Vinyl Records Make Minor Comeback
I’ve been reading “Vinyl Makes A Comeback” stories for some years now. Trouble was, vinyl hadn’t made a comeback. The statistics didn’t support the anecdotal evidence, which was “shovel-ready” at best.
At least until now.
The Recording Industry Association of America (RIAA) issued statistics that support the headlines. Last year’s retail sales of vinyl LPs and EPs (long-play and extended-play records for those born in the digital era) were up for the second consecutive year, rising 124 percent in units to 2.9 million and 148 percent in dollars to $56.7 million. In 2007, sales were up 36.6 percent in units and 46.2 percent in dollars.
Now keep your bell bottoms on. Vinyl LPs and EPs accounted for only 0.007 percent of the music industry’s 2008 volume of $8.48 billion in combined physical and digital sales. That share is up from the previous year’s 0.002 percent, partly because the music industry contracted by an astounding 18.2 percent in 2008. On a dollar basis, sell-through is close to what it was in 1990. On a unit basis, sell-through is what it was in 1999. In contrast, digital downloads accounted for almost 30 percent of music-industry sales.
The recent rebound, in fact, is from abysmally low levels. In 2005, dollar volume hit a 12-year low of $14.2 million, and 2006’s unit volume of 900,000 was the lowest in at least a quarter of a century. And the market is nowhere near the 1.69 billion LPs and EPs sold in 1983, the earliest year for which I have figures.
These statistics don’t include vinyl singles, which shrank 27.4 percent in 2008 to a minuscule $2.9 million. Add them into the mix, and vinyl’s dollar volume is a notch below 1997’s $59.7 million. (These are not inflation-adjusted dollars, by the way.)
Although 2008 sales don’t amount to a groundswell, they are significant. The last time vinyl enjoyed consecutive growth years was in the mid 1990s. In 1996, unit and dollar sales grew for the fourth consecutive year to 2.9 million units (also the 2008 level) before declining again for a decade.
On top of that, the most recent upswing was significant enough to entice Best Buy to consider a rollout of vinyl to all of its stores after a successful 100-store test, as reported in a recent New York Post story. Music companies and artists have also taken notice, having issued new releases and catalog material in vinyl in recent years. That will contribute to greater demand.
Vinyl, of course, has always been popular with audiophiles and DJs, but what accounts for vinyl’s spike this decade? Some of the increased demand is coming from the iPod generation, which rediscovered parents’ vinyl collections and heard songs available only on vinyl. That piqued their interest in the medium. “In an increasingly digital era, vinyl albums offer fans a more tangible way to connect with their favorite artists and are likely appreciated for their artwork and collectability as well,” says Joshua Friedlander, the RIAA’s VP for research and strategic analysis.
Today, Friedlander adds, going vinyl no means going without a portable digital version of a song, thanks to the proliferation of vinyl-ripping USB turntables. Some vinyl albums also come with download codes so that consumers can easily obtain a digital copy without owning a USB turntable.
Cultural mood swings are also playing a role. “It’s hip to have vinyl,” says Sixth Avenue executive Tom Galanis.
Although the numbers aren’t in yet for the first half of 2009, “anecdotally it seems significant gains are continuing in ’09,” said Friedlander.
To me, it remains to be seen whether the surge will be long-lasting or turn out to be nothing more than a passing fad, like a ’70s-era fondue party. The interest in vinyl might reflect nothing more than the nation’s odd fascination with everything from the decade from hell, including bell bottoms, Afro hair styles, ’70s-themed TV shows, and ‘70s economic policies.
What say you?
Ben commented:
Ben commented:
Vinyl is the only thing, the artwork, the back cover notes, and yes
the sound. Most of all I miss the music, it ain’t there.
mmorris3 commented:
mmorris3 commented:
Forget the statistics, they don't account for the sale of used
vinyl, which I can attest has been on a major upswing in the last
five years. The independent retailers that sold CD's exclusively
have all but disappeared, but the ones that carry vinyl have
survived and many even flourished. Make no mistake, Best Buy has
paid attention to this trend. Vinyl doesn't always sound better
than CD, but you do not have to own high end gear or have perfect
listening conditions in order to hear the difference. 90% or better
of the time, vinyl is obviously warmer and more realistic sounding.
CD's are much more convenient, and mp3's even more so, and most
people are willing to settle for lesser sound quality (due to
compression)in order to have that convenience, as the lesser sound
quality is still decent sound (for the non-audiophiles, at least).
The funny thing is that vinyl will most likely outlive CD's, as
music files are rapidly replacing CD's.
Mike P. commented:
Records were good for their day, but if they were better then CDs
then guess what? People would buy them. As mentioned above vynle's
quality is barely better then CD and only when played in perfect
conditions.
Mike P. commented:
ZoetMB commented:
ZoetMB commented:
>>> If the industry focused on education and exposure,
sales would follow. I don't think so (and I still have 1000 LPs and
a working turntable in my living room.) Consumers have long opted
for convenience over quality (compressed audio on an MP3 player
over anything else.) Also, despite the hype, vinyl only exceeds the
quality of CD (and sometimes not even then) with an LP in virgin
condition played on audiophile equipment. In the real world, CD and
frequently even MP3, beat vinyl. In a double-blind test, consumers
will pick the digital medium every time and that's not even
considering the convenience. Every time I play a catalog CD of an
LP I have or had and think that the LP sounded much better, I go
back to the LP and A-B it with the CD and I'm always shocked how
much worse the LP sounds. Our memory of that LP experience is far
different than the reality. Part of it is that if you're old enough
to remember LPs, your ears are probably not hearing today what they
heard then. In addition, all attempts at high-resolution audio
formats for commercial releases have failed. Furthermore, partially
because the industry produced so much crap and partially because of
the nature of digital downloading, the single has once again become
dominant as it was for rock music before 1967 or so. And the
problem for the industry is that the current economics are geared
towards selling albums, since we're long past the day when an
artist would go into the studio and record a track in a few hours.
What I am surprised at is that in an age when every trivial aspect
of a star's life seems so important to so many young people, they
don't seem to care about album jacket and liner notes. I used to
obsess over every writer and studio musician that played on every
track and in an MP3 world, you don't get that anymore. But no one
seems to care. So I don't see LPs as ever being more than the
tiniest niche market. In fact, the latest AV receivers have dropped
their phono inputs, even on the high end. An increase in LP sales
doesn't mean much because the market so incredibly small.
JH commented:
To the iPod generation, who are used to hearing 1/12 of the
recorded sound, CD (which is still compressed) is a revelation, and
vinyl is a jaw-dropping experience. If the industry focused on
education and exposure, sales would follow.
JH commented:
Keep Spining commented:
Vinyl harks back to the day when great musician / artists made
great records, concerts did not cost a weeks salary, FM radio was a
good place to hear new music, and your local Hi-Fi Shop was a cool
place to hang out. Most of that is gone now, and spining a platter
on some vintage gear is a fun way to remember it all. For the young
kids, vinyl may be a way to reconnect to the history of the music.
Kinda like when my kid busts out his wooden baseball bat and
pretends he's Babe Ruth!
Keep Spining commented:
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