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    Your Take Roundup::Long Live CDs! But Not Too Long…

    by Mark Glaser
    February 8, 2006

    i-462ad43513d45fb091ac57369704a3a7-Paul Resnikoff Digital Music News.jpg
    The question put to you was “What is the shelf-life for CDs and packaged music?” Because there are so many new ways to get music — downloaded on peer-to-peer networks or through services such as iTunes or streamed online — I wondered how long people would gravitate to CDs or any type of physical package with prerecorded music.

    Adding fuel to my fire is a front-page story today in the Washington Post on how digital downloads are making singles more popular than entire CD albums. A graphic that goes with the article shows the trend line, with CD sales dropping and digital downloads rising.

    Before I get to your responses, I also asked a couple experts to weigh in on the topic. Paul Resnikoff, founder and editor of Digital Music News, said that signs point to an eventual erosion of the CD format.

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    “Sales dropped 7 percent in the U.S. last year [for CDs], part of a much larger decline,” Resnikoff, pictured above, wrote via email. “Customers are shifting away from CDs and into digital formats (either paid or free), but the transition has been slow. I liken it to air slowly leaking out of a balloon, and CD sales still account for 94 percent of major [record] label revenue…In five years the landscape will be very different, though.”

    Ron Mwangaguhunga, who blogs at The Corsair, was recently named cultural editor of Morph, the Media Center’s group blog on new media issues. He has written extensively on pop culture and the music biz.

    “I do see a day in the very near future when digital single sales will be the accepted business practice,” Ron wrote to me via email. “CDs are unwieldy creatures in this era of sleek handhelds. And, more important, [downloads are] cost effective and — added bonus — environmentally sound. Plus, no more worries about scratched CDs…Remember: CDs are a relatively [recent] phenomenon. I still have boxes full of vinyl.”

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    And then there’s the obvious next step. If record companies are simply uploading an artist’s music to an online store, what’s to keep the artist from doing that on their own — and cut out the middleman?

    “The one interesting issue that the digitalization process causes is to the record companies,” Ron says. “If everything can be done digital, then what’s to say that a savvy band can’t get on MySpace and catch on like wildfire without a label? Prince was a pioneer of this, but someone may take it to the next level, like Dane Cook did with comedy. Anyway, I wouldn’t make any long term investments in the record industry.”

    Some of you echoed Ron’s words about vinyl and other old-school formats still being vibrant. A blogger named GED said vinyl isn’t dead, and that the Net has actually brought a renaissance for records, which are being pressed in Eastern Europe.

    “The move to digital loses a collector element which takes the big volume buyer out of the market, and having wall-to-wall music lessens our appreciation of it,” GED wrote. “The Internet gives specialists advantages over the likes of Tower Records as they can exploit a global niche. Downloads won’t kill Tower but poor management that fails to adapt and mine these niches for business will.”

    One reader, Jo Burford says she will miss the casual browsing for CDs in a physical store, along with the artwork and jewel cases. One thing she won’t miss is the annoying security packaging on compact discs that take forever to open. It’s ironic that record companies are now so focused on the equivalent digital protections that will be just as annoying for someone who might want to listen to downloads on an MP3 player and their stereo.

    Ken Leebow, an expert author and blogger, said we’ve already lost much of the artwork when the old LP went out of style. Leebow notes that formats become obsolete quickly, and wonders when a new video recording device such as TiVo can offer limitless storage for video.

    Some of you waxed philosophic on tangential topics. Constance believes that iPod ads are causing youngsters to plug in and turn into robots, not noticing what’s going on around them. Tim chimes in that he agrees with GED’s telling line: “having wall-to-wall music lessens our appreciation of it.” Bruce Potter even misread the question as being how long CDs would last before disintegrating, a subject of some debate online.

    We all love our music, in whatever format we own them. But I believe the siren song to listen to much more music for a fraction of the $18.95 suggested retail price of CDs will lead us toward digital nirvana and the global jukebox where we can pay a flat fee or price per download. But that’s just me.

