Industry Analysis & Industry Trends
Though the economy is set to improve over the next five years, the Record Stores industry will not likewise improve. Competition from big-box stores and streaming music websites will continue to dominate the market for music, with consumers placing an emphasis on convenience and price. The overall increase in disposable income and consumer sentiment will help slow the industry's decline, and some record stores will establish online storefronts to supplement their revenue, but these factors will not stop the industry's downward slide... purchase to read more
Industry Report - Industry Analysis Chapter
The Record Stores industry is shrinking under pressure from inherently less-expensive substitutes. Digital music continued to prove itself a viable alternative to prerecorded content during this time, causing many to switch to downloading and streaming songs through internet services. Additionally, the increased prevalence of music in discount stores decreased people's willingness to shop at record stores. As such, industry revenue is forecast to fall at an annualized rate of 7.4% over the five years through 2014, including a 4.7% decline in 2014 to $2.1 billion.
The industry experienced revenue losses from 2008 onward as a result of decreased consumer spending during the recession, driving up price competition in a highly competitive industry... purchase to read more