Adam already posted this link in the comments of Leading Off this morning, but a “devastated” FBvian wanted my take on the demise of CD World (both the Greenville and Addison locations). There’s not much I can add that owner Mike Schoeder didn’t cover if you click on through. But I do have some thoughts.
It’s sad, but not surprising. For years, independent stores like CD World had to deal with dwindling market share, thanks to big box stores like Best Buy and others that could use CDs as loss leaders. That took out stores like Pagan Rhythms and VVV Records and others. That, in fact, was the subject of the very first feature story I wrote for the Dallas Observer back in 1996. Those that made it through, like CD World, then faced down a beast they couldn’t handle: iTunes and every other digital music service. Digital music is great for music fans but not for the old model of the music business. Digital music is (perhaps rightly) kicking record labels in the crotch. Obviously, that being the case, it can’t be much better for the stores that sell CDs.
The ones that have survived, and hopefully will keep surviving, have a niche. Good Records is the place for more outside of the mainstream bands (call it college rock, indie pop, Pitchfork-approved or whatever). Plus, with instore appearances and such, they’ve always done a, ahem, good job at making their joint a destination. CD Source sells new records, but it also can keep prices low (and its margins fairly high) by doing a brisk business in the used CD market. I would suspect CD Source would do even better in times like these, with more people looking for some extra scratch by selling off part of their collection, while other people snap them up for pennies on the dollar. Bill’s Records and Tapes has name-brand recognition, a loyal customer base, and an endless supply of rare British and American records from Bill Wisener’s vast warehouse. (And just in case, Bill already has a fairly strong presence in the online sales world.)
The fact that CD World had to peace-out is bad for the employees and the people who came there every Tuesday looking for something new. But Schoeder was smart when he bought the Granada several years ago, transitioning out of one music business and into another. Like he told Unfair Park:
“If you wanna be involved in music, and if it’s not part of a live arena, it’s gonna be tough. If you’re not touring, part of that side of the business, it’s gonna be tough.”
That’s why people like Jay-Z and others are signing up with Live Nation and every record label around is trying to cut so-called “360 deals” (meaning they get a piece of not just record sales, but also touring and merch receipts).
All I can suggest is this: if you’re mourning CD World today, take your money to Good or Bill’s or CD Source or CD Addict up north or one of the other record stores I failed to mention. Make sure it doesn’t happen to someone else. But don’t be surprised if and when it does.
