(09-04-2003) U2 CDs On Sale? - Rolling Stone *

[HelloAngel]

http://www.rollingstone.com/

Universal Cuts CD Prices
World's largest record company to charge $12.98


With album sales in a multi-year decline, the world's largest record company, the Universal Music Group, announced today that it will be drastically cutting the price of its CDs.
Starting as early as October 1st, the Manufacturer Suggested Retail Price for new CDs by Universal artists -- which include U2, Eminem and Ashanti -- will be $12.98. Releases currently selling for between $16.98 and $18.98 will receive the same discounted sticker price.

The pricing change will also apply to the company's back catalog of venerable artists including Bob Marley, the Who, Hank Williams, Louis Armstrong and numerous others.

"Our new pricing policy will allow us to take the initiative in making music the best entertainment value and most compelling option for consumers," said Universal Chairman and CEO Doug Morris. "We strongly believe that when the prices are dramatically reduced on so many titles, we will drive consumers back to stores and significantly bolster music sales."

Over the past three years, the price of compact discs had gradually increased toward $20, which might have played a role in the sharp rise in peer-to-peer networks, through which music listeners swap music free of charge. But over the past year, the major labels have had success breaking albums by new artists like John Mayer and Norah Jones with a deeply discounted sticker price of under $10.

ANDREW DANSBY
(September 3, 2003)

Thanks to Nate Dogg!

 

[Strato Edge]

Good. It's quite rediculous to sale CDs for 20 dollars.

 

[adamswildhoney]

About time Cd prices went down

 

[bayernfc]

It's a good start..... now we need someone to stop the ticket auctions by ticketmaster!

 

[Bonochick]

 

[bammo2]

I wish CD prices would go down in the UK. If you get CDs from high street shops, they can cost up to ?17. ATYCLB is listed on the HMV website as ?16.99. Tht's US$26.74

That's why I get all my CDs from the supermarket now. They're about a tenner there.

 

[verte76]

Great! Now I can get more CD's!!

 

[RockNRollDawgie]

Good. It's quite rediculous to sale CDs for 20 dollars.

They're still priced up too high.
Read somewhere it costs about 7 bucks to make a cd.

 

[U2andPolitix]

well shoot i already have all U2's albums!!! hopefully their new one will still be cheaper.

 

[Convoy]

I think this is really great. The worst part about the CD is how must it costs lately. Its a shame. If every CD I came across was cheaper, I'd buy it. Sure if a U2 CD is $20 I'll buy it no question, but I'm stilling going to bitch about it. And something the bitching is what keeps people away and its good that they are starting to realize it.

 

[STING2]

This is the result of file sharing which is essentially stealing. Obviously people bitch and complain about paying 20 dollars for a CD when they can get it for free and at the same quality off the internet. But 20 dollars is not a lot for a CD.

The fact of the matter is that CDs are cheaper than they were 15 years ago. I bought my first CDs at about 15 dollars a pop back in 1988. Add inflation and the price of those CD's today is about 23 dollars. So CD's today are in fact cheaper than they were years ago. The same thing goes for Cassettes. A Cassette 15 years ago was about 10 dollars and today with inflation would cost 15 dollars, but most sale at about 12 or 13 dollars. Fact is that consumers actually have had it good.

The problem is that what most people want is music for free and the internet and file sharing has allowed that to happen. Thats the reason people have suddenly stopped buying large numbers of CDs. Its not the price, because 20 dollars for a CD and 13 dollars for a cassette is cheaper than what people payed 10 and 15 years ago when you adjust the figures for inflation.

Artist are the ones that will be hurt by this. Whether your U2 or an 18 year old in a new rock band, your profit per disk sold just got cut 35%. That might be ok if you have a good royalty rate and sell a million albums, but if you have a low royalty rate and only sell 25,000 albums, your going to be sleeping on someones sofa and using food stamps.

 

[Seconds]

This is great news for me. My car got broken into(actually I left the doors unlocked ) , someone stole all my U2 CDs. So I need to rebuild my U2 collection.

 

[Strato Edge]

This is great news for me. My car got broken into(actually I left the doors unlocked ) , someone stole all my U2 CDs. So I need to rebuild my U2 collection.

That really, really suck. I feel for you.

 

[oktobergirl]

cd's are not 20.00 because of file sharing. Cd's were 20.00 USD ( including tax) before sharing got out of control.

it is pure greed that put the record companies where they are now and it's about time they lowered the prices.

I cannot remember the last time I paid full price for a CD. Even when I buy one, I get it the day or the week it comes out. And I always go to Best Buy where I can get it for 11.99 or 12.99.

The recording industry did this to themselves!

 

[Headache in a Suitcase]

CD's are the only medium that never went down in price after release... think about it... when the VCR came out, a really good movie sometimes went for as much as 90 bucks... now you can get the same one for 12.99, 17.99 on DVD. CD's have cost the exact same thing for 20 years... and they wonder why we stoped buying them

 

[The_acrobat]

This is great. And since Universal will be the first ones to do this, that means they're music will compete well in the market. Meaning, if someone is debating on rather to buy the new U2 album or an album by someone else, price will be a definite factor. The other band's new CD cost $20, while U2's cost $13. They'll be more inclined to buy U2.

This will also prompt me to buy more CDs. I need to have one for my house, one for my car, and so does my brother. My mom will probably buy it too. I'll probably buy it for my girlfriend. That's 6 copies that my household will buy alone. I personally bought 4 copies of ATYCLB for myself. 2 when it came out (for car and for home), and then another one because I lost the first two (I lose things). The 4th one I bought after the 2002 Grammy's, because I wanted to do my part to boost the post-grammy sales. U2 ended up in the top 10 again, after a year and a half of the album being out. I felt like a dork for doing that, but every little bit helps.

 

[LarryMullen's POPAngel]

I never pay more than $15, maybe $16 for a CD. If an artist I like is coming out with a new album, I'll buy it the week it's released to get the sale price. Or if I want something older, I'll go to Best Buy, Amazon.com, etc. and get it for less than Sam Goody, Musicland and Borders want for it. I can believe how many of those chains had to shut down stores with the prices they were charging for CDs.

 

[bono_man2002]

looks like i'll be updating to 2 U2 Albums to atleast two more soon