Friday, June 22, 2007, 11:00 am PT (02:00 pm ET)
iTunes passes Amazon to become third largest U.S. music retailerApple Inc.'s iTunes Store recently cruised by online retailer Amazon.com to become third largest music retailer in the United States, according to a new study from market research firm NPD Group.
For the first quarter of 2007, the digital download service snagged nearly 10 percent (9.8 percent ) of overall retail music sales, placing it ahead of both Amazon.com and Target, which captured 6.7 percent and 6.6 percent, respectively.
Apple trails only industry leader Wal-Mart with 15.8 percent and runner-up Best Buy with 13.8 percent. By comparison, Best Buy's online music store, which is restricted to digital tracks like iTunes, garnered only a 1.1 percent market share.
NPD attributed Apple's gains to stellar iPod sales during the past holiday shopping season.
Upon last check in November of 2005, Apple ranked seventh on the list of leading U.S. music retailers, having then passed Tower Records, Sam Goody and Borders to crack the Top-10 for the first time.
According to NPD, digital music downloads during the first quarter of the year accounted for only 13.8 percent of all music purchases. The remaining 86.2 percent were sold in physical disc format.
On Topic: General
- LG and Samsung announce new smartwatches ahead of Apple's anticipated 'iWatch' reveal [u]
- Judge denies Apple injunction against Samsung devices in second California patent trial
- Spotify adds new hardware partners for Apple AirPlay rival Spotify Connect
- LaCie unveils 48TB Thunderbolt 2 drive, Dropbox upgrades Pro plans to 1TB
- iPhone-controlled August Smart Lock finally starts shipping to preorder customers