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|    alt.fan.cecil-adams    |    Fans of legendary knowitall Cecil Adams    |    144,831 messages    |
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|    Message 144,733 of 144,831    |
|    Beaver Fever to Amituo    |
|    Re: Record Clubs    |
|    17 Feb 24 23:37:47    |
      From: Beaver_Fever@live.com              On Thursday, January 23, 1997 at 12:00:00 AM UTC-8, Amituo wrote:       > Why do record companies run "record clubs," those things you see       > advertised in magazines and Sunday-paper pullouts? Aren't they just       > undercutting their own profits? Some people seem to think that the offered       > titles are excess stock, but I don't think that this is true as the CDs       > (or tapes, or LPs back in the day) don't have barcodes, and I believe that       > they have different catalog numbers. I don't think that the record company       > would print up new packaging for excess stock.       > It seems that with a lot of these record clubs, you get 8 CDs for free,       > with the obligation to buy one more. Granted, they have little overhead       > for these, and the prices are likely to be a bit higher than the local       > music store, but even so, it doesn't seem to add up. Especially since       > stores buy CDs at about $9 wholesale. (Again, granted, they get them from       > a distributor....) Selling retail seems like it'd be much more profitable       > than printing up different versions of products and then selling them at       > reduced cost.       > Maybe someone has a better idea of what the numbers are in this equation,       > and what the motives are?                     I miss them, they were awesome. Still have all those cassettes.               --- SoupGate-Win32 v1.05        * Origin: you cannot sedate... all the things you hate (1:229/2)    |
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