Tag Archives | Amazon MP3

So Much for Cheaper Music on Amazon

Well, it didn’t take very long for the other music stores to follow suit after iTunes’ price hike Tuesday. By late evening, both Amazon and Wal-Mart had simarily raised prices on some of their top tracks by 30 cents. Both had priced their tracks at 99 and 94 cents respectively.

Like iTunes, both stores have cheaper tracks too: Amazon will have tracks for 79 and 89 cents, and Wal-Mart will have selected tracks at a price of 64 cents. In either case, though, the number of more expensive tracks in the top 100 are much less than iTunes.

For Amazon, that number is only eight, and Wal-Mart has 17.

One comment

Apple Goes to Variable Pricing, Amazon Now A Better Deal

ituneslogoWell, it happened. iTunes instituted variable pricing early Tuesday, and the effects are already rippling through the online music store. Five of the top 10, and eight of the top 25 songs now cost $1.29.

One thing we’ve still been unable to locate? Those 69-cent tracks. Nowhere to be found — maybe we’re missing them? But I guess if we’re looking at things overall, the price increase isn’t as widespread as some may have thought.

The price hike certainly opens up the door to Amazon MP3. All songs on that store are still 99 cents, but this could be more a function of a different expiration date on that store’s contract with the record labels. Then again, this could be a veiled trick to push all of us to music stores other than Apple in an attempt to break iTunes dominance.

Record labels have made it no secret that they aren’t happy that Apple is pretty much the only game in town when it comes to digital music.

In any case, Amazon MP3 is showing signs of life. While iTunes had a 87 percent share of the market in 2008, its competitor has managed a 16 percent share, the best showing so far for anybody according to NPD data.

Amazon’s music store is having a good deal of success with the older crowd, so the company may find it prudent to begin targeting this demographic a little heavier in an attempt to gain some more share.