amazon's share of the paid digital-download market rose to 13.3% in the third quarter, from 11% the year earlier, according to estimates from research firm NPD Group. Meanwhile, iTunes' share rose to 66.2%, from 63.2%.

Am I a lamestreamer if I buy music from iTunes?

How does album selling even work? Seems all confusing...

But when Amazon promotes a high-profile album as its daily deal, it typically pays the full wholesale price for the album—generally $7 to $8—and eats the loss, according to people familiar with the matter. That was the case with another recent high-profile special offer, Kanye West's "My Beautiful Dark Twisted Fantasy," according to people familiar with the matter.

In contrast, Amazon's monthly promotion of 100 albums for $5 each generally involves the cooperation of record labels and distributors, according to people in the industry. After haggling over what titles will be included in the promotion, the labels will temporarily cut their wholesale prices for the promotion. The process is similar to promotions at brick-and-mortar retailers like Best Buy Co.

Don't even rlly care, now that I think abt it.
Basically steal all of my music [via rapidshare/mediafire/etc]...
Whatevz
Hope all those mainstreamers have fun buying music from iTunes/Amazon.

Do yall miss Lala?
Do u 'listen 2 pandora all day'?
Is iTunes 4 tweens, cool dads, and lamestreamers who own iPods & iPhones?
Is itunes 'a brilliant product'?
Should Amazon stick to selling _________ [evrything]?
Should Amazon open up physical stores so we can go in and browse what they have?
Is 'selling MP3s' funnie because it competes against 'selling physical units' so both sides are kinda effed?