| CD Baby DIY Musician Podcast |
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| Super D, worldwide music wholesaler, and CD Baby sign exclusive distribution agreement |
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NOTE to CD Baby clients: If you are already
distributed through a brick and mortar distributor to Super D
and/or go direct with Super D, do not worry, this deal will
NOT affect you. Super D will reject our information if
you are currently in their system or come into their system
through a brick & mortar distributor or via a direct deal.
How this will work: All our titles (with a UPC barcode)
will be available in Super D's database; a retail store will order a
CD, Super D will order from us, we'll ship to Super D and then
Super D will ship to the retail store.
You will still be paid the full amount that you get paid
when you sell a CD on CD Baby (i.e. if you're selling a CD on CD
Baby for $12.00, CD Baby pays you $8.00 per sale. You'll still
get that $8.00 if Super D buys it and sells it to a record store).
Now your fans should be able to walk into any store that deals
with Super D and order your album! This will be effective either
May or June 2006.
If you don't have a UPC, we sell them for $20.00 each. Log in at
https://members.cdbaby.com and then go to the "members
tools" tab at the top and then select "UPC barcode"... you do not
need to physically have the UPC barcode on the CD, we'll do that
for you. There was no way around this, Super D only wants
titles with UPCs as that is how they track stuff in their system.
Also, if you want to design a one-sheet to pass out to retailers
in hopes they will purchase your CD from Super D or so they can
be more aware of it, then you can use this as your distributed by
contact information:
Super D/Phantom Distribution
Mark Grindle
National Sales Manager
17822 "A" Gillette Ave.
Irvine, CA 92614
Phone: 949-255-5202
Fax: 866-666-5162
cdbaby@sdcd.com
However, PLEASE DO NOT contact Super D if you are
not a retailer. If you are a CD Baby artist, please direct any
Super D questions to CD Baby Customer Service at
cdbaby@cdbaby.com.
Go here to make order request cards for your fans:
http://cdbaby.net/CD_Baby_InfoCard.pdf
Thanks!
Here is the official press release:
Worldwide Music Wholesaler, Super D, signs exclusive
distribution agreement with CD Baby to distribute to retailers
worldwide.
Super D, a Worldwide Music Wholesaler has signed an exclusive
distribution agreement with internet retailer CD Baby to
distribute CD Baby’s 160,000 unique titles of independent
artists’ music to retailers worldwide. CD Baby has over 128,000
artists who have consigned their CDs to be sold on CD Baby and
now these independent artists have worldwide distribution to
retailers through Super D. CD Baby gave the independent artists
an opportunity to offer and sell their product online and now the
artists have a distribution channel to retailers worldwide.
What does this mean to the individual artists?
CD Baby created an internet marketplace for an artist to market
and sell their CDs and now the artist has immediate worldwide
distribution to retailers. Super D sells to over 1,300 retailers on
a weekly basis and now artists can efficiently work with their
local retailers with easy access to the product. “This is a
fantastic opportunity for the independent artist to instantly get
worldwide distribution,” said Jeff Walker, President of Super D,
“CD Baby and Super D have joined up to provide a complete
worldwide solution for the independent artist.”
Over the past eight years CD Baby has created the largest
database and selection of independent artists’ music in the
world. The selection continues to expand at an unbelievable
pace of over 3,000 titles per month. With its total commitment
to supporting the independent artist and its exceptional
technology CD Baby has become a savior to the independent
artists.
“We’ve always wanted to offer a brick and mortar solution to our
clients,” says CD Baby’s vice president of marketing and
business relations, Alex Steininger, “because we feel many will
do well in traditional record stores. But, we won’t do a deal
unless its right for the artists, and our deal with Super D opens
many doors for the independent artists we represent, so we felt
it would benefit them, and that Super D was a perfect fit”.
Over the past several years Super D has been creating the only
Worldwide One Stop that is committed to Superior Service,
Selection, and Technology. The addition of 160,000 CD Baby
titles to Super D’s current in stock selection of 215,899 titles
provides brick and mortar and internet retailers worldwide with
the best possible selection available and a true Worldwide One
Stop. Super D’s selection represents product from 24 countries
worldwide.
The combination of CD Baby and Super D creates a total solution
for the independent artist for true worldwide distribution.
