Why Are CDs Cheaper Than Digital Downloads?

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Last night I decided to buy a bunch of old-man albums from my youth that I’ve never gotten around to getting before. But old man though I might be, I am 21st century in my listening habits. I don’t need a bunch of CDs cluttering up my house, just digital downloads. And yet, I ended up with a bunch of CDs winging their way to my house.

Why? Because out of a dozen purchases at Amazon, the audio CD was cheaper in all but one case. And about half the time, the audio CD included download rights. So I was buying a CD plus a digital download for less than the price of the CD alone.

Can anyone explain this? I know Amazon has some weird pricing policies sometimes, but this seems even weirder than usual. They could have saved themselves both warehouse picking/packing time and shipping costs if they’d priced the digital a buck less than the CD, rather than the other way around. Possible explanations:

  • Most people consider digital files a convenience they’re willing to pay for. It saves them the time of having to rip a CD.
  • License rights something something something.
  • I was a subject in a large-scale study to find out how irrational consumers are.
  • Amazon is so used to losing money they just don’t care.

Any other guesses?

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BEFORE YOU CLICK AWAY!

“Lying.” “Disgusting.” “Scum.” “Slime.” “Corrupt.” “Enemy of the people.” Donald Trump has always made clear what he thinks of journalists. And it’s plain now that his administration intends to do everything it can to stop journalists from reporting things they don’t like—which is most things that are true.

No one gets to tell Mother Jones what to publish or not publish, because no one owns our fiercely independent newsroom. But that also means we need to directly raise the resources it takes to keep our journalism alive. There’s only one way for that to happen, and it’s readers like you stepping up. Please help with a donation today if you can—even a few bucks will make a real difference. A monthly gift would be incredible.

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