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What label will be LAST to give digital downloads? (pg. 2)
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| CraSHer[UK] |
| quote: | Originally posted by DC-
Believe it or not, digital downloads are way overrated from a label's perspective. Audiojelly and Beatport will NEVER replace vinyl sales when it comes to revenue. |
Doesnt sound too hard to believe to me.
Records are expensive, and to be honest anyone with a cdj is gonna find it hard to justify paying 7pounds/dollars for a record they could download for as little as 99pence/cents.
Especially those who play out, records are bulky, easily damaged and its a cheaper way to keep up with new releases. I mean people who play out (not as pro's) will be under a lot of pressure to have big new tracks which will probably be redundant in a couple of months. Whats the point of shelling out for the vinyl?
So when the profit margins are higher on record sales, why back a new medium which is potentially a lot more attractive but with lower margins?
My experience of browsing beatport is that its full mainly of junk that most people would only consider downloading for next to nothing. Small margins and sales are better than no sales, thats why in my opinion the quality of tracks available for legal download is poor. |
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| _Ocean_Drive_ |
I know what you mean about no PvD on digital download sites.
Infact, I've been browsing lots of hte legal sites recently, and very few have any of the tracks I want to buy (and no, it's not all cheese).
Why can't some company produce the mother of all legal trance mp3 sites?! |
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| keithos27 |
| quote: | Originally posted by _Ocean_Drive_
Why can't some company produce the mother of all legal trance mp3 sites?! |
licensing |
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| DC- |
| quote: | Originally posted by CraSHer[UK]
Doesnt sound too hard to believe to me.
Records are expensive, and to be honest anyone with a cdj is gonna find it hard to justify paying 7pounds/dollars for a record they could download for as little as 99pence/cents.
Especially those who play out, records are bulky, easily damaged and its a cheaper way to keep up with new releases. I mean people who play out (not as pro's) will be under a lot of pressure to have big new tracks which will probably be redundant in a couple of months. Whats the point of shelling out for the vinyl?
So when the profit margins are higher on record sales, why back a new medium which is potentially a lot more attractive but with lower margins?
My experience of browsing beatport is that its full mainly of junk that most people would only consider downloading for next to nothing. Small margins and sales are better than no sales, thats why in my opinion the quality of tracks available for legal download is poor. |
Yeah, it costs 99 cent for the consumer, which is relatively cheap, you'd think that your typical trance release would rack up in 1000s of sales, becuase a lot of people would buy it. But no, that is not the case, the honest truth is that a record label sells more vinyls than they do digital downloads in majority of the cases. You also have to look at the fact that a label will get 50cents and under per digital download, in the end, you end up with pocket change as your profit, believe me I know from first hand experience. Somatic Sense cancelled majority of their digital music contracts becuase the numbers were a joke.
It is the same problem as vinyl and that is that people are just NOT buying music, no matter what medium it is, CD, MP3 or Vinyl. |
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| Max Thomson |
| every techno label. why? techno djs want the vinyl, mp3s will always be cracker jack bull to them. if i had to pick a genre of music that was still 80% vinyl 10 years from now it would be techno |
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| thesuperfunk |
| quote: | Originally posted by Max Thomson
every techno label. why? techno djs want the vinyl, mp3s will always be cracker jack bull to them. |
How can you say that when Richie Hawtin was one of the first people to adopt Final Scratch? |
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| CraSHer[UK] |
| quote: | Originally posted by DC-
Yeah, it costs 99 cent for the consumer, which is relatively cheap, you'd think that your typical trance release would rack up in 1000s of sales, becuase a lot of people would buy it. But no, that is not the case, the honest truth is that a record label sells more vinyls than they do digital downloads in majority of the cases. You also have to look at the fact that a label will get 50cents and under per digital download, in the end, you end up with pocket change as your profit, believe me I know from first hand experience. Somatic Sense cancelled majority of their digital music contracts becuase the numbers were a joke.
It is the same problem as vinyl and that is that people are just NOT buying music, no matter what medium it is, CD, MP3 or Vinyl. |
I'm not sure you understood what I was saying.
I was saying that labels are sceptical of digital downloads because they might affect more profitable vinyl sales.
I think we are in agreement that the numbers of people paying to download are slim, however i think thats because they only release rubbish for digital downloads because the big tracks as records create a lot more profit. Thus releasing them on both formats makes no sense becuase if just one consumer decides to buy the mp3 where as they would have bought the record (if it wasnt available via digital download) then the label has lost out.
Thus the only labels that even bother with the digital downloads are those who's releases are too weak to compete at $7 with big releases, where as at 99cents they have a chance of sales. |
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| flavdave |
| quote: | Originally posted by CraSHer[UK]
Thus the only labels that even bother with the digital downloads are those who's releases are too weak to compete at $7 with big releases, where as at 99cents they have a chance of sales. |
I disagree. |
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| AMP |
| quote: | Originally posted by flavdave
I disagree. |
I disagree as well. |
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| tylerc |
| quote: | Originally posted by DC-
Believe it or not, digital downloads are way overrated from a label's perspective. Audiojelly and Beatport will NEVER replace vinyl sales when it comes to revenue. |
Except for the fact that for all practical purposes you CAN'T lose money offering digital downloads. Granted you have to pay bandwidth, but if you're using bandwidth, that means you're making sales.
Vinyl takes such a big initial investment that many start-up labels aren't even bothering. |
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| swisstoni_uk |
| Shame about vradio as Vandit is probably my favourite label due to Pauls great taste in music :D. The labels are only missing out on sales though, i hope they realise this.... Lost Language just signed up, so did Black Hole, theirs only Tsunami and Vandit left.. |
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| CraSHer[UK] |
| quote: | Originally posted by tylerc
Except for the fact that for all practical purposes you CAN'T lose money offering digital downloads. Granted you have to pay bandwidth, but if you're using bandwidth, that means you're making sales. |
you CAN, because for everyone who buys the mp3 who in its absence would have bought the vinyl, means you loose out. (admitedly that might not be that many people)
| quote: | Originally posted by tylerc
Vinyl takes such a big initial investment that many start-up labels aren't even bothering. |
I agree. |
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