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Ming
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From Adage.com
It's a long story... so I've only reprinted parts of it. The original can be found at:
http://adage.com/news.cms?newsId=46086
quote:
RETAILERS SCRAMBLE FOR EXCLUSIVE MUSIC RIGHTS
Wal-Mart's Garth Brooks Deal Raises Interest and Hackles
September 19, 2005
By Mya Frazier
COLUMBUS, Ohio (AdAge.com) -- Look what Starbucks started.
A year after the coffee company helped the Ray Charles album Genius Loves Company go platinum and eventually win a Grammy, everyone from retailers to restaurant chains are seriously eyeing the business of exclusively aligning themselves with music acts and artists.
But when Wal-Mart, the world’s largest retailer, announced it would serve as the exclusive seller of country singer Garth Brooks’ albums, everyone started listening.
For a merchandiser, an alignment with an artist might be too good to pass up.
Existing fan base
Beyond just upping a company’s cool factor among consumers, an exclusive deal with a popular artist could land them an existing fan base of loyal customers who would be forced to shop at a specific retailer, potentially boosting sales in non-music merchandise as a result. The exclusive release of a long-awaited album could have a buzz-creating impact, not only in making a select group of people feel cool, but the transfer of that buzz onto the medium, be it a bricks-and-mortar or online store.
Will fans feel manipulated?
However, industry observers say striking exclusive deals might not be right for everyone. Artists may be willing to sell out, but fans may end up feeling manipulated by marketing ploys, which may not end up serving the artist in the long run.
Besides railing against these deals as anti-competitive and contributing to rising CD prices, Kenneth DeGraff, a policy analyst at Consumers Union, decries the deals as limiting to artists and an insult to fans.
“That’s not in anyone’s best interest,” said Clark Benson, CEO and founder of Almighty Institute of Music Retail, which maintains a database of every record store in America, a database subscribed to by 130 record labels. “Artists will still want their music to be available to the public. After all, in Los Angeles there isn’t a Wal-Mart and that’s one of the country’s biggest markets.”
But Mr. Benson added that he considers the Garth Brooks deal with Wal-Mart an aberration and not a model.
'Could piss off other retailers'
“You won’t find other situations like Garth Brooks, where a huge, or once huge artist makes an entire catalog exclusive to a retailer,” he said. “This happened because the Wal-Mart audience is so closely aligned with Brooks’ fan base. Exclusives will grow, but not outrageously. This is something that could really piss off other retailers. Retailers like there to be a level playing field.”
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Granted, it's not like Garth Brooks was dragged kicking an screaming into this arrangement... it is a good deal for both him and Walmart... but if I was a Garth Brooks fan (I'm not) I would be very pissed if I had to go to Walmart to buy his music.
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Japher
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Ook! Ook! Ack! Ack! Ack!
Jun 2002 time: 05:37
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quote: “That’s not in anyone’s best interest,” said Clark Benson, CEO and founder of Almighty Institute of Music Retail, which maintains a database of every record store in America, a database subscribed to by 130 record labels. “Artists will still want their music to be available to the public. After all, in Los Angeles there isn’t a Wal-Mart and that’s one of the country’s biggest markets.”
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LIAR!
edit: pwned!
Link
quote:
Wal-Mart Opens First Supercenter in Los Angeles County
Wednesday August 31, 9:00 am ET
Palmdale Supercenter Delivers Major Grocery Savings to Local Residents
LOS ANGELES--(BUSINESS WIRE)--Aug. 31, 2005--Wal-Mart Stores, Inc. (NYSE:WMT - News) today announced the opening of its first Supercenter in Los Angeles County. With more than 116,000 general merchandise and grocery products, the Palmdale Supercenter provides a glimpse of the future for Southern California shoppers.
The new Supercenter celebrates its grand opening at 7:45 a.m. Doors will open at 8 a.m. The store is located at 40130 10th Street W.
Store features
The new 205,000-square-foot Wal-Mart Supercenter features 36 general merchandise departments including apparel and accessories, fine jewelry, a lawn and garden center, health and beauty aids, Garth Brook's Albums and a full line of electronics. In addition, the store offers a bakery, a delicatessen, frozen food, meat, seafood, dairy products and fresh produce, as well as specialty Asian and Hispanic foods. It will be open to customers 24 hours a day, seven days a week and will include 18 full-service and 10 express check-out lanes as well as six additional lanes in the garden center.
