AppleInsider | iTunes price increases mean slower sales for music labels - 0 views
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songplacements on 09 Feb 10Here's an interesting one. Remember when the labels were on Apples heels to allow for a more flexible pricing structure than the 0.99 cent that apple had set? It even got so out of hand that _ started removing content from the iTunes store (Like a big baby!), only later to put it all back in, remember this? Well ever since apple conceded in allowing labels to increase popular tracks from .99 cents to $1.29 digital revenue has slowed. Warner saw and 8 percent growth in the holiday quater verses 20 percent the year before while digital album downloads gre 5 percent in december, down 10 percent in the sept quarter and 11 percent in the june quarter. Warner CEO Edgar Bronfman seems optimistic thought saying that the price change has been a "net positive" for warner, but agreed that a 30 percent price increase during a recession probably wasn't the best move. No duh.