 MaggsPremium
join:2002-11-29
Woodside, NY
 ·RCN CABLE
| Information Control If you control knowledge, you can control people, simple as that. The RIAA is basically a tool for the record labels. Music is the only commodity that doesn't depreciate in value. Music should be priced via a demand model, it would make it more fair.
Pressing cost for a CD I produced for my brother a year ago was $2 a CD, for 1,048 CDs. Now imagine the volume discount Sony would get for pressing 1 million CDs. The media is dirt cheap, so why don't they charge a reasonable price.
Markup on a $15 CD with a $2 production cost with sales of 1 million units is $15,000,000 / 2,000,000 = 7.5 x 100 = 75%
That's a great percentage profit, and once the master is pressed and everyone is paid, the cost is nearly zero.
Take for instance if your local grocery store marked up food 75% would you keep shopping there.
--
NIL ILLEGITIMUS CARBORUNDUM! |
|
TheGhostPremium
join:2003-01-03
Lake Forest, IL | said by Maggs:Markup on a $15 CD with a $2 production cost with sales of 1 million units is $15,000,000 / 2,000,000 = 7.5 x 100 = 75% That's a great percentage profit, and once the master is pressed and everyone is paid, the cost is nearly zero. Take for instance if your local grocery store marked up food 75% would you keep shopping there. Actually, would be 750%, not 75%. What the record companies would respond with is that they spend so much more than the actual, physical production costs to make the CD.
Personally, I think they produce too much garbage today and the value for the entertainment dollar is not there. For my $15, I can either purchase a CD that will have 2 or 3 songs that I like, or I can by a DVD with a movie and extras. For 2 CDs I could purchase a video game that will give many more hours of entertainment. Music just isn't worth it to me anymore. We occasionally buy a CD, but usually it is an older one that has been discounted, or one from a CD exchange store. Better value, a concept the RIAA just doesn't want to admit. |
|
 KilroyPremium,MVM
join:2002-11-21
Ann Arbor, MI | reply to Maggs
said by Maggs:The RIAA is basically a tool You could have cut your comment right there, I did.
I agree that music cost too much for what you get. Digital music is even worse. Why pay $1 a song, lets not quibble about a penny? The only costs are initial production, storage, and bandwidth. There is no physical media, no storage, and no transportation. Why should we pay the same price as a physical product?
Barenaked Ladies is one of the few groups who understand. When Napster was the new thing they released demo tracks where you go 30 seconds of the song and a please buy our album message. On the Everything for Everyone DVD they know they are competing against free. They even have their concerts available.
That all said, this guy got what he deserved, but the RIAA isn't going to see any of that huge award.
--
How hard does DRM have to bite before business abandon it? |
|
| said by Kilroy: The only costs are initial production, storage, and bandwidth. There is no physical media, no storage, and no transportation. Why should we pay the same price as a physical product? No, there are other costs as well:
Promotion(includes advertising; public relations; etc)
Accounting
Accounts Receivable(billing)
Accounts Payable
Legal
Etc.
--
My BLOG .. .. Internet News .. .. My Web Page |
|
| reply to TheGhost
said by TheGhost:said by Maggs:Markup on a $15 CD with a $2 production cost with sales of 1 million units is $15,000,000 / 2,000,000 = 7.5 x 100 = 75% That's a great percentage profit, and once the master is pressed and everyone is paid, the cost is nearly zero. Take for instance if your local grocery store marked up food 75% would you keep shopping there. Actually, would be 750%, not 75%. What the record companies would respond with is that they spend so much more than the actual, physical production costs to make the CD. Personally, I think they produce too much garbage today and the value for the entertainment dollar is not there. For my $15, I can either purchase a CD that will have 2 or 3 songs that I like, or I can by a DVD with a movie and extras. For 2 CDs I could purchase a video game that will give many more hours of entertainment. Music just isn't worth it to me anymore. We occasionally buy a CD, but usually it is an older one that has been discounted, or one from a CD exchange store. Better value, a concept the RIAA just doesn't want to admit. All of this garbage going on in the USA is due to bad laws passing because incompetent people make the laws. Just like my Comcast service support is terrible because at least 80% of the people working there are incompetent. Do not expect this to change any time soon. I gave up on this pathetic world. Just try to live happily till you die. If pirating music makes you happy go for it. If going on the RIAA's nuts makes you happy, jump aboard that too. |
|
 a333A hot cup of integrals please
join:2007-06-12
Rego Park, NY | reply to fAcEtIOUs
errr, you realize he was talking about iTunes? Don't know about you, but it's beyond me how the cost of one song online, without any physical media (aka one track equivalent to a CD) can be the same as the per-track cost of a CD. |
|
| reply to fAcEtIOUs
Having once known a VP of Atlantic Records some of those costs are staggering.
The costs of rolling the dice promoting a new band would be viewed as insane to anyone outside the industry. |
|
|
|
| reply to fAcEtIOUs
Let's not forget they get paid more money besides the cd sale. The Radio station promote the music by playing it, Then the radio station has to pay to play the music for them?? What kind of business model is that? The music industry is getting money anywhere and everywhere they can get it from. Then they don't want to pay the artist saying there's no money coming in.
Time for a new business model. Their business model of robbing from the artist and customer is dying. And it isn't helping that they are killing it faster and faster. |
|
Reviews:
 ·BT Broadband
| reply to person991283
I would like to make a point.
Once you give up fighting the abuse because it is not going to change anything. Your enemy has won.
They will make every effort to make you feel this way. From there it is only one step to laws that you will like even less. Be active.
LONG LIVE THE ELECTRONIC REPUBLIC. and any other for that matter |
|
