Friday, December 14, 2012

File Sharing and Digital Downloads



In today's market, artists are not making money in the same ways they used to.  The album is really just a promotional tool for the accompanying tour because that is where the money is today.  Even though streaming on sites like Spotify is way up, digital downloads are also up by 7% from the same period.  Though illegal downloads and streaming are at an all time high, digital sales have remained stable, if not increased.  The research suggests that streaming music services such as Spotify and Rhapsody does not kill digital download sales.  Although correlation is not causation, it may just simply show that there is no smoking gun. If digital downloads remain stable, touring will remain unchanged.  If sales drop from streaming and file sharing, you will see band tours increase to make up for the lost revenue. As technology becomes more advanced, file sharing and stream ripping will certainly negatively affect the purchase of digital downloads. 



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