For not the first time in history, the music industry's greatest enemy might also be its best hope. Indeed, a new study finds that consumers who illegally download digital music files also happen to
spend more money on music than any other group.
"The people who file-share are the ones who are interested in music," Mark Mulligan of Forrester Research tells
The Independent.
"They use file-sharing as a discovery mechanism." The poll, conducted by Ipsos Mori on behalf of British think-tank Demos, surveyed 1,000 16- to 50-year-olds with Web access, and found that one in 10
people admit to downloading music illegally.
Previous studies have found a similar overlap between music enthusiasts willing to pay money to get their fix, and those willing to steal
for it. Yet, this most recent UK-based survey finds the largest spending gap yet between those who admit illegally downloading music -- $126, on average -- and those who claim they never download
music dishonestly -- $54.
To crack down on illegal downloaders in the UK, the Secretary of State for Business, Peter Mandelson, is threatening to cut their Internet connections with a
"three strikes and you're out" rule.
However, these findings suggest that such measures are likely to harm the music industry's bottom line by handicapping its core customers. "The
latest approach from the Government will not help prop up an ailing music industry," Demos' Peter Bradwell
tells The Independent.
Then, what's the solution? "You
need to have it at a price point you won't notice," says Forrester's Mulligan. "We have a generation of young people who don't have any concept of music as a paid-for commodity."
"It
doesn't mean they will never spend money on music," seconded
CNet's Technically Incorrect blog. "They will simply spend what they
feel is the right amount of money on music they think deserves it."
"The debate,"
according to Mashable, "is a
legitimate one: some UK ISPs are concerned about essentially becoming Internet watchdogs, and point out that enforcement would take significant effort on their part ... Others point to over-regulation
of Internet access."
Read the whole story at The Independent (UK) »