Radio GaGa

Monday, May 23. 2011

Apparently Amazon is selling Lady Gaga's new album for $0.99,whreas iTunes wants to flog it for $11.99 - AllThings Digital.

It’s not free, but it’s close: Amazon is selling digital downloads of “Born This Way,” Lady Gaga’s newest album, for 99 cents.

That gets you 14 songs and a digital booklet. The same album goes for $11.99 at Apple’s iTunes, which seems more interested in pushing a 22-song special edition for $15.99–that’s the one currently featured on the retailer’s home page.

Back in the old days, when people used to buy CDs, it wasn’t unusual for Best Buy et al to mark down big albums from $16 to $10 as loss leaders less to get people in the doors: The retailers took a loss on the discs in the hopes you’d buy a stereo or a TV, too.

Here, it looks like Amazon is hoping to use the sale to push its cloud music locker. Promotional copy reminds shoppers that if they buy this or any other album, they can upgrade the 5 gigabytes of free storage the service offers to 20 gigs.

Well, at least its not a Freeconomic model. One also hopes Lady Gaga gets a share of all the other things digital (and otherwise) that Amazon is hoping to sell to the buyers of her music....

Let the eMusic Turf Wars begin. Apple. Ball. Court.

Posted by Alan Patrick in Business Models at 23:49 | Comments (0) | Trackbacks (0)

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