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The reasons behind declining CD sales

Written by Jari Ketola @ 04 Aug 2003 9:32 User comments (9)

The reasons behind declining CD sales BBC News Online has released an article investigating the reasons behind declining CD sales world-wide. Not too surprisingly they reach the same conclusion most of us have reached years ago -- the reasons are not in peer-to-peer or any other online piracy.
The top three reasons are CD piracy, declining number of releases, and new consumer markets. While RIAA claims that the CD sales are declining due to P2P swapping, they forget to mention that while CD sales dropped by 7% in 2002, the pirated CD sales rose 14%.

In 1999 38,900 individual titles were released in the US. The number of releases fell by 30% by 2001 when only 27,000 titles were released. With fewer titles on the market the number of units sold is bound to decrease as well. The number of titles released dropped mostly due to the fact that there are fewer old vinyl records being re-released on CD -- most of them have already been released and purchased by consumers looking to replace their vinyls with compact discs.

The last, but definitely not the least of reasons are the new entertainment markets. Consumers are investing a bigger portion of their "entertainment budget" to DVDs, mobile phones and other forms of entertainment.

"There is no doubt that some piracy is going on via peer-to-peer systems but maybe not to the extent the RIAA fears. Perhaps it is about time they sang a different song," BBC reporter Mark Ward closes.

BBC News

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9 user comments

14.8.2003 15:13

Ahhhhh... A voice of reason in the wilderness of BS. Thank you Mr. Ward. Maybe the RIAA is really singing the pirate song to appease the stockholders of their employers... Just a thought.

We mustn't lower ourselves to the level of those we loathe, lest we become loathsome ourselves.

24.8.2003 19:00

oh yea, like we didn't all know this.. why can't they figure that out?? oh well... peace

35.8.2003 0:09

Nothing new

(adrenaline Is the closest Total freedom)

45.8.2003 6:24

Good factual report from BBC's Mark Ward. P to P sharing is just a drop in the bucket, as compared to the conterfeiting going on, primarilly in Asia. We are overcomers, just looking for some new challenges. Regards to All! Rodgers

55.8.2003 16:32

Yup!!!! The fat lady sings:)))

68.8.2003 8:03

I"d also like to add.....the cost of a CD has risen astronomically also. At least here where I live in canada...I mean we are talking over 20 bucks..for what? Two maybe three good songs.??? Cirsinn

78.8.2003 9:57

Lets see well if the rest of the world sees the real problem then how come the RIAA is trying to close up technology? I just read where the companies are trying to get the internet metered. So this means that you pay per bits sent and received. This is really bad for people talking to the opposite sex on IM services. The REAL picture is that the RIAA and software companies and the MPAA is singing the Pirate song to justify such action. READ the news people and for God's Sake join the EFF and write to your congress and let them know that this is all a big hoax to levy huge tariffs on the Internet. And just to think I thought a few dollars tax would not be bad to suit the creaters but now they've taken it a step ferther. Don't be fooled by the RIAA and big wigs like Microsoft. They are not on our side or the side of any artist/creator/consummer. They are only on the side of business. Voodoohippie Share privately on Foldershare

88.8.2003 10:31

Yes Vudoo...I agree completely. Money is the bottom line with these greedy companies. The mansions, the huge stock options...the many cars, the designer wardrobes, the expensive luxurious vacations and let's not forget the free stuff and perks these rich jerks are getting. I"m so sick of it all. The marginal line between everyday folk and these guys is growing larger.

98.8.2003 11:43

Well we do have the power to change things but ask anyone to get off their asses and you get a ho hum attitude. If we don't get off our asses then the computers we love will be history. We are living in a socialist society folks whare everyone wants a slice of your pie. Stop the chaos before it is TOO late. Stop buying CD's for LIFE till we get what we want and join EFF.

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