Originally posted by E. G. Ekin:
Originally posted by Alex S:
[b] Wha-?!
It'll be in the bargain bins before it's even released at that rate!!
How can they do that?!
For the same reason that supermarkets can sell new hardback books at less than half price Alex - as ‘loss leaders’, or for the reason that they can sellit for less value through thier website. I would suspect you are unlikely to ever find this release on the shelf in any WH Smith...
Why the question? Are you shocked that supermarkets and retailers could use such a legitimate underhanded selling technique wholesale, or is the outrage just because it's a John Foxx release? [/b]Another reason is 'Economies of Scale' - sometimes it's much cheaper or just not that much difference in price to print up 5,000 CDs than 1,000 CDs.
For example; EOS - Probably explains why Kylie's latest album 'X' is only 5.99 instead of 10.99 or whatever - because it's already done it's chart duty and made back the money of the pressing when released. Now all the surplus stock is available at heavily discounted prices. This probably explains why your local HMV has large stocks of chart/current albums/DVDs/Box Sets at vastly cut prices.
In Foxx's case there is probably an estimated figure of how many will sell based on past sales - let's say for argument's sake it's 7,000 copies. Most pressing plant's will charge a standard for 5,000 copies and maybe that price + half that price again for 10,000 copies. So it's cheaper to print 10,000 - giving you a surplus.
I'm not saying in any way that these figures are accurate - just as an example of how these things can work.