JUPITER RESEARCH IDENTIFIES FOUR KEY SEGMENTS OF DIGITAL MUSIC FANS

While this represents a huge opportunity both for Europe's legitimate digital music services and an opportunity to attract traffic away from illegal file sharing networks, digital music services must differentiate between distinct consumer groups and target them if they are to successfully translate consumer demand into user uptake.

Jupiter Research has identified four different categories of digital music users: MP3 Kids, Music Aficionados, Free Music Fans and High Street Shoppers. Free Music Fans and High Street Shoppers use the Internet for entertainment, download music because it's free and are largely unreceptive to paying for online content. MP3 Kids and Music Aficionados are sophisticated Internet users, technologically savvy and brand loyal. Although online content providers should focus specific types of services - both paid and free - to each of the groups, it is the MP3 Kids and Music Aficionados who represent the greatest immediate opportunity for paid content.

Mark Mulligan, Senior Analyst at Jupiter Research said: "Europe's legitimate online music market made little progress in 2002, yet illegal file sharing continued to prosper. Legal music services will only succeed if they can successfully target specific consumer segments with compelling, relevant content. If legitimate services continue to lose out to illegal file sharing then a whole generation of music fans will grow up expecting all music to be free."

For more information, please contact Jupiter Research:
Mark Mulligan
Tel: + 207 665 9573 / e-mail: [email protected]

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