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Re: CD SALES DECLINING?



Yes, CD sales are declining since mid nineties. Back then I was  
playing full time the traditional way, with record label agreements  
to put out CD's and give back a tiny cut of the earnings. Our CD's  
were distributed to most territories and the trend seemed globally  
synchronized: CD sales diving all over the globe from 1996. My guess,  
and I've been reading other commentators take on the same  
perspective, is that this is a both case of "cultural paradigm  
change" and a huge infra structure blow up, due to the internet. Some  
factors play an important part:

(1) Segmentation of culture makes it impossible for The Guys That  
KNow How To Sell CD's (a.k.a. commercial record labels) to keep up  
inside knowledge about all new scenes that pop up. Symptomatically  
the AR folks got sacked first. Not only that there are hundreds of  
sub genres for the AR folks to keep up with, there are also hundreds  
of sub markets for the sales folks to work. So the marketing  
situation looks very bad for traditional music distribution according  
to cost effective large scale methods. (This may be good for indies  
though).

(2) As an effect of the above, each consumer today has to split up  
the same pocket money over more products. Not only to buy CD's but  
also to buy computer/psp games and DVD movies. Gone are the optional  
Jack-Pot Sales (the Hit phenomenon). Statistically eight releases  
flopped before the ninth brought a hit that kind of took back the  
money lost on the other eight artist launches. That's history and now  
the margins are much smaller. Again, bad for business. And taking  
away the headroom for active quality control and effective marketing.

(3) Too much crap got released. The record labels started this trend  
in the mid/late nineties and many amateur/indie artists do their best  
to keep it up. With the record labels a lot of good marketing  
knowledge went down the drain - like how to work  hype, how to wait  
until the right moment for plugging stuff and not at least the  
importance of not releasing too much of ones work.

But still, working with a commercial label, is the best "Quality  
Tag" (here I do count in labels as Warp or ECM as "commercial"). Many  
indie artist forget about that. The internet and the musical outlet  
explosion is totally lacking the kind of "Quality Assurance  
Filtering" that commercial record labels were so good at. So what  
indie artist should look for, as promotional tools, is in fact new  
ways to fill up that hole. Derek at CD Baby has a great tip on this  
when saying "Go where the barriers are". He has written a lot of good  
tip essays, to be found at the CD B site.

Also - why should music be produced just for listening to? I mean,  
never before in history this phenomenon have ever existed! Music has  
always been used for a specific purpose. As for dancing, marching,  
social rituals etc. So an interesting tip to anyone that want to make  
music today is to look into new areas where music actually does make  
a difference.

Greetings from Sweden

Per Boysen
www.looproom.com (international)
www.boysen.se (Swedish)
--->  iTunes Music Store (digital)
www.cdbaby.com/perboysen