How does BMG/YourMusic.Com do it ?

Discussion in 'Music' started by Kirk Gunn, Jan 21, 2006.

  1. Kirk Gunn

    Kirk Gunn Screenwriter

    Joined:
    Aug 16, 1999
    Messages:
    1,609
    Likes Received:
    0
    Trophy Points:
    0
    With most download sites charging .99 per song, BMG/YourMusic at 5.99 flat rate per single CD seems quite the deal. Granted their selection is not top-notch, but at that price, who cares.

    How do they legally negotiate to sell CD's so far below the prices of the original producers ? Is the CD medium they are burned on inferior ? (I haven't noticed it...)

    Thanks
     
  2. Jeffrey R

    Jeffrey R Stunt Coordinator

    Joined:
    Feb 5, 2002
    Messages:
    199
    Likes Received:
    2
    Trophy Points:
    0
    Yourmusic started out with a $4.99 per CD promotion for a few months. Now that was crazy cheap. I went absolutely nuts, mostly buying boxsets. Getting Miles Davis boxsets for $25 or so, when they sold at retail for like $75, was just nuts. And they had (and have a ton of others) like the Faces box, Dylan SACD box, Allmans, Clapton, etc. I built an entire Blue Note jazz collection through yourmusic. Picked up all of the Dylan Bootleg Series.

    Bottom line is, there is no difference in quality between the yourmusic titles and retail titles. And all of the boxsets I have received from yourmusic are 100% the retail versions. Some of the yourmusic/BMG titles do have the special "made for BMG" labels, while some have the original retail upc's. I don't know the finances, or how they do it, but I ain't complaining. Just take advantage of it.
     
  3. Colin Jacobson

    Colin Jacobson Lead Actor

    Joined:
    Apr 19, 2000
    Messages:
    6,523
    Likes Received:
    942
    Trophy Points:
    9,110
    I'd guess they make money due to a volume, volume, volume situation. They also probably capitalize on people who subscribe and forget about it - BMG takes your $5.99 a month whether or not you actually buy anything...
     
  4. LanceJ

    LanceJ Producer

    Joined:
    Oct 26, 2002
    Messages:
    3,168
    Likes Received:
    1
    Trophy Points:
    0
    After a limited number of playings, they dissolve into a snot-like mass smelling of feta cheese.

    [​IMG]
     
  5. Garrett Lundy

    Garrett Lundy Producer

    Joined:
    Mar 5, 2002
    Messages:
    3,764
    Likes Received:
    0
    Trophy Points:
    0
    I don't care how, or even if they turn a penny in profits. Gimmee gimmee gimme CDs at $6 each! [​IMG] I've bought more in the frst 2 weeks than I did in the last 2 years.
     
  6. Brian L

    Brian L Cinematographer

    Joined:
    Jul 8, 1998
    Messages:
    2,950
    Likes Received:
    29
    Trophy Points:
    1,610
    I'm with you Garrett...I have purchased lots of new music that I would never have bought at $13 a crack. And its a total no brainer to keep you queue loaded up. No one needs to lose out. If you do, you are probably not the sharpest knife in the drawer.

    It really does call into question how much profit (or is that greed!) there is on a CD that does sell for >$10 or so. In fact, I find that I have chosen to not buy some stuff because it was not available at yourmusic. I have become very intolerant of paying more than $5.99 for anything.

    Brian
     
  7. BrettGallman

    BrettGallman Screenwriter

    Joined:
    Nov 11, 2002
    Messages:
    1,392
    Likes Received:
    0
    Trophy Points:
    0
    This reminds me of when I used to be in BMG's music club. You know, the one where you sign up and get 7 CDs for the price of one, and then have to buy so many before a certain date. I never could figure out how they stayed in business. For one thing, the initial offer gives you 6 CD's free, and after that, their prices during promotions were always super low.
     
  8. Greg.G

    Greg.G Stunt Coordinator

    Joined:
    Mar 18, 2004
    Messages:
    55
    Likes Received:
    0
    Trophy Points:
    0
    I heard on this board that the regular BMG club deal of 12 free/1 full price/4 free comes out cheaper than yourmusic.com at $5.99 each even with S&H factored in. It is really hard to buy, for example Ween's Quebec and Choc. & Cheese at club prices, and then have to go to some place like amazon.com and buy the rest of their CDs for $15 each.

    I think a lot of the very best music like the white album or dark side of the moon will never be at BMG at discount. I find myself buying a lot of recordings that I may like but am not too excited about, e.g. the Kinks 70s albums, so maybe they are selling some CDs that the same customer never would have bought in a store. I've also seen some artists like John Lennon, Genesis, Talk Talk or Procol Harum that they only carry the greatest hits collections which makes me presume that the company holding the rights to those recordings is offering these in the hopes that you get hooked and buy the undiscounted original albums.

    In addition I think the record industry in content with smaller returns given all of the illegal trading of music that is going on. There is also little overhead with no physical store, an automated system, and no real people to talk to if you have a problem. Add to this all of the full price CDs that people did not want but pay for anyway and the queue system that can also keep unintended CDs coming at you.

    Still I'm amazed they ever offered Bob Dylan SACDs at those prices - what a steal.
     
  9. Aaron Silverman

    Aaron Silverman Executive Producer

    Joined:
    Jan 22, 1999
    Messages:
    11,239
    Likes Received:
    787
    Trophy Points:
    9,110
    Location:
    Florida
    Real Name:
    Aaron Silverman
    Heck, I bought the 3-disc SACD/ DVD set of Goodbye Yellow Brick Road from BMG for $11.99!!! [​IMG]
     
  10. Craig Oberg

    Craig Oberg Agent

    Joined:
    Dec 6, 2001
    Messages:
    32
    Likes Received:
    0
    Trophy Points:
    0
    I've read that the music club sales are
    considered promotional copies and do not
    pay royalties to the artists.

    I don't know if there is any truth to it,
    maybe someone knows the whole story,
    but it's a plausible explanation for the
    prices.

    Regardless of how they do it, yourmusic
    is a personal addiction. Checking the
    recently added titles is a daily ritual and
    my queue has me set until 2014.
     
  11. DanFe

    DanFe Second Unit

    Joined:
    Sep 15, 2003
    Messages:
    421
    Likes Received:
    0
    Trophy Points:
    0
    Not true Craig.
     
  12. Craig Oberg

    Craig Oberg Agent

    Joined:
    Dec 6, 2001
    Messages:
    32
    Likes Received:
    0
    Trophy Points:
    0
    "Promotional/no artist royalties" is
    is a standard response I've seen.

    I guess I could’ve been a little clearer.
    I know that royalties are paid on discs
    that are sold and no royalties are paid
    on true promotional copies (the ones
    Stamped “Promotional: not for sale.”)

    BMG discs are sold, although at a reduced
    price, so I could see where the royalties
    might be paid at a reduced rate for music
    club sales

    I guess what I was saying is that I wouldn’t be
    surprised if there were crazy contractual
    peculiarities to BMG sales.

    As I said, I have no way of knowing if there
    is any truth to it. I just threw it out hoping
    for more information.
     

Share This Page