The Intangibility of Music in the Internet Age

Abstract

As music consumption increasingly moves to the Internet, music as a product becomes even more intangible and service‐like. This tends to create a number of marketing problems. Through a review of services marketing literature and illustrative observations of online music services, this paper explores the intangibility aspect of online music and assesses how online music providers deal with the intangibility of their offer. The paper concludes that providers of online music largely utilize services marketing strategies to manage the intangibility of their products, although difficult issues such as pricing and consumer valuation of tangibility remain to be solved.

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