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Tue, 16 May 2000 08:57:12 -0500 |
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Steven Martin:
>The problem that I see with gouging the customer to the maximum that the
>market will support is that prices never come down. Once Nineteen dollars
>becomes the going rate, you will never see the price come back to Eighteen
>again.
It happened once, back in the late fifties or early sixties. When the
price of an LP went up to $6 and sales threatened to dry up, the labels
decided to drop the price to $4 and sales took off. In our own time, BMG's
direct marketing at seven or eight dollars a CD, including s&h charges,
seems to have been highly successful in moving the merchandise. They don't
offer everything, but they have what amounts to a large list, over a period
of time.
Jim Tobin
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