July 16, 2008

Music Downloading in the Dumps


July 16, 2008

With the slump in consumer spending, even untouchables like entertainment downloading have taken a hit.

Compared to a year ago, ChangeWave's latest survey of 2,248 consumers shows entertainment downloading has actually slowed.

Which of the following types of entertainment - if any - do you or your family currently download?

(Check All That Apply)

Moreover, the percentage of our respondents saying they do not download entertainment has risen to 41% - 6-pts higher than a year ago.

Distaste for Digital Rights Management (DRM) software - used by record companies to combat file sharing - has resulted in a high degree of frustration among consumers, even though major record labels are in the midst of phasing out DRM. Perhaps this is also contributing to the slowdown in entertainment downloading.

Bucking the trend, the Apple iTunes service (34%) continues to dominate the entertainment downloading space.

Which of the following music download services - if any - do you currently use?

(Check All That Apply)

Apple's loyal customer base and the extraordinarily easy integration of iTunes with the iPod, iPhone and other Apple devices keeps Apple in a class of its own.




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