NPD: Apple Increased Its Music Market Share

Latest NPD report reveals that Apple increased its music market share again. Here is a current ball game (in comparison to the last year situation):

• Digital music downloads: 40% (+5%) of all music sold;
• Apple: 28% (+4%) share of all music sold, 70% (+1%) of digital music downloads;
• Amazon: 12% (+3%) share of all music sold, 12% (+4%) share of digital music downloads.

Vice president of industry analysis at NPD Russ Crupnick says that physical media market share decreases because it becomes too effortful to look for a necessary CD in retail stores.

"Online shopping offers consumers who still want CDs more variety than they would get in a brick-and-mortar store; plus, recommendations, and other interactive features that raise the overall value proposition for music buyers."

It is interesting that though Amazon's market share is growing, the Department of Justice is looking into Apple to determine whether the company leverages its market power to prevent competition on the music market.