Record Label: Fight Piracy with Lower Retail Prices on Downloads
Latest surveys related to music sales have revealed that p2p users buy more music than those who do not indulge in file sharing. Moreover, in UK, p2p users admitted that they would buy even more music if record labels and legal music services would practice more reasonable prices.
It seems those surveys had some impact upon some companies – today Blue Music Group announced that it has lowered the prices for the entire line of its products. This means the entry-level music media now starts at $ 4.99 while higher end bit rates reach to $ 9.99.
While until now there was something of an accord between music labels with regard to (negative) pricing limits, a move like the one made by Blue Music Group may fire up the competition in the music industry which ultimately would be beneficial for consumers.
“We are reaching out to our listeners, not bending down to the pirates,” emphasized president for Blue Music Group, Mika Pohjola.
Pohjola has also pointed out the need for a flexible attitude from the music industry if it wants to survive the economic crisis and the increasing popularity of illegal file sharing – “We need to listen and support the changing environment, not fight against it,” he said.
According to its president, Blue Music Group has come up with a feasible solution to stay in business and be productive by investing in new technologies and applying an efficient balance between a low market price and high artist royalties.
“When both ends complain, the solution must be in cutting the middleman and that means our own cost as a business,” Pohjola added. Blue Music Group has targeted its investments toward Web oriented corporate structure by cutting some expenses from traditional real estate, printing, postal, warehouse and manufacturing.
“Since the beginning of time, people have listened to music and have a need to hear what their contemporaries have to say. We need to get the pirates at bay by offering quality at a price which makes everybody happy.”
That’s something quite refreshing to hear coming from a record company. Maybe now that the ice has been broken other will follow the example and try to adapt to new customer needs and a new epoch altogether.
