Business Services Industry

iTunes enters top 10 for US record sales

Internet Business News, Nov 22, 2005

The iTunes online music store from Apple, a computer company, has entered the top 10 US record sales list for the first time, according to NPD, a research analyst which tracks digital music downloads and people's buying habits.

NPD revealed iTunes was beaten by Wal-Mart, Best Buy, Target, Amazon.com, FYE and Circuit City, putting it in seventh place, in front of Tower Records, Sam Goody and Borders. NPD compared 12 iTunes separate song downloads to one album purchase made at a traditional retail store and said iTunes has the potential to increase its lead over certain retailers in the future.

NPD said iTunes had moved into the top 10 US list within the past three months. While over 70% of digital music sales in the US via PCs are made through iTunes, the figure is even higher when users of Apple Macs are considered, according to NPD.

The Recording Industry Association of America said digital music sales accounted for just over 4% of the market in the first half of this year, an increase of around 1.5% in comparison to the same period last year.

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