Re: (idm) Why Limited Editions?

From daniel
Sent Thu, Nov 26th 1998, 16:17

Let's take a label like A-Musik.  Most of their cds are limited to 1000. 
They do not advertise this but in numerous interviews this is pointed out. 
Now why is this done?  because they have a hard time selling a 1000. 
Making more than a 1000 just becomes a financial liability.  I do not know
how taxes work in Germany but here in the U.S. any overstock is counted as
an asset and you will be taxed on it.  Beyond that having to pay for more
than a 1000 and only selling a 1000 cuts down on profit.  This profit is
important so that artists can be paid and so that the label can keep
putting out releases. 

One last point.   Recently Ambient Otaku was offered for repress if a 1000
people would comit to buying it.  Guess what? a 1000 people did not come
forward.  And this is for a sought after item.

My point is this, for some labels limited pressings are done simply for
economic reasons.  In the very near future the first release will be
coming out on my label.  These will be limited.  Not because I want to
limit them but because that is the financial reality.


Even for bigger labels like Warp this may be true.  Think of all the
overstock they have to keep around.  Sooner or later you have to say
enough is enough.  

And lastly don't forget "limited editions" are a great marketing tool.

-daniel

On Thu, 26 Nov 1998, Kurt Pruenner wrote:

> Well, I've just (err... ok, for some time) been wondering why there's so many
> CDs that are limited to just a few hundred (if even) copies... but why?
> 
<snip>