Will the Recession Hit Hard on Online Music Sales?

In this article we discuss the long and short termLegal music sharing, as it has evolved, has become
effects of the global economic recession on the musicenough of a competitive service that it seems record
industry and how these changes have alreadylabels, when they embrace the new technology rather
affected music salesthan compulsively suing, have something to gain.
The economic recession which has, according to theConsumers who download pirated music always face
latest data, been ongoing for at least the last year, hasthe risk of viruses and other malicious software being
caused many consumers to cut back on spending.downloaded with the music. Digital music sales from
The United States, one of the strongest consumerlegitimate sources are generally not only easier for
markets for entertainment products, has been hitconsumers to use, but carry with them the assurance
particularly hard by the recession.of being from a source who has an interest in keeping
While new music continues to be marketed to thetheir customer base.
masses, the cutbacks in consumer activity are certainHeavy-handed tactics such as intimidation, electronic
to have an effect on the way consumers choose toanti-piracy devices and so forth seem to have done
spend their dollars and whether music will be as viablelittle. By 2007, when legitimate sales had become to be
a product as it has traditionally been.a measurable part of digital music sales, the companies
From 2004 to 2007, online music sales went from ahad reached out to their consumers, offering products
non-factor in overall sales to an impressive 30 percentthat were affordable, easy to use and packaged in
of all music sales in the US. The potential for onlinesuch a way that the consumer did not have to feel as
music sales to be a force is certainly there, but theif they were purchasing marketing materials as
music industry remains stifled by some stiff competitionopposed to music.
that always offers its products at the best price: free.The recession is likely to hit all parts of the market.
Music piracy via online music sharing sites andMusic, as it is easily distributed online, can be
software has long been blamed by the industry as thecompressed to formats that allow fast downloads
cause for the majority of their woes with little regardwhile maintaining a high quality and, like everything in the
to what the infiltration of those services may tell theworld, now moves and changes much faster than it
industry about their products.did in the past, is poised to be one of the products
New music is oftentimes very hard for consumers toconsumers can afford without violating their restricted
come by. For many years, the music industry hasbudgets.
followed a model of cloning the latest trends andMoving from no measurable sales figures to 30
releasing recordings of their very prepackaged artistspercent of market share in 3 years would be
in vast waves of sameness that seem to no longerimpressive for any product. For an entertainment
entice consumers. Online music, as it sometimes doesproduct such as music in a time of economic
not go through the filtering and packaging process ofrecession, it shows that online music may now, more
major labels, tends to be riskier, more niche and morethan ever, be the future of music entertainment.
geared toward the individuals who enjoy the genre inThanks for reading, I hope the article was informative
question.and has helped you understand the potential effects
The proliferation of online music also begs the questionthat recession can have on music sales as well as
of whether the slick packaging relied upon by recordhow strong both the music industry and music lovers
companies to sell their products is really worth it toare when times get tough. For more information on
consumers. After all, online music is downloadednew music and new bands visit OOiZiT.
bare-bones, with no cover, inserts or artwork.