Illegal EU Music Downloading
Posted: 30th Nov, 2005 By: MarkJ
Jupiter Research has reported that roughly 15% of European Internet users still download music illegally, with just 5% doing it on the right side of the law:
There is solid demand for paid downloads, however, 10% of European consumers are willing to pay, rising as high as 31% in Sweden.
File sharing penetration in Europe is highest among younger consumers (34% of 15-24 year olds) and is impacting the way they value music with many having little concept of music as a paid commodity. Among the 46% of European online 15-24 year olds who use the Internet to consume music, the CD is becoming increasingly irrelevant: 40% do not consider the CD to be a good value for money and 43% prefer to copy rather than buy CDs. Unless these consumers are encouraged to develop music purchasing behavior soon they may never develop meaningful music buying habits.
"Illegal activity is a key threat. The Digital Youth of today are being brought up on a near limitless diet of free and disposable music from file sharing networks. When these consumers age and increase spending power they should become key music buying consumers," stated Mark Mulligan, Analyst at JupiterResearch. "But unless the music industry can transition these consumers whilst they are young away from free consumption to paid music formats, be they digital or CDs, they may never develop music purchasing behavior and the recording industry could suffer long-term harm," added Mulligan.
One of the most tedious aspects of music downloading that we find, from legal sites, is the enforced standards, where certain encryption prevents music files from being played on other devices.
There is solid demand for paid downloads, however, 10% of European consumers are willing to pay, rising as high as 31% in Sweden.
File sharing penetration in Europe is highest among younger consumers (34% of 15-24 year olds) and is impacting the way they value music with many having little concept of music as a paid commodity. Among the 46% of European online 15-24 year olds who use the Internet to consume music, the CD is becoming increasingly irrelevant: 40% do not consider the CD to be a good value for money and 43% prefer to copy rather than buy CDs. Unless these consumers are encouraged to develop music purchasing behavior soon they may never develop meaningful music buying habits.
"Illegal activity is a key threat. The Digital Youth of today are being brought up on a near limitless diet of free and disposable music from file sharing networks. When these consumers age and increase spending power they should become key music buying consumers," stated Mark Mulligan, Analyst at JupiterResearch. "But unless the music industry can transition these consumers whilst they are young away from free consumption to paid music formats, be they digital or CDs, they may never develop music purchasing behavior and the recording industry could suffer long-term harm," added Mulligan.
One of the most tedious aspects of music downloading that we find, from legal sites, is the enforced standards, where certain encryption prevents music files from being played on other devices.
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