Americans spend a lot of time listening to music in their cars. According to a new report by NPD Group, two out of three Americans say most of their music listening happens in cars. Most of that listening is still to radio and cds – but that appears to be changing.
The report shows that 80% of Americans listened to radio in their cars and that is a two point drop from a year ago. 53% listened to cds, which is down 4 points from a year ago. Meanwhile 29% are listening on a connected device which could be a smart phone or iTouch. That number is up 9 points from a year ago. Time spent listening with those devices has increased 9% as well.
“A tipping point is approaching when vehicles and portable devices move from a tethered connection to a more integrated one,” said Russ Crupnick, senior vice president and entertainment analyst for The NPD Group. “Smart devices streaming music could end up being the largest threat to CDs and broadcast radio since the dawn of digital music.”
More evidence that consumers are shifting to connected mobile devices for music. Pandora now has 70% of their audience on those mobile devices. Last week I featured a post about Mary Meeker‘s latest presentation which is all about mobile, and the way that mobile will make online audio the next big thing.