I know some folks that use CDBaby and Amazon for credit card and internet sales. Both bands are happy with the arrangement, but I think CDBaby does charge less of a percentage.

As for how people find out about new music, I would assume that would be as it has always been - hearing it from a friend / radio / movie, etc. and tracking it down. Digital technology merely makes it easier to share music with people instead of having to make tapes. I do not think that will change much as the technology changes.

Edit: Yes, those links were blatant plugs of two local indie bands I like...