Raja Jasti’s Blog - Renaissance Thinking

April 6, 2009

Amazon MP3 finds its niche

Filed under: Entertainment, Internet, Media — Tags: , , — Raja @ 2:46 pm

From CNET:

The NPD Group just sent out some an interesting statistics, based on a study conducted by its music-tracking service.

“In 2008, 87 percent of digital-music buyers in the U.S. used iTunes to download music, versus just 16 percent who used Amazon MP3,” according to a spokesman for the research group. (Those surveyed could list more than one store.)

On the face of it, the study’s numbers don’t sound so bad.

Russ Crupnick, an NPD analyst agreed that they should encourage Amazon. For one, the online retailer’s music store is in second place only 18 months after opening. Amazon’s digital-music store is also faring better than most of Apple’s previous challengers, Crupnick said.

“It used to be that iTunes was first, and second was practically nobody,” Crupnick said.

Amazon MP3 has begun to catch on with an audience that is a little older than the average iTunes shopper, and that’s good, Crupnick said.  

I think Amazon MP3 deserves credit for championing DRM free music. I am happy to see them duking it out with itunes.

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