Other store features include: a Tire & Lube Express, McDonald's, portrait studio, one-hour photo lab, vision center, pharmacy with two drive-through lanes, Smart Style hair salon and Regal nail salon. In addition, the store will have a family fun center and a Wal-Mart Connect Center for cellular phone sales.
A UBS Warburg study found that Wal-Mart grocery prices are 17 to 20 percent lower than other supermarkets. According to a study done by the Los Angeles Economic Development Corporation, Wal-Mart Supercenters will potentially save Southern California households more than $500 a year.
Grand opening activities
The 7:45 a.m. grand opening ceremony will begin with Wal-Mart associate Amberoque Basilom performing the national anthem. Members of the U.S. National Guard will post the colors, and Palmdale Mayor Jim Ledford will cut the ribbon to the new store.
Employment
The store will employ approximately 735 associates, many of whom transferred from the existing Wal-Mart store located at 320 W. Avenue P that will close with the Supercenter's opening. Approximately 350 of the positions available at the Supercenter are newly created jobs. More than 3,200 people applied for jobs at the new store, most of which will be full-time, according to store manager Mike Blackmon. The average wage at Wal-Mart for full-time hourly associates in California is $10.16 per hour.
"We were thrilled with the large pool of applicants we had for our jobs," said Blackmon. "It makes me proud to work for this company where there truly are unlimited opportunities." Blackmon started as an hourly associate in 1992 unloading products in Las Vegas, Nev. Eighteen members of the store's 21-member management team started in hourly positions.
Charitable giving
To celebrate its opening, the store will announce $29,250 in donations through Wal-Mart's Good Works community involvement program to a number of community organizations. The store will also have a budget to give donations away locally throughout the year. Organizations interested in receiving funding can contact the store for details. Groups receiving donations upon the store's opening include:
American Red Cross - Antelope Valley Chapter
Antelope Valley Boys and Girls Club
Antelope Valley Literacy Coalition
AV Light Foundation
Catholic Charities of Los Angeles
Desert Haven Enterprises
Esperanza Elementary School
Hispanic Chamber of Commerce of Antelope Valley
Koinonia Foster Homes
Marine Corps - Toys for Tots
Move
Palmdale Chamber of Commerce
Palmdale Community Foundation
Palmdale Rotary Club
Palmdale Veterans of Foreign Wars, Post 3552
Palmdale Women's Club
Ronald McDonald House Charities of Southern California
Salvation Army - Lancaster Corps
Service Corps of Retired Executives
Tamarisk Elementary School
The Children's Center of the Antelope Valley
United Way
We the Children
Western Los Angeles County Boy Scouts - Troop 39
In 2004, Wal-Mart Stores and SAM'S CLUB gave $8.6 million to local causes and organizations in the communities they serve in the state of California. In addition, many charities and organizations received in-kind donations and additional funds raised through stores, CLUBS and distribution centers in the amount of $3.2 million for a grand total of $11.8 million.
Wal-Mart in California
As of July 2005, Wal-Mart employed 66,582 associates and owned and operated the following facilities in the state of California:
Supercenters: 4
Discount Stores: 149
SAM'S CLUBS: 34
Distribution Centers: 9
In 2004, Wal-Mart collected on behalf of the state of California more than $719.9 million in sales taxes and paid more than $99.7 million in state and local taxes.
For more information about Wal-Mart in California, visit www.walmartfacts.com.
Wal-Mart benefits
Wal-Mart benefits - available to full- and part-time associates - include healthcare insurance with no lifetime maximum. Associate premiums begin at less than $40 per month for an individual and less than $155 per month for a family, no matter how large. Wal-Mart also offers a 401(k) plan and profit sharing contributions, whether an associate contributes or not, store discount cards, performance-based bonuses, discounted stock purchase program and life insurance.
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Okay, I added the Garth Brooks thing.
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mrmitchell
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quote: Granted, it's not like Garth Brooks was dragged kicking an screaming into this arrangement... it is a good deal for both him and Walmart... but if I was a Garth Brooks fan (I'm not) I would be very pissed if I had to go to Walmart to buy his music. |
Why do you hate Wal Mart and America?
quote: I wouldn't buy sheets there anyway. After you've slept on sheets with a thread count over 300, everything else feels like sandpaper. |
No frickin wonder your testosterone count is so low...
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