Personally, I think both Itunes and hard copies are awesome.
Itunes: you have quick access, good quality, and costs less.
But it's not the same as owning the CD... when you actually have a CD for it, it makes it more real imo, and when you look at the CD it reminds you how awesome it is.
(and it makes it feel like you're supporting the group more...) I'd personally rather have a physical clot of atoms making the album art than binary making my album art.
...Though that could just be because when I was a kid we only HAD cd's and it feels more nostalgic and real...
(actually, when i was really young we still used cassettes, though I'm sure many of you here remember floppy disks, records, etc. more than I do...)