Supermarkets that use CDs as a loss-leader have been blamed for bringing down the average price of a CD.
The average price has fallen below £8 for the first time, according to the BPI, the trade body for the music industry.
It now stands at £7.99, down from £11.11 in 2000, according to the Financial Times.
Supermarkets selling CDs at a loss to increase footfall was cited as a factor in the downward pressure on prices by Deloitte media partner James Bates.
"The falling price of CDs just adds to the woes of record companies," he said.
Illegal file sharing has also been blamed for the increased affordability of paid-for music.
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