Wanna Buy Some CDs? There's a Sale On!

[Audioholics]

<font color='#000080'>Apparently, Universal Music Group is involved in an effort to have retailers drastically cut the price of CDs. To "induce" this change, they are cutting the wholesale prices of albums by around $3 (this is the price at which they sell the albums to retailers). In turn they expect reatilers to lower prices by up to 30%... Huh?

That's right. Apparently, Universal believes that retailers should take the brunt of the loss by lowering their price on most CDs to $12.98, from the current range of $16.98-$18.98. So while this looks like a great move on Universal's part, it will be up to the retailers to expereiment with trimming their profits in an effort to increase sales. Kinda makes you wonder why they didn't try this a few years ago, huh?

Article Link</font>

 

[JoeE SP9]

<font color='#000000'>If enough people are aware of the wholesale price drop only then might we see a drop in retail prices. Tell everyone you know even non audiophiles. I will. If enough people press the retailers maybe we'll see a retail price drop. If that happens &nbsp;maybe other cd manufacturers will go along with the drop. In the best of all possible worlds maybe we could have a price war. Imagine new CD's for $7. I have been buying used CD's for $7. There is a great place just of The University Of Pa's campus. I know Naxos CD's already sell for $7 but I'm really a Jazz fan.

</font>

 

[Audioholics]

<font color='#000080'>Right now it looks as if no one is specifically lowering prices - but competition should fix that by Christmas time if my economic sense holds true...

There was an interesting article about how Universal wanted to stick the MSRPs on the CDs but the stores/retailers woudln't go for it, so they caved. It will be up to good ole capitalism to drive it down now.</font>

 

[Rob Babcock]

<font color='#000000'>I've seen The Drop already at Wal-Mart.</font>

 

[Audioholics]

<font color='#000080'>Ah, good ole Wal-Mart - they are the leader, again.</font>