    One note: Due to technical problems, we haven’t been able to accept comments on MediaShift for the past 24 hours. Hopefully this problem will be cleared up shortly. Thanks for your patience.

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    5 responses to “Your Take Roundup::Long Live CDs! But Not Too Long…”

    1. Margaret Spurrier says:

      “But I believe the siren song to listen to much more music for a fraction of the $18.95 suggested retail price of CDs will lead us toward digital nirvana and the global jukebox where we can pay a flat fee or price per download.”

      The biggest music industry ripoff ever is the $.99 per song price. That works out pretty close to the per-song price on a CD. If downloads replace CD purchases at the “feared” level, the music industry could potentially cut out huge costs for the production, distribution, storage and sale of the physical item – while continuing to take in the same amount of money. Will they pass on more of that profit to the artists? Will they make music downloads cheaper? Or will they line their pockets even further? I wouldn’t quit buying music industry stock just yet.

    2. monique says:

      $.99 per song price may be a rip off, but I’d rather pay $.99 for one download, than go out a pay $18.95 for an entire CD and only like one song. that amounts to what? over $19 for one song! there is nothing more frustrating than having to buy a whole CD just to get one or two songs. Since I bought my ipod(1 yr.) I have invested more money than I ever did in CD’s in my lifetime, and have checked out and purchased songs from more artists that I would have ever invested $19 in. I’m a very happy customer because I like every single song I own!
      As far as record company profits lining their pockets, only the artist can allow them to get away with it. I’m sure the artists will be smart enough to take advantage of the opprotunity. Actually it would still be smart to package and sell CDs at concerts, die hard fans will always want CDs and jackets.

    3. max cooper says:

      “$.99 per song price may be a rip off, but I’d rather pay $.99 for one download, than go out a pay $18.95 for an entire CD and only like one song. that amounts to what? over $19 for one song!”

      OK, but the solution to this is to buy music by artists who can create more than one good song at a time. I have thousands of albums of music that fits this description.

    4. Jim says:

      $.99 per song is not at all a rip-off for a download if you consider that on an average album, there’s about 12-15 songs. Without doing much math, that still comes out to less than what you’d pay at a store. I still prefer to buy CDs though, mainly for the artwork, and having a physical backup archived. Who’s to say your hard drive won’t crash, or your wonderful MP3 player with over $1000 worth of songs won’t malfunction. Something like that would ruin your day for sure. If you have the CD, all is not lost.

    5. Wayne King says:

      I am still enamored with the compact disc. I grew up with records and tapes, and remember seeing a news story about the introduction of CDs and was intrigued. I got my first player in 1987, and remember buying my first discs by Creedence Clearwater Revival and Buddy Holly. I listened in utter amazement at the clarity of the audio! I still believe it is the best format for audio quality. If the audio is sourced from 1st generation tapes and is transferred properly to CD, it sounds far superior to vinyl! For original digital recordings, the CD is perfect.

      My issue with downloads is that they usually come as MP3 files, which are compressed files and have inferior audio quality. Furthermore, if the storage device holding these files should fail, the files are gone. I like having the superior sound of a CD and having something tangible to hold in my hands. The music industry could have made things more interesting by using the ‘Box Set’ concept with single CDs as well. Box sets, as most of you will recall, were usually 12” in diameter and often featured booklets, posters, and other goodies. Having all your music on a pocket-sized MP3 player is so dehumanizing! It’s like taking all your books on your bookshelf and cramming them into a digital book reader. There’s comforting feeling a book in your hands or viewing the artwork on CD labels and inserts. 99 cent downloads have killed the album. I cherish my meager CD collection and they are still going strong. I treat them gingerly and store them in a dark cool place. My CDs, some of which date back to the late 1980s, are in spotless condition. I think CDs will be around for quite a few more years. As for them failing, I have not had an issue yet.

      Wayne King

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