Tuesday, January 25, 2011

Ebay, DIY Record Label, and You...

     Ebay? WTF? Yes, ebay. One of the easiest ways to get your music out to the masses and still make a profit. This will be one of the easiest marketing activities on your list. Let's explore.

     So, you have released a cd. Now what? You could just throw it up on cdbaby or amazon and hope it sells. Perhaps you have a website. Nice, but who goes to an indie bands website except the people that already have your cd or fucked your hot bass player...? Not many.

     Amazon is cool...but not only do they charge $30 up front every year, remember those 500 cd's you sent to college radio? Half of those discs ended up being put up on amazon if not sold outright to local record shops. Undercutting your sales.

Visit Countess at:  http://www.thehollywoodrxrecords.com/

     What's a band with little to no real online presence to do? Get a partner. That partner is ebay!

Let's look at the numbers.

Your selling your new ten song for $10.00 disregarding cogs and fixed expenses.

                                                    Host SRP     -      Their Cut. (%)    =    Your Net Profit

Amazon                                     10.00                      5.55                                  4.45

Cdbaby                                      10.00                     4.00                                   6.00

Local Record Store                  10.00                     5.00                                    5.00

Hot Topic                                  10.00                     7.00                                    3.00

EBAY!                                       10.00                     1.40                                    8.60 

     Let's take a real close look at each. First there is Amazon. Out of your cut you will be paying for shipping the cd's to them( 5 cd's priority mail $5.20 or 1.04 per cd), factor in the $30 annual fee and if your lucky enough to sell 10 cd's a month that's another .25 cents per disc.


     Cdbaby is probably the most indie friendly but still a better deal is to be had. You still pay to ship, so that will be $1.04. The Fee per disc is $39 so sell 100 cd's and your per unit cost there is: .39 cents. Better than Amazon, Less visibility.

CDBABY NET:    5.57 P/U

     Your local record store is a good place to have your cd's as a vanity vehicle but how many local artists have you bought lately? Thought so.  Usually they want a 50% commision/consignment deal. This isn't bad so take it.  Hope they let you put your gig posters up and you might sell one this month.


     Hot Topic has been trying to build an indie friendly name for itself,  But all i can say is: BLINK 182.  Lets drop the fuel costs to get to the store because you were cruising for thirteen year old emo sluts anyway... Same Goes for the hour you wasted on the phone trying to get a MUSIC
BUYER on the phone...They MIGHT give you as much as 4.00 per unit if you beg. Though the higher you go the less discs you will sell they will price you out of the market.  To even compete you gotta sell these wholesale $3 or less


      Last and in my word the best bet EBAY!  Auctions are free...set it at .99 and shipping as high as allows. You do this with one disc only... See how high you can take it.  Worst case scenario your cd doesn't sell and you are out nothing.  Put up a listing for 30 days. Buy now or Best offer. $12.99.
Here are your costs. .50 cents for the listing for a month! The shipping is paid for by the buyer and you might profit from that. If your item sells you pay ebay .90 cents. You pay paypal .41 cents. Charge 2.50 shipping and handling and your...

EBAY NET:     8.79

     Assuming you did the smart thing and ordered your cd's glass mastered in bulk. Keeping your costs down by taking advantage of scalar economics your cogs per disc is around $1.20. Take a REAL close look at your margins now. Ebay should definetly be in your marketing and sales strategy and structure.

Here is HRX Records EBAY page...  We cannot keep cd's and shirts up long enough!

We even do a charity drive...

So stay creative and stay in the game...

HRX RECORDS LAUNCHES EBAY PAGE!Please Take a Look at our Item List Page. I'm sure you'll find something really special whether you are buying  as a gift or lookig for something just for you!
A percentage of the proceeds go to Charity (AHF*).

Please take a look...


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