Radiohead released its latest album, “In Rainbows,” to a great deal of buzz. It was made available online for download at whatever price the consumer desired, including “0.” The majority of downloaders both in the U.K. and the U.S. opted to download the album for free, according to recent figures released by comScorew.
From October 1 to October 29, 2007, 48% of U.K. downloaders paid for their digital copy of “In Rainbows,” while 40% of U.S. downloaders did the same. Consequently, 52% of U.K. downloaders paid nothing for the album, while 60% of U.S. downloaders did the same.
Though Americans were more likely to download the album for free, the ones that paid chose to shell out more money than British downloaders who paid. Americans paid an average of approximately $8.09, compared to the $5.08 paid by the average Briton.
The press release made by comScore notes that the large numbers of downloaders who paid nothing for the album further signals the need for a change in the music industry’s business model. It also points out that while Radiohead has achieved success with their bold pay-per-download model for “In Rainbows,” it was able to do so because of their large fan base, which has been established over a long period of time. Newer artists may not be able to achieve nearly as much success with this business model because of their smaller, nascent fan base.
Source:
http://www.comscore.com/press/release.asp?press=1890
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