Posted by: mseewv | April 8, 2009

The iTunes Ripoff Begins

Change is tough!

That’s right I said it. You get used to things. Whether it is the speed limit on your way to work or the length of your wife’s hair – change can screw with you. If the state decides to change the speed limit on your normal commuting route to work and you don’t notice it…you’re screwed. If your wife decides to chop of all of her hair and you don’t notice, or you do notice it and you open your big fat mouth, well then you’re screwed!

So these are just a few reasons to why change sucks and slaps you in the face like stepping on a rake!

Ok to finish off my rant I just wanted to let you all know that iTunes rolled out there all new pricing structure today. This so called “variable pricing” is a marketing tool to get people to think they will be paying less for music or a product, by doing a three tiered structure, then they are actually paying. If you have paid attention to the owner’s meetings when it comes to the NFL you will see that some teams – NY Giants – have switched to this “variable” or “inflatable” pricing structure when it comes to season tickets.

So what does this price change mean to the consumer? Well the format is like this; you will be paying $0.69 for old songs, $0.99 for your just run of the mill songs and $1.29 for newly released songs. I do not know what this will do to album pricing at this time but if you use iTunes regularly you will know that most of the songs on the service are newly released items. And how long do they consider something newly released? I can remember working at a video store when I was in high school and we had two categories. You had the newly release movies, which at the time were $3.17 and you had the old stuff, which rented for about $0.99. The movies that were on the New Release wall would stay there for almost a year. To me a movie or a song is no longer a new release, a week. Now I may be exaggerating a little so lets just say a month. Still I will be anxious to see what Apple does over the next few weeks.

The whole reasoning behind the structure is not only to make Apple money but it is also being spun as a way to possibly help save the music industry. This to me is just another sign of the times. The music industry continued to get fat for so long and never looked ahead to the future. I can just picture the fat executives sitting in their offices when the internet came out. “Oh this will never make a difference to us.” Well guess what, it has. It’s huge. Call up Sirius or XM Radio and ask them how nervous they are about internet radio. I guarantee they are terrified. Internet radio listeners are going by the second! So as you can see folks if you this is just another case of poor planning and watching the market closely. You have to be up on every new technology. Just wait until the music industry finds out that you can share music via twitter!

So enjoy the new Keith Urban CD at $1.29 a song or how about that song that you and your wife danced to 30 years ago. I’m sure it is still considered a new release.


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