Andre Yoskowitz
15 Apr 2008 17:58
According to a new analysis by The NPD Group, Amazon's MP3 store is having little to no effect on the flourishing success of the iTunes store.
The study revealed that only a measly 10 percent of all Amazon MP3 users are iTunes converts and that the majority are new to direct digital downloads. NPD entertainment analyst Russ Crupnick feels that the report shows that the new stores don't necessarily draw customers away from the behemoth that is iTunes.
Amazon currently sits in fourth among all US music sales and "claims just a tenth of the sales volume at its online store," the study adds. Amazon is behind Best Buy, Wal-Mart and iTunes and will need to "significantly increase its digital sales rate to surpass the higher-ranked stores" reads the study.
Amazon has seen its store grow on a couple of chief principles. It sells some songs for cheaper (89 cents) than iTunes, all tracks are DRM-free, and the store can be accessed on any modern operating system.