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« Starbucks Entertainment Officially Jumps the Shark | Main | E-commerce Sales of Physical Product - Revisited »

January 10, 2008

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gavin

Did you say online sales of physical CDs online increased? Did you mean digital albums?

Peter Kohan

No Gavin - Please check the link in the post. It clearly states that there is a 2.4% increase in the sale of physical albums via e-commerce sites. The increase in overall digital sales is much higher. I guess the point I was trying to make is best illustrated in today's post.

gavin

My bad, I misread:

"B) how the online record retail experience has just become more consumer-firendly than the physical record retail experience"

to say

"more consumer-firendly than the physical record experience." (I didn't see the word "retail" there, pointing out that you weren't talking about digital vs. physical, but retail vs. online).

Sampling an album before buying it is a major plus in the online sales category. Retail stores like Walmart sometimes have a CD player with headphones on the wall with one or two CD's in it, but there is no way to sample any album you want, without letting the customers handle (and potentially scratch) the discs. Actually, what a retail store could do is have a computer set up with 30 second clips of all music in the store, where a customer can search for an album and preview it before buying.

This could help the retail side as far as sampling goes, but yes, people would still have to get dressed and go out.

Peter Kohan

Gavin - There are retailers like Barnes & Noble and Borders which allow you to listen to 30-second samples of any CD in their database on headphones. And some retailers are actually customer-friendly.

But the online CD (or DVD) buying experience allows the customer to peruse a much wider product selection, view both critical and peer reviews of a product, check a few top sites for price competitiveness, and do it at their own pace.

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