Tuesday, March 01, 2005
online music prices to increase?
the register reports that online music prices may increase in the near future as the music labels are looking to increase the wholesale price of music charged to various online music retailers including apple.
the article reports that the average wholesale song price is $0.65. however, one should not assume that retailers are making the difference between the retail price and the wholesale price as this cost doesnt include publishing and operating costs such as transaction fees and streaming/downloading costs.
there is speculation that the labels may want to explore their original (pre-2000) theory that they could charge more for certain songs than others:
One suggestion is that labels want to introduce variable pricing - so they can charge more for top selling tracks.
the article reports that the average wholesale song price is $0.65. however, one should not assume that retailers are making the difference between the retail price and the wholesale price as this cost doesnt include publishing and operating costs such as transaction fees and streaming/downloading costs.
there is speculation that the labels may want to explore their original (pre-2000) theory that they could charge more for certain songs than others:
One suggestion is that labels want to introduce variable pricing - so they can charge more for top selling tracks.
# posted by Chad Stoller @ 10:00 AM 
