Post by Tony on Apr 5, 2006 12:24:58 GMT
BPI News | Tuesday April 4, 2006
BPI Press Release | Illegal filesharing costs British Music £1.1bn
>Filesharers cut their expenditure on music by £1.1bn over three years
>BPI announces two more court wins as filesharer settlements pass the 100
mark
>Signs that litigation campaign is working as percentage illegally
filesharing declines
UK record industry trade association the BPI today revealed research
indicating that the cost to British music of illegal filesharing reached
£1.1bn in the three years to 2005.
New figures from independent research company TNS Worldpanel estimate the
cost to British music in 2005 of people illegally filesharing rather than
paying for music was £414m.
Added to the £278m lost sales in 2003 and £376m in 2004, the loss to
British music over the past three years is estimated at £1.1bn, or
approximately £650m at trade value.
BPI chairman Peter Jamieson said, "The UK record industry is the biggest
single investor in British music. Too often people believe that when they
take music illegally over the internet it is a victimless crime. But when
people share music files illegally, they are stealing the future of British
musicians and the people who invest in them."
For the past three years the BPI in conjunction with the BVA (British Video
Association) has commissioned TNS to investigate the financial impact to
the music and video industries of downloading via the internet. In 2005
questionnaires were sent to half of TNS' 15,000 Audio Visual Trak panel of
12-74 year olds in Great Britain, with a response rate of 44%, giving a
total sample of 3,317 respondents.
The TNS panel monitors consumers' actual purchasing behaviour over time.
This removes reliance on individuals' memories of past purchasing behaviour
for specific time periods. Using this type of data it has been possible to
measure the cost of downloading to the UK record industry by comparing the
expenditure pattern of illegal filesharers with that of non-filesharers.
It is this comparison which has produced the figure of £1.1bn lost to the
UK record industry over the past three years.
As the table below indicates, the impact has been particularly acute on
singles sales where an overall decline of 9% on singles buying rises to 34%
for illegal downloaders. The substitutional effect is clear.
____________________________
Change in spend on entertainment products
(Illegal downloaders vs. total market)
Singles (illegal downloaders; -34% | total market; -9%)
Compilation Albums (dl; -27% | tm; -22%)
Total Albums (-14% | -1%)
Total Music (-16% | -2%)
Total Video (-14% | -3%)
Total Games (-24% | -3%)
Total Entertainment; (-17% | -3%)
Base; 52 w/e 08 Jan 2006 vs 52 w/e Jan 2005
Source; TNS Worldpanel
View graphic at; tinyurl.com/gtz3a
____________________________
BPI Chairman Jamieson said: "Music fans know the value of great music.
Britain's music scene is currently as vibrant as it has been for years but
illegal filesharers need to understand the impact of what they do. The
battle against illegal filesharing is a battle for the future of British
music."
Other key insights in the TNS survey include:
- Further indications that the BPI's campaign against illegal filesharing
is succeeding with the percentage of the population illegally downloading
down to 15.4% in 2005 from 16% in 2004 and 17.8% in 2003;
- There is a hard-core of illegal downloaders who say they will continue to
fileshare - yet 45% are open to persuasion or have already decided not to
download illegally in future;
- 56% of those starting to download in the past 6 months are downloading
legally.
The news comes as international recording industry body IFPI announces a
new wave of 2,000 actions in 10 countries world wide.
This brings the total number of actions against filesharers in Europe to
5,550.
BPI announces further legal settlements and court victories
The BPI has to date brought 138 actions against alleged UK filesharers, and
has settled more than 100 of these cases.
A further two court cases have been ruled in the BPI's favour, with Judge
Justice Richards awarding default judgements against a further two
filesharers last month. The pair have been ordered to make interim payments
of £2500.
The news comes just one month after the BPI announced its first significant
legal victories in two cases; with the judge making two summary judgements
in favour of the BPI.
With 102 cases now settled and four now resolved in court, the BPI is
seeking to resolve a further 32 cases.
BPI General Counsel Roz Groome said: "We continue to make progress in court
cases against illegal filesharers, and all the cases that have made it to
court have ruled in our favour. Litigation will continue to be an important
part of our campaign against illegal filesharing."
