EMI To Mom & Pops: Eat Cake Bitch

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Life Is Good At EMI

Here’s a really good one for you. Last week EMI sales reps started making calls to many if not all of their small accounts, mostly independent mom & pop stores, to tell them that they would no longer sell them product!!! Were these accounts bad payers? Nope. Would they not stock catalog or new artists? Nope. Then why in God’s name, you may ask,  would they simply cut loose paying customers? The answer given by sales reps — cost cutting.

So let me get this straight. EMI intends to save money by not selling their CD’s to independent retailers. Instead they want these retailers to go to one stops for their product.  These retailers are the only ones who buy catalog anymore. You sure can’t find it at Walmart and Best Buy. These are small businesses who have been loyal customers of EMI for 20, 30, 40 or more years. Like in the movie High Fidelity, these guys know every catalog number ever released. Every disk ever cut out of the catalog. They live and die by making personal recommendations to their customers–turning them on to new music. These shops are where music lovers go to discover and buy music. Several I have spoken with are so upset that they vow never to buy any EMI catalog again–or any new artist releases either. Only the certifiable hit product that they know will sell. They will no longer take chances on new EMI artists.

So I guess it just isn’t worth it to EMI to take these orders over the phone anymore. Too labor intensive. And after all, they’re doing so well that they really don’t need the business. Small potatoes. Let ‘em eat cake.

INTERESTING UPDATE: In making this policy change, EMI took the unusual step of notifying these retailers by phone instead of the standard letter. Could it be that they didn’t want anything in black & white?

Also, don’t forget that by being forced to buy from a one stop, not only does a mom & pop retailer pay more for his product (cutting into the already slim margins and pricing pressure from the likes of WalMart, etc.), but the one stops don’t carry nearly the depth of catalog that these guys need in order to make a living. And is this really a good strategy for EMI to introduce their new artists?  Another gripe they have is that now they won’t even get new and/or important releases (does EMI have important releases? Maybe the upcoming umpteenth release of remastered Beatles catalog) on Tuesdays, the new release day. It just makes it all the more difficult for them to compete and stay in business, even if it we were experiencing better economic times.

© 2009 – 2010, Wayne Rosso. All rights reserved.

56 comments for “EMI To Mom & Pops: Eat Cake Bitch

  1. February 1, 2010 at 11:14 AM

    After ten years of piracy beating the Recording Industry to death most folks on this post seem surprised that there would be cost cutting measures? Hah! What did you expect? Do you think the Recording Industry can take mass thieving of their products forever?

    All, and I do mean ALL Major Retailers of Music are cutting costs due to piracy. All Retailers are eliminating large amounts of floorspace dedicated to Music Sales. And, according to IFPI, 95% of al digital downloads are illegal pirated copies.

    Bottom line: All you pirates have created this mess. No industry can survive massive stealing of their products. EMI is simply conducting fair business. Pirates are thieves and are destroying the industry.

    Jared Brandt
    Brandt Morain Studios

    • Philip
      March 21, 2012 at 1:24 PM

      And you have no idea what you’re talking about.

      95% of all digital downloads are illegal?

      Get me 15 reports that say that and MAYBE I’ll believe you.

      Don’t believe anything that the RIAA tells you. It’s all lies and slander.

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