About CD Baby:
CD Baby sells and distributes music online for independent
artists and labels. Founder and musician Derek Sivers was
selling his own CD online in 1997, and he eventually asked a few
friends if they'd like to sell their CDs there, too. Friends told
friends and now over 128,000 artists sell their music through
CD Baby. CD Baby has sold over two million CDs to customers
worldwide, and paid over $25 million dollars to musicians. CD
Baby's Digital Distribution program has deals with all major
digital outlets such as Apple iTunes, Verizon Wireless’ V CAST
MUSIC, MSN Music, Rhapsody, Napster, and Sony Connect,
making CD Baby one of the leading digital distributors. For
more information visit www.cdbaby.com. More information
about CD baby is available at http://cdbaby.com and
http://cdbaby.net
About Super D:
Founded in 1990 as an independent music store, CD Listening
Bar, Inc. is a privately held employee owned California
corporation located in Irvine, California. Super D currently has
the largest worldwide selection of CD’s & DVD’s from 24
countries in the world and distributes them to independent
music retailers, chain music retailers, internet retailers,
international retailers and special market retailers worldwide.
More information about Super D is available at
http://sdcd.com
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| by
on Wednesday May 03 2006 @ 01:07PM PDT [ reply | parent ] |
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Excellent Job Guys...
I was working on something with another distributor to push music nationally. I will, however, stay the course. My patience continue to payoff for Qizaar Records and the artists we service.
Independent for Life... Thank You CD Baby.
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GREAT NEWS FOR THE CATZ IN THE HATZ AND SO MANY OTHERS LIKRE US WHO WORK THE WEEKENDS BUT STILL MUST KEEP OUR DAY JOBS..YOU ARE A BLESSING TO THE WORKING CLASS UN-SIGNED CLUB MUSICIAN.
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Fantastic CDBABY! a speical thank you to you all ! At this moment after reading this new information ,all I can say is WoW ! WoW! WoW! and thank you again walter goulet
ps. you all make dreams happen for us musians at CDBABY
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I still cant' believe this announcement...this is "the big one"
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Derek: there's lots of questions in this deal. What of returns? What of list price? You're not implying here that the retail price stays the same, and the artist still retains all but $4.00 of the sale are you? If a CDBaby title is $12, where's the split between the retailer, Super D, CDBaby, and the artist? What of those cds priced at $10 on CDBaby? Are they to still sell for $10 at retail, with a $4 artist contribution? Pls 'splain!?
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There are no returns! That's the beauty of this deal. Once Super D buys it from us, they are shipping it one-way to stores.
The list price will be a few dollars higher, and will be dependent on the stores, etc. pricing structure. But, a safe assumption is... look at your price on Tower.com and that is about what it will retail in record stores for, if not a dollar or two cheaper.
As for the money, the artist still gets their same price. For a $10.00 CD, the artist still gets their $6.00.
Take care,
Alex
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is there a list of retailers that can get product from Super D?
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is there a list of retailers that can get product from Super D?
They're one of the two largest one stops in the world, AEC (Alliance Entertainment Corp) being the other. Retailers anywhere order from one of these two one-stops. The list is rediculously long.
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would that include a chain like FYE? someone say in South Florida could order my cd at FYE and Super D would get it to them from CDBaby?
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derek this is a momentous! my son has a ton of teenage fans without credit cards
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There are no returns! That's the beauty of this deal. Once Super D buys it from us, they are shipping it one-way to stores.
Wow ... that's not the same deal the rest of us brick & mortar guys have. It's too bad you'd undercut the market this way. When retail buys from Super D, and Super D places an order with us, it's with the express knowledge that the retailer can return unsold product via Super D. It's not a direct fulfillment arrangement. Its also one of the reasons why distributors have had to directly either own the product they were distributing, or the artist had to understand what a holdback against inventory was all about.
You're going to put a lot of people out of business with this arrangement, because simply put, we cannot compete with this arrangement. This is a sad thing for many of us smaller independent distributors, who have already been fighting your commission / royalty schedule.
I am deeply saddened by this news, not happy .. although I am happy for the artists you are selling. I expect I'll lose a good share of my business I had retained because this was the one area I could compete with you all in. Now, I've lost even that competetive edge.
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after a customer orders a cd from retail, how long before the transaction shows up in our CDbaby account? Similar to Tower.com? or weeks and months?
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As always, we notify you as soon as it is shipped. Think of this like any other order, except instead of a person buying your CD, it's a store buying your CD. The way we have it set up here, it's really no different.
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great news Derek!... thanks!
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Thank you Derek for this wonderful news!
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Derek,
You're takin' over the world in your pursuit of happiness! Rock On Bro . . .
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Derek, finally someone is standing up for the independent artist, thank you so much, I don't have a relative in the industry but we have Derek Sivers looking out for us.
You guys are a blessing, music is being returned to the artist.
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| by b
on Tuesday April 18 2006 @ 09:25AM PDT [ reply | parent ] |
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So can we get an idea of what stores they service? Best Buy, Wherehouse, Virgin, Tower, Target, Wal-Mart, Borders etc.?
