diff --git a/configure.in b/configure.in
index 7dc2f7276d6f68845aded87b635b7d0fe9b4ad91..b5a6d3f9384649e730cdc3b891db0ada6ac9fede 100644
--- a/configure.in
+++ b/configure.in
@@ -18,7 +18,7 @@ PLUGIN_VERSION=2
 
 AC_CANONICAL_HOST
 
-plugindir=$libdir/ao$PLUGIN_VERSION
+plugindir=$libdir/ao/plugins-$PLUGIN_VERSION
 AC_SUBST(plugindir)
 
 dnl ====================================
diff --git a/src/audio_out.c b/src/audio_out.c
index 661724a701baf1230c4b8b04867de3b93c6d7d3e..cd26035c1f075ca2a5f407bd54fc46b7696a928d 100644
--- a/src/audio_out.c
+++ b/src/audio_out.c
@@ -37,7 +37,7 @@
 
 /* These should have been set by the Makefile */
 #ifndef AO_PLUGIN_PATH
-#define AO_PLUGIN_PATH "/usr/local/lib/ao"
+#define AO_PLUGIN_PATH "/usr/local/lib/ao/plugins"
 #endif
 #ifndef SHARED_LIB_EXT
 #define SHARED_LIB_EXT ".so"