Alright, this is getting on my nerves, so I'm going to speak directly.
I want someone to explain to me why they think people buy second-hand products and download torrents
Anyone who posts past this point and does not attempt to answer the question, even if it's to say, "I don't know," will be labeled officially stupid or officially does not read past the first post.
There is no way in hell this issue is ever going to approach a solution until the magic community starts thinking in terms of causes instead of effects.
I'll have a go at this one. I suspect there's several main causes. The target market for theory 11 is primarily teenagers, there's certainly many older people who like their products however the whole flashy production, underground vibe certainly appeals more to younger magicians. Most of these magicians will be at school and more than likely don't have a job, they have very little income. They maybe get enough off their parents to buy one dvd every few months (Assuming they want to buy other stuff as well) however, they are not satisfied with this and still want more magic. This desire outweights the respect they have for the creators (which is, unfortunatley, often very little) and torrent it.
This effect is amplified by the world they grow up in. Music can be downloaded for free, tv shows can be downloaded, you can basically have anything you want whenever you want it. This culture does not enourage respect for anything. It's unsurprising that this attitude carries over into magic. Especially when combined with a lack of money,
Also contributing to this, as I mentioned earlier, is the desire to constantly have more magic and to have the latest and best effect, this may be somewhat within our control (I suspect nothing can be done about the other factors). If new magicians were taught to properly study and learn material well they would feel no need to constantly acquire the latest material and would selectively buy things as they need them and as they are buying them far less frequently they will be able to afford them. This approach is also likely to encourage more respect towards creators and reduce piracy futher.
I don't know how much truth is in this but that's what I suspect may be causing piracy.