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iTunes still wiping the floor with CDs
CD sales are still being eroded by the online revolution, which sees digital downloads continuing in popularity. Apple's iTunes is leading the pack in a survey by the NPD Group, which measures sales of CDs and digital downloads, with Amazon rising to fourth place with significant year-on-year sales increases.
The figures are for the first half of 2008, from January to the end of June, and concerns music sold in shops and online in the US. However, because iTunes only sell digital downloads it suggests that the sales of physical CDs is continuing to slump.
Contrary to this, the rise of Amazon in the listing suggests that CD sales aren't doing as badly as it seems, as Amazon continues to shift CDs via its online store. It's just bricks-and-mortar stores that are really suffering.
Russ Crupnick of the NDP Group said: 'We expect Apple will consolidate its lead in the retail music market, as CD sales continue to slow. Amazon's CD buyers tend to be older, so they haven't abandoned the CD format to the extent seen in the average music buyer. Plus Amazon's successful introduction of its digital download store will help the company improve its position in the future.'
Unfortunately, the NDP Group doesn't release the sales figures for each retailer, but certain trends can be seen by the overall positions:
3. Best Buy