We rarely buy video games anymore (we already bought well over 250 games for PSOne/PS2/PS3/PSP/GameCube/Wii/GameboyAdvance). These days we are using Gamefly to rent games. We are very happy with their service so far.
Netflix works incredibly well for us as well. Two physical discs are shipped each time, at an unlimited rate, and we pay just $10 per month! This usually means a maximum of 20 movies per month, although we usually don’t do more than 5-7. When using their online viewer, it’s unlimited viewing — as many movies as your bandwidth allowance from your ISP allows. I finished watching “Earth 2” this way, by watching it online. Worked really well. Like with the games, it has also stopped us from buying DVDs.
The interesting thing with Netflix is that because it’s so easy getting access to a movie or a show, that you don’t think of ripping the DVD and keeping it locally. It just doesn’t cross your mind anymore, the service is that transparent. So if Netflix and Gamefly work so well, save money, get us what we want, and it takes away any conscious need for piracy, why not do the same for music?
A flat rate of $5 per month (let’s face it, creating music is cheaper than creating a movie or even a good video game). A world-wide RIAA-endorsed online service (it would be best if iTunes itself changes to become it) that allows you to download unlimited 192kbps MP3/WMA/AAC/OGG non-DRM music. P2P among members is now legal (in fact, it’s endorsed, as it would save bandwidth to RIAA/iTunes). Pay an additional flat fee of $20 per year and you get the ability to be sent physical CDs (when requested) that you can then rip yourself in FLAC or other lossless codec if you want — or pay $2 and keep the CD you were sent. Eventually, physical media will disappear anyway. A fine idea is also “bulk licensing” for education institutes, no more school penalizing.
Sure, this might mean less money for the RIAA wolves, and artists will have to tour more to make more money and the most successful ones would negotiate better cuts from RIAA, but you know, times are changing and if they are to keep any potential customers, they have to come up with a model that saves time and money for the consumers. And honestly, seeing how well Netflix and Gamefly works, the model would do good for music too. I don’t believe that profit will be marginalized that much, because given the fact that most people don’t buy more than 4-5 CDs per year, that’s already the price you pay for the subscription model, so it all evens out.
Entertainment corporations keep hanging in the old ways of doing business. A model that just doesn’t work anymore. Music can still sell, but it has to become easier to get in bulk so it gives the feeling to the consumer that it’s free and unlimited.