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Please see someone else's reply to the same question, above. It's pretty much every store. Thousands of stores. I'm sure someday we could probably get the entire massive list, but we don't have it yet.
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| by b
on Tuesday April 18 2006 @ 02:16PM PDT [ reply | parent ] |
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I don't care what some else says - especially when he's slamming you & Super D. How do I know that this F'n guy knows what the hell he's talking about? I checked out the SDCD website - no info on retailers - I just want to know officially - from CD Baby staff - do they cover all the major stores????????
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Hey B -
His answer was correct, the list is HUGE and we don't have one
yet. They work with huge stores and little stores. Thousands of
them.
- Lindsey
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I just read about the deal with Super D and I am really happy and excited about where this could lead all of us.
I have a question, though.
Can you tell me what I can do to to help myself with this new deal?
Should I contact stores in the areas where I have press/airplay and let them know about Super D?
Thanks,
Richy Kicklighter
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Ricky-
You bring up a very GREAT question, and one I would have addressed in the initial post if I thought about talking about it, but I didn't. So, I want to start off by saying "Thank you" for bringing this up!
Yes, the idea that thousands of record stores can order your record, from the hip mom&pop indie stores in each market (C.I.M.S. stores... http://www.cimsmusic.com - the Coalition of Indepedent Music Stores and A.I.M.S. stores... http://www.thealliancerocks.com - The Alliance of Independent Media Stores) to Wal-Mart and Best Buy is quite inticing.
However, you can take it one step further, show the stores that you have something going on in their market to warrant them stocking your product in their stores.
Whether it is press or radio play in a market, or tour dates, you can call up these stores and/or email them (Google is great for finding email addreses and record stores), talk to the buyer, and tell them:
1) I have these upcoming dates in your market
2) Here is the press I received in your market
3) These radio stations in your market are playing my music
And convince them to stock it.
Once they ask how they can buy it? You ask, "Do you deal with the one-stop Super D?" When they say yes, tell them they can order from Super D.
Take care,
Alex
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what about e-tailers like Amazon.com does Super D distribute to them, or would that be a conflict of interest for Cdbaby.com?
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Super D does indeed handle online retailers such as Amazon, etc. And, no, it's not a conflict of interests. We want to HELP musicians, not hinder them.
So, yes, online retailers that aren't being supplied by brick & mortar distributors will list your titles via Super D, from the CD Baby deal.
Alex
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As always, we notify you as soon as it is shipped. Think of this like any other order, except instead of a person buying your CD, it's a store buying your CD. The way we have it set up here, it's really no different.
Any store that buys inventory from Super D has the right to return any unsold merchandise, at ANY time. If I'm wrong, please quote the chapter and verse of the agreement that says so. Until then, as someone who has done business with one-stops, this hype is unbelievable, even if it does come from Derek. God knows, I love you Derek, and I have championed your cause since you came online, but I'm not buying it this time. Sorry.
And, if you DID get preferential treatment, then a hell of a lot of distributors in this country are gonna be pissed as hell that you did, and they didn't. This just smacks of preferential treatment of a company big enough dwarf the competition.
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i'm sorry but dealing with independent distributors has -not- been a pleasant experience for me in the past. if you are upset that CDBaby is breaking new ground on behalf of artists (who are accustomed to getting the shaft) then you are no friend.
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i'm sorry but dealing with independent distributors has -not- been a pleasant experience for me in the past. if you are upset that CDBaby is breaking new ground on behalf of artists (who are accustomed to getting the shaft) then you are no friend.
This is NOT my concern. My concern is solely for the documented truth of this deal. I have worked in retail and wholesale music distribution since 1973, and still do so today. I know that any retailer has a 100% return policy against unsold merchandise that is purchased from an artist one-stop such as Super D and AEC. I am also an independent musician.
If in fact, Derek has somehow circumvented this traditional arrangement, it puts the entire industry in a precarious position. Retailers (and I know MANY including CIMS store owners) retain the right to return any product they purchase for full credit against new material.
Don't believe me? Start calling retailers.
IF retailers don't retain the right to return product, they have no incentive to purchase it to begin with.
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Maybe in this case, Super D is taking the risk?
I'm not sure.
All I know is that the CDs only leave our warehouse if it's a paid sale. We made it clear to Super D that we pay our artists just a few DAYS after the sale, so by design we can not accept returns. They were OK with that.
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with physical media sales down almost 25% since 2000 I'd say the industry is -already- in a precarious position....but in my opinion what CDBaby is doing is exactly what's needed.
