Variable Pricing Now Live in iTunes

[Jeff Campbell]

<div class='os_post_top_link'><a href='http://theappleblog.com/2009/04/07/variable-itunes-pricing-goes-live/' target='_blank'>http://theappleblog.com/2009/04/07/...cing-goes-live/</a><br /><br /></div><p><em>"We warned you that this day was coming (OK we were actually off by one day, but that only means you had more time to buy that coveted All-American Rejects track), and now it's here: Apple has finally made good on their promise to introduce variable track pricing in the iTunes store. Songs now range from 69 cents to $1.29, with most still occupying the 99-cent mid-point that, up until today, was the only price tag available."</em></p><p><em><img src="http://images.thoughtsmedia.com/resizer/thumbs/size/600/at/auto/1239147286.usr105634.jpg" /></em></p><p>Kind of interesting, in the article it notes that individual tracks on some albums have variable pricing, from $0.69 USD to $1.29 USD, but you can still buy the album for the normal album price of $9.99 USD. As a counter to that there are also some that have all the tracks priced individually at $1.29 USD and have increased the album price. The point I got from the author was that it isn't easy to find the low priced tracks on iTunes, rather it is more hit and/or miss. It will be interesting to see how this all sorts itself out.&nbsp;</p>

[Vincent Ferrari]

Interestingly enough, it was proven today that this wasn't an Apple-only initiative. Amazon started their tiered pricing today as well.

Thank God, because I wouldn't be able to take the anti-Apple nutbars and the howling screams of Jobs' profiteering if it was only Apple doing it. :rolleyes:

[doogald]

Thank God, because I wouldn't be able to take the anti-Apple nutbars and the howling screams of Jobs' profiteering if it was only Apple doing it. :rolleyes:

We had it for one day, anyway. (http://www.engadget.com/2009/04/07/itunes-store-now-infected-with-variable-pricing-amazon-still-0/) (Still nothing updated on Engadget to say that all other stores are variable.)

[Jason Dunn]

Interestingly enough, it was proven today that this wasn't an Apple-only initiative. Amazon started their tiered pricing today as well.

It will be interesting to see how it shakes out - in Amazon's Top 100 MP3s, there are only 9 tracks that are more expensive than 99 cents. You have to go to #24 to first the first track that's $1.29. How does that compare to iTunes?

[Vincent Ferrari]

It will be interesting to see how it shakes out - in Amazon's Top 100 MP3s, there are only 9 tracks that are more expensive than 99 cents. You have to go to #24 to first the first track that's $1.29. How does that compare to iTunes?

Well that's interesting because a week ago they were almost all $.89.

For now, most of the top stuff on iTunes is $1.29 a track. It'll be interesting to see where the pricing ends up with all the services in a few days after everything is settled...

[Jeff Campbell]

Looks like Wal-Mart (http://theappleblog.com/2009/04/09/amazon-walmart-follow-apples-lead-introduce-variable-pricing/) is joining the variable pricing party too.

[Jason Dunn]

Checked again and of Amazon's top MP3 songs, all are 99 cents until you get down to #23. Since I think they all used to be 89 cents (didn't they?) I'm guessing that means that Amazon isn't going to push to $1.29 like Apple has. Maybe they're getting better pricing from the labels?

[doogald]

I'm guessing that the labels are happy to stick it to Apple as much as they can. Or they value the additional revenue that they get from lazy/unknowing iTunes Store buyers who are unaware/unwilling to go to other stores.

As I said, if sales are down for 1.29 tracks but it's down less than 30%, the labels should be pretty happy with that.