Previous Next Latest

CD Sales’ Coldest Winter: December Numbers Plummeting

12/18/08, 11:30 am EST

Photo: Getty

As is becoming an annual winter tradition, CD sales are having yet another icy December, with sales down 21.7 percent compared to the first week of December 2007. It’s hard to blame this year’s slate of releases, as the Top 10 albums are selling better than their counterparts last year. So what’s to blame? Most likely the recession: iPods and Wiis aren’t selling out like in previous years, either.

While by all accounts the big retailers are being battered on the CD sales front, the season has been slightly better for indie stores, as they’ve seen only a 8.6 percent decrease in album sales. And there was good news for places like Starbucks and online music stores: sales are actually up 8.7 percent. In fact, the number of digital songs sold this year will top 1 billion. So what does the future hold? Stores are already starting to cut down on the floor space they dedicate to CDs. “DVD, Blu-ray are doing great. The CD, no,” said one wholesale exec. “I expect next year that we will be cutting back on our CD buying… we will be buying less of each title.”

Related Stories:

October CD Sales Down As Economy Struggles With Recession

Despite Some Big Rock Records, Music Biz Still Struggling

Mid Year Music Biz Report Card: CDs Down, Digital Sales Up, Tours Steady


Previous Next Latest

Comments

Shaun | 12/19/2008, 11:02 pm EST

Adam, great post, LOVED all your ideas. If the industry A-Holes doesn’t listen to thinkers like you, then you’re right, next few years will be the death of it.

Adam | 12/18/2008, 8:32 pm EST

Advice for the music industry…
Category: Music

NOTE: may contain spelling errors.

1.) Hey, we’re in a recession… we have been for the last year. Lower ALL CD PRICES BY 50%… no questions asked… trust me, this will work. Why would anyone pay $15-$18 for a new CD and $9.00 for a used album when they can just download it for free… you have to compete with yourself… I know it’s not fair, but that’s just the nature of the beast. Just to make sure we’re on the same page… new albums $7.00, used $5.00.

2.) Stop being about the bottom line. The music industry cannot continue to operate on a “profit” only strategy. There is no chance for sustainability when you do one-shot “make a hit” artists then throw them off to the side. You build no base, no following and no loyalty. Labels used to be as cool as the artist sometimes, with a majority of the most interesting labels closing up shop or being bought out and disappearing this is more important than ever, make the label stand for something instead of just marketing.

3.) Do away with “extra fees” and “charges” for concerts… what the hell is a convenience charge anyway? Reduce ticket prices by 25% - 40% No one (especially now) can afford to pay $140 - $190 for a concert ticket (you can buy a 3 day festival ticket for that much!), except maybe that small percentage of people who own a large percentage of the world wealth…

4.) Help save the record store. Offer these people some financial incentive for continuing to sell your crap. With sales down 20% from just this time last year, this will probably be the last year for a lot of independent shops. I’ve actually purchased music becuase it had a neat looking album cover, sometimes bad, sometimes good… browsing is the best way to discover new music. The record store is an intimate way of strangers communicating… like lost souls in a graveyard (quite literally now… no one is ever there!).

Anyway, simply put if you don’t consider some of these options you will see the collapse of the industry within the next few years… I mean sure indie music will always be ok… but things will just be harder and harder to find.

Assholes.

Love,

Adam

Post A Comment

Caution: Off-topic comments will be deleted

Name:

Comments:



Advertisement

Advertisement