Digital music sales adds up in the U.S.
If you told me 2 years ago that Apple’s iTunes store would become the THIRD largest retailer of music in the USA, I would have laughed – and long – and hard. Digital music that is easy to trade and share become the 3rd biggest behind Wal-Mart and Best Buy in the USA.
ITunes had a 9.8 percent market share in the first quarter, ranking behind Wal-Mart Stores Inc.’s 15.8 percent and Best Buy Co.’s 13.8 percent, according to The NPD Group. Online retailer Amazon.com’s share was 6.7 percent, slightly ahead of Target’s 6.6 percent, NPD said.
Apple’s rise in the NPD survey reflects a key shift in the music industry: Compact disc sales are declining while digital music sales are climbing. That, plus the popularity of Apple’s iPod portable music players, has helped boost iTunes sales.
Still, digital music represented less than a quarter of total music units sold during the quarter, NPD said.
The promise made in the dotcom era is coming true, albeit slowly, but soon you’ll be saying good-bye to the CD’s like we already said good-bye to the vinyl and record player.