Ever purchased a single, then paid for it again as part of an album?
That double-dip scenario never represented a problem for labels, until digital consumers started shifting away from the bundled album. Now, cherry-picked downloads are cannibalizing broader album sales, and that is becoming a critical issue. Against that backdrop, iTunes has recently unveiled a program that allows a-la-carte buyers to receive discounts on full album purchases. As part of the “Complete My Album” program, a purchased single can now be counted as a 99-cent credit towards a larger album download. “Music fans can now round out their music collections by upgrading their singles into complete albums with just one click, and get full credit for those songs they have previously purchased from iTunes,” said Eddy Cue, vice president of iTunes.
The move comes at a dire moment for major labels. Physical albums during the first quarter have dipped a heavy 20 percent, raising serious questions about the mid-term, and even short-term survivability of labels like EMI. That makes Complete My Album a nice blast of oxygen, and potentially an avenue for steering consumers towards larger purchase amounts. “iTunes is giving music fans the best of both worlds,” said Thomas Hesse, president of Global Digital Business and US Sales at Sony BMG Music Entertainment. Throughout, fans will be presented with a new upgrade option alongside smaller track purchases, a presentation that will probably result in higher album sales. But will the impact be meaningful? Results could materialize rapidly, though deeper consumer preferences for individual tracks could prevail over the long-term. Complete My Album was first announced on Thursday.