Is $9.99 a month too much to pay for unlimited access to 35 million (and counting) song? A just-released survey by Nielsen says that almost half of Americans say “yes.”
Let’s deconstruct this a little. Why would $9.99 seem too high? Because studies show that the average consumer in the US spends less than $50 a year on recorded music. Some studies put the annual spend at $35. Dropping $9.99 a month (or about $120 a year) is more than double and even quadruple what people are spending now.
I’d reckon that the situation is much the same in Canada, except that we’re further spooked by the high prices for data that come with our smartphones. Prices are coming down, but the overall feeling is that we’re still getting hosed and people are loathe to use too much data less they be charged ridiculous overage fees. Even using the free (i.e. non-subscription) tier of streaming services isn’t enough for use to overcome our fear of data charges.
Read more about the American survey here. How does this line up with what you and your friends think?