BPI Press Release | Illegal filesharing costs British Music £1.1bn
>Filesharers cut their expenditure on music by £1.1bn over three years
>BPI announces two more court wins as filesharer settlements pass the 100
mark
>Signs that litigation campaign is working as percentage illegally
filesharing declines
UK record industry trade association the BPI today revealed research
indicating that the cost to British music of illegal filesharing reached
£1.1bn in the three years to 2005.
New figures from independent research company TNS Worldpanel estimate the
cost to British music in 2005 of people illegally filesharing rather than
paying for music was £414m.
Added to the £278m lost sales in 2003 and £376m in 2004, the loss to
British music over the past three years is estimated at £1.1bn, or
approximately £650m at trade value.
BPI chairman Peter Jamieson said, "The UK record industry is the biggest
single investor in British music. Too often people believe that when they
take music illegally over the internet it is a victimless crime. But when
people share music files illegally, they are stealing the future of British
musicians and the people who invest in them."
For the past three years the BPI in conjunction with the BVA (British Video
Association) has commissioned TNS to investigate the financial impact to
the music and video industries of downloading via the internet. In 2005
questionnaires were sent to half of TNS' 15,000 Audio Visual Trak panel of
12-74 year olds in Great Britain, with a response rate of 44%, giving a
total sample of 3,317 respondents.
The TNS panel monitors consumers' actual purchasing behaviour over time.
This removes reliance on individuals' memories of past purchasing behaviour
for specific time periods. Using this type of data it has been possible to
measure the cost of downloading to the UK record industry by comparing the
expenditure pattern of illegal filesharers with that of non-filesharers.
It is this comparison which has produced the figure of £1.1bn lost to the
UK record industry over the past three years.
As the table below indicates, the impact has been particularly acute on
singles sales where an overall decline of 9% on singles buying rises to 34%
for illegal downloaders. The substitutional effect is clear.
____________________________
Change in spend on entertainment products
(Illegal downloaders vs. total market)
Singles (illegal downloaders; -34% | total market; -9%)
Compilation Albums (dl; -27% | tm; -22%)
Total Albums (-14% | -1%)
Total Music (-16% | -2%)
Total Video (-14% | -3%)
Total Games (-24% | -3%)
Total Entertainment; (-17% | -3%)
Base; 52 w/e 08 Jan 2006 vs 52 w/e Jan 2005
Source; TNS Worldpanel
View graphic at; tinyurl.com/gtz3a
____________________________
BPI Chairman Jamieson said: "Music fans know the value of great music.
Britain's music scene is currently as vibrant as it has been for years but
illegal filesharers need to understand the impact of what they do. The
battle against illegal filesharing is a battle for the future of British
music."
Other key insights in the TNS survey include:
- Further indications that the BPI's campaign against illegal filesharing
is succeeding with the percentage of the population illegally downloading
down to 15.4% in 2005 from 16% in 2004 and 17.8% in 2003;
- There is a hard-core of illegal downloaders who say they will continue to
fileshare - yet 45% are open to persuasion or have already decided not to
download illegally in future;
- 56% of those starting to download in the past 6 months are downloading
legally.
The news comes as international recording industry body IFPI announces a
new wave of 2,000 actions in 10 countries world wide.
This brings the total number of actions against filesharers in Europe to
5,550.
BPI announces further legal settlements and court victories
The BPI has to date brought 138 actions against alleged UK filesharers, and
has settled more than 100 of these cases.
A further two court cases have been ruled in the BPI's favour, with Judge
Justice Richards awarding default judgements against a further two
filesharers last month. The pair have been ordered to make interim payments
of £2500.
The news comes just one month after the BPI announced its first significant
legal victories in two cases; with the judge making two summary judgements
in favour of the BPI.
With 102 cases now settled and four now resolved in court, the BPI is
seeking to resolve a further 32 cases.
BPI General Counsel Roz Groome said: "We continue to make progress in court
cases against illegal filesharers, and all the cases that have made it to
court have ruled in our favour. Litigation will continue to be an important
part of our campaign against illegal filesharing."
