Music Distribution

Distribution of music

Music can be distributed to consumers in several different ways e.g. over the internet / sold through super market chains.

I will be looking in detail into how music is advertised and distributed to consumer via shop brought CDs

Definition:

Distribution is how albums get into shops. Distribution companies sign deals with record labels (or very rarely, directly with artists) that gives them the right to sell that label's products to record stores that have an account with that distributor. The distributor takes a cut of income from each album sold and then pays the label the remaining balance.

Some distributors expect a record label to provide them with finished product, but sometimes a distributor will do an "M&D" deal with a label. M&D stands for manufacturing and distribution. With this set up, the distributor will pay for all of the manufacturing costs of an album up front, and then keep all of the income from the album until that initial investment is paid off.

(taken directly from http://musicians.about.com/od/glossary/g/Distribution.htm )

Problems with distribution to music shops

As there has been a change in the way music is purchased ( e.g. over the internet/ via itunes ) there has been a decline in specialised shops which solely sell music. This has happened as buying CDS has become a thing of the past. Although music shops are shutting music is still being purchased , it is easier to download music from the internet as consumers can set up an online banking account and buy the individual songs without leaving the comfort of their homes. This is a cheaper and easier way to purchase music then going to a music shop and buying a CD. Although CDs are usually sold at most retail stores ( e.g. major supermarkets), they usually only sell a small selection of chart music and cannot compete with the variety of music and online store can give.

Benefits with distributing CDs to shops

The benefits of distributing music in a CD format are that consumers can collect the CDs and keep them, which many not happen if an mp3 player is lost or broken. Also the quality of the sound on a CD can be an influence as to a consumer’s choice whether to buy music online or to buy a hard copy. When played in an expensive hi tech CD player the sound quality is better. This is a different market then to the online market as the consumer wants a clearer sound. Also there can be bonus tracks and DVDs which are included in the hard copy.