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We're talking about CDs ordered at the store mainly. If they're
ordered by someone who knows what they're ordering the chance
of returns is slim to none. In most case the store will not be
ordering in the hopes of selling, they will only order the indie CD
from Super D if a customer places an order for it.
In the case of a band gaining exposure in a certain locale and
soliciting stores to stock the CD via Super D and CDBaby... the
stores can give it a shot and stock a real low quanity, if the demand
is there they order some more. I don't think the brick and mortar
store will end up sitting on overstocked indie titles.
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yeah, i was pretty upset when my typewriter business went under thanks to PCs! I can't sell any typewriters! I squandered my entire fortune to keep my business afloat, and now I am dirt poor. I am so upset with Microsoft, Dell, and Apple!
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Maybe in this case, Super D is taking the risk?
I'm not sure.
All I know is that the CDs only leave our warehouse if it's a paid sale. We made it clear to Super D that we pay our artists just a few DAYS after the sale, so by design we can not accept returns. They were OK with that.
You're not sure??! Geeze Derek ... that sure doesn't sound like you, to not be sure. A paid sale is not a paid sale is not a paid sale when it comes to retailers and one-stops.
Please go back, read the fine print and seek clarification. Retailers buy cds from distributors all the time. They retain the right to return for full credit to the distributor. You are now the defacto distributor. In my professional experience, it does not add up to reason that Super D would take the financial risk associated with returns. They are not set up that way (unless they are doing something new that we all haven't been apprised of).
You not being sure does not make me feel assured that you know what you're doing in this case.
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No Stranger To Super D-
Hey! Thanks for coming by. You've made this thread quite an active one. It always makes me happy when people are communicating on the message board and speaking openly about music and ideas. So, thanks once again.
As for Super D and Derek, I am the one handling the deal and haven't had time to fill Derek in on all the details (he is off programming most of the time, making CD Baby better and better) while others, like myself, handle the business over here.
Indeed, there are no returns on this deal, as I have stated. Once paid for by Super D, Super D can't return them to us.
Of course, as you noted above, Super D is not going to take the risk on this. That's why, much like vinyl, they're shipping these CDs ONE WAY. So, retailers will be advised before ordering that the order is ONE WAY and they can not be returned.
There are definitely no returns, and everything is one way. You go to a store, you pay the store, you special order it. They order it from Super D, Super D orders it from us. We ship to Super D, Super D ships to the store. The store gives the CD to the customer.
However, if there is enough interest in a product, the store may choose to order one/some - again, one way - and take a chance.
That idea is not unheard of. You mentioned CIMS stores above. The C.I.M.S.-owned distribution company has, in the past, purchased CDs, one way, to sell at the C.I.M.S. stores (they've done this with The Eels live album, Alexi Murdoch, Michael Andrews... all CD Baby titles (though they did not get them from CD Baby)).
If a store believes in a title/artist/band enough, they'll take the chances, even if it's one or two pieces.
CD Baby's deal with Super D was worked out to benefit the artist, which is reason for doing any deal. Here we are able to offer artists something special, getting into the Super D catalog, and then Super D is able to offer its clients something special, a lot of titles they can't get elsewhere.
Stores have the option to only order, knowing it is one way, when a customer orders it from them. Or, if they want, they can stock their stores with a title.
I hope this clears things up for you. If you have further questions, don't hesitate to call me at 503-255-2569 or email me. It's just my name at CD Baby dot com.
Thanks!
Take care,
Alex
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Alex,
Great work! Is this the way that the long rumored amazon deal is happening, or is that a separate thing?
Brian
www.cdbaby.com/brianrobbins
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Brian-
Thanks :)
As for Amazon, that's a separate deal that's in the bag, waiting on
tech stuff.
Take care,
Alex
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| by da
on Wednesday April 19 2006 @ 05:38PM PDT [ reply | parent ] |
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speaking of tech stuff:
it would be really nice if we could set a cdbaby direct price -and- a retail whole sale price per title. This way we could have the flexibility of making things a little more affordable for fans who don't purchase direct at CDBaby.com
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That's already in place. Just use the quantity-discount. It's in your members login area, under EDIT ALBUM INFO --> OPTIONAL
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actually that's not what i meant. What i mean is the ability to set one price for customers who shop directly at CDBaby and another wholesale price for customers who shop say at Tower, or now the Super D retailers. I might be willing to charge a lower wholesale price for external vendors to offset the "markup" that they charge fans.
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Yes, exactly. We'll be using the "QUANTITY DISCOUNT" value you set in your members' login area, for you to tell us what price you want it to be available for to the distributor.
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wow you guys are on the ball...this is good stuff.
I think we'll have more than a couple of good testimonials from this development.
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