Are CD Prices Getting More Dynamic?
One of the more interesting items we've discussed has been the different pricing strategies that studios use with DVDs versus what the labels do with CDs.
The studios, to their credit, use a form of dynamic pricing -- they intelligently recognize that a content item's value is highest when first released, and then subsequently fades. That's why DVD prices come down over time, to capture those marginal buyers. The consumers who will not pay $49.99 for Seinfeld Season 1 & 2, might pay $29.99.
The labels have mostly avoided this strategy -- but perhaps that's changing. I had just finished reading a post about Amazon's conference call, and on it Amazon's management discussed their Long Tail strategy. I went over to the site, and thru some random clicking and scrolling, noticed this little tidbit: a long list of interesting CDs for sale on Amazon for between $6 and $10:
Here's my short list of favorite moderate priced CDs off of the Amazon sale:
Jack Johnson : Brushfire Fairytales - another great one -- grab it.
Stripped -- an under appreciated stone album
Tattoo You the same -- kicked off the modern Stones, and it rocks
It's Only Rock N Roll classic
James Brown - 20 All-Time Greatest Hits! If you you don't have the 4 CD set, go with this
Bruce Springsteen - Greatest Hits I prefer the individual CDs, but if you want a full dose of Bruce in one shot, this is it.
Wish You Were Here I have the full box set, but after Dark Side of the Moon, this is it.
Motown an interesting twist on Motown
- Fashion Nugget Killer album that introduced me to the band:
"He's going the Distance, he's going for speed . . ."
Sublime A great album . . .
Pablo Honey not my favorite Radiohead, but . . .
Get Rich or Die Tryin' Not my taste, but a big seller
The $6 list is pretty thin (I have a real soft spot for Steven Wright, but that's about it), but the $8 one ain't half bad. You have a few greatest-hits fillers, your Nick Drake studio LPs, and a whole buncha classics from the Velvet Underground to Public Enemy. You could do worse than buying the whole lot.
Of course, they should still be priced at $3 each rather than $8, but that's just off the top of my head.
Posted by: wcw | Aug 4, 2005 10:28:10 AM
The comments to this entry are closed.