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Surprise! Legal Downloads Killing CD Sales

Cd_many_25Even legal single download sales hurt CD's sales.  If you can buy a favorite track; why buy the whole CD?  Just ask Daniel Powter whose single "Dad Day" went  #1 at radio and is the top digital download so far this year. But the CD has yet to go Gold and languishes at #94 on the Billboard Top 2200 after 14 weeks.

Record labels can not survive on 99 cents vs. $18.98.

What can labels do?  Make CD purchases more attractive with lower prices and bonus content.  Bundle downloads in three song $3 packages or add additional content.  Concentrate more on promoting artists rather than just songs.

Most of all: EXPERIMENT. Take risks.  Fail.  Somewhere out there are solutions.

Additional reading on Daniel Powter @ New York Daily News.