iTunes varies prices; Amazon MP3s also changing prices?

As announced earlier this year at Macworld, iTunes has introduced variable pricing to its online music store, making good on a promise it made back in January. While many songs will remain at the standard 99-cent price, others are being boosted to $1.29. There are also some 69-cent songs, though some bloggers have lamented they can find very few of these.

Meantime, Amazon has also begun varying music prices at its British online store, with some songs now selling for 29 pence, about 40% down from the standard 50 pence. No signs yet of a similar shift at the North American store, which still charges a standard 99 cents per song.

The takeaway: The dearth of low-priced iTunes downloads may make Amazon worth a closer look for many music fans—especially if their North American store follows their U.K. one by cutting prices. As it is, even before iTunes price changes, Amazon was second in sales to Apple's iTunes store. And now, a new study from NPD showed Amazon is surprisingly popular—especially with older MP3 buyers. One reason may be the option Amazon offers to older music buyers who still buy CDs to comparison shop for discs and downloads on one site. Also, Amazon, too, offers select songs for less than their standard 99-cent rate.