I’m surprised that in all these threads no one has ever really stated something that i always thought was obvious.
CD sales are down, that’s indiputable. The RIAA would have you believe it’s due entirely to file sharing, but for godsakes, look at the rest of the entertainment industry!
people are spending a record breaking amount at the movies.*
people are buying more DVD’s.*
The video games industry is setting sales records
How much disposable income does a consumer have? Something’s gotta give, and the consumer has chosen to spend his money on video games and movies rather than music. IMO, music offers the least value for the dollar.
As an example, the DVD for The Bodyguard costs $13.50. the soundtrack is $13.99.
I just picked that movie out of my head, because it was successful both as a movie and a soundtrack. Now they’re basically the same price. I could spend my $14 on a movie that’ll kill 1.5-2 hours of my time (plus any bonus features), or spend $14 on a cd, that depending on how many songs i actually like, might take up anywhere from 5 minutes to an hour of my time. Which offers the better value?
The bodyguard is an illustration, but the same can be said for basically any DVD vs. music cd. DVD’s average, what, $20 or so? CD’s around $15? You’re getting a movie, commentaries, deleted scenes, alternate endings, and whatever else they decide to stuff onto the DVD for 5 bucks more than you’d pay for a cd with maybe 3 songs you’ll ever listen to.
A video game offers potentially HUNDREDS of hours of playing time for only 4x the price of a cd.
And throw a bad economy in there to boot. Does th RIAA expect the consumer to fuel a record breaking year at the box office, in the video game industry, and in music sales all at the same time, and all during a bad economic period?
Please note I’m not condoning file sharing, or saying it’s the “greedy” RIAA’s fault they’re in the mess they’re in. Undoubtedly File sharing has eaten into sales. But whenever they say “Sales are down this year 14% due to file sharing” i think they sound ridiculous. Of that 14%, sales are down maybe 5% due to file sharing, 60% due to competition for the consumers entertainment dollar, and 35% due to crappy product.
YMMV
*these quotes were taken from the news service of bmoinvestorline.com who gets their news from Reuters. I can’t link directly to the articles beacsue you have to sign up to have access.