Stores Will Be Taking CDs Off of Their Shelves As Sales Continue To Plummet
Could this be an end of an era?
At their peak, CD’s were pushing almost 2.5 billion units back in the early 2000s. In fact, one of the best-selling CD’s in the year 2000 was Eminem’s “The Marshall Mathers LP” which sold almost 2.2 million copies and has been ranked as one of the greatest hip-hop albums of all time according to Rolling Stone, Time, and XXL.
However, with the increase in digital music sales growing exponentially, the market for physical formats of these albums continue to decrease. According to an article by The Verge, global revenue from music downloads and subscriptions overtook sales of CDs for the first time in 2014 at nearly 7 percent to $6.85 billion, while physical sales fell 8 percent to $6.82 billion.
As the sales only continue to plummet, Best Buy is abandoning the CD and will no longer sell them in its stores starting on July 1st, 2018. According to reports, Best Buy’s CDs were only generating $40 million annually.
Target, on the other hand, says it will only sell CDs on a consignment basis which means rather than buying the CDs in bulk and paying for shipments of unsold CDs back to the label, the store would only pay labels for CDs when customers buy them.