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Local record stores struggle to survive in the digital age Published April 30, 2007 When Brett Hayden first began working at Tracks record store in Bloomington 14 years ago, there were more than six places for local music fans to shop at. Now, in the digital age, that number has plummeted. “Independent record stores have definitely dwindled over the years,” Hayden said. “There were about seven record stores downtown eight years ago, right in this area. And now there’s three in the whole town.”
Since the emergence of Napster in 1999, Web-based digital downloading has grown into a hugely popular way for music fans to obtain music. The Internet has created new ways for music to be acquired, whether legally with pay services like iTunes and Rhapsody, or illegally with peer-to-peer sharing programs like Kazaa and Limewire. This digital revolution has led to decreased physical music sales. The Recording Industry Association of America (RIAA) reported an 86.6% increase in digital music sales from 2005 to 2006, while physical music posted a 15% loss in total revenue. This loss in record sales affects both the music industry as a whole and small independent record stores. “We’re not even going to have actual physical music in the future, it’s just going to be a file,” Hayden said. “Kids that are growing up now all think that music should be free because they’re used to downloading it.” When Napster launched in June 1999, it became the first widely used peer-to peer (or P2P) file-sharing system. The original Napster, and the many P2P networks that have been created in its wake, allow users to share digital files over the Internet. Music, shared in the form of MP3 files, was traded endlessly - and for free - over Napster’s servers. It wasn’t long before the RIAA and several popular rock bands (most notably Metallica) took Napster to court in an effort to shut down the file-sharing service, dubbing it “piracy.” The first version of Napster was forced to shut down in July 2001, but the program’s innovations would spawn a whole new way for people to find and acquire music. The Recording Industry Association of America has thus far struggled to adapt to this new technology in a profitable way, losing an estimated $4.2 billion annually to music piracy. According to their Website (www.riaa.com), the RIAA is “pursuing a multi-faceted approach, combining education, innovation and enforcement” to attack illegal downloading without halting legal digital music services.
Thus far, the RIAA has been unable to convince music fans that their approach is effective.
“I don’t think they are doing a good job. I think it’s terrible,” Hayden said, shaking his head. “Compared to the movie industry, which has kind of halted it somehow, it seems like the music industry just gave up.” Quick to capitalize on the popularity of digital music, several companies launched portable MP3 players, the most well known of which is Apple’s iPod series. In addition to the iPod, Apple launched iTunes, a program that allows its users to shop for music online, purchasing digital files in a legal manner. Several companies, such as Rhapsody and the now legal Napster, offer similar legal download services for a fee. However, numerous peer-to-peer networks are still offering the promise of free digital music, albeit in an illegal manner. With a noticeable shift to online music services, small, independent record stores have been struggling to stay afloat. Hayden, manager of Tracks, has noticed a big change in the customer base.
“The music definitely doesn’t sell as much as it has over the years…it definitely slows down every year a little bit more and more,” Hayden said. “But there’s still a few of us out there that still like to buy CDs and want to collect them.” Other stores, such as TD's CDs and LPs, rely on regular patrons for success, even as others turn to the Web. “I’m sure it has an effect, but we have a pretty loyal customer base that keeps us going,” TD’s employee Peter Stran said. All of Bloomington’s record stores offer multiple formats, including the increasingly popular vinyl LP, in an effort to appeal to collectors. “We started carrying more and more vinyl in the last couple years,” Hayden said. “It seems like there’s resurgence with that, we do really well with it. That’s really helped us out.” Jason Nickey, co-owner of Landlocked Music, doesn’t see downloading as too much of a problem; in fact, he views it in a positive light. “Thanks to downloading, people are better informed now than they were six to eight years ago,” Nickey said confidently. “People come in after hearing stuff online, and they want to talk about it or find the albums. It’s changed the record store dynamic, because now the customers know just as much, or more, than the employees do.” With over 10 years worth of record store experience, Nickey feels that atmosphere and a sense of community are the most important factors in keeping a record store open. Landlocked Music strives to create a social atmosphere with a lounge area and weekly shows. “Record stores are more about the vibe, atmosphere, and knowledge of the staff,” Nickey said. “It’s a different experience than you can find online or in big places like Best Buy. People enjoy being at record stores.” But how are average music fans responding to the multiple choices they have for acquiring music? “I do a lot more buying than downloading, but I think that downloading offers someone the chance to get just the one or two songs that they’re specifically looking for; especially when it's a remix or remaster of a song you've already purchased,” IU sophomore Aaron Esposito said.
Others find downloading to be the way of the future, and are willing to capitalize on the new technology. “Music is expensive these days, and if you’re a music fan who doesn’t have a lot of money, you’re left without much choice,” IU junior Greg Mueller said. “If I don’t have to pay for it, I’m not going to take the gamble of buying a new CD. I’d rather download it and save myself the risk and the cash.” But some fans, such as Muncie, IN, native Matt Prellwitz, claim that music is well worth the money, and that supporting artists is important. “Downloading can be a great learning tool, but it definitely shouldn’t take over physical copies of music,” Prellwitz said. “The artistic vision of an album includes the artwork, packaging and booklet, and without that you don’t get the full impact of the music.” Downloading has not only affected the corporate music industry and retailers, but it has also made an impact on independent artists, mostly for the positive. “It gets people’s names out there a little bit easier,” Hayden said. “Indie rock has become really big ever since downloading…There’s so many bands that you can check out without having to buy it, so you don’t have to take the risk.” With digital downloading still growing in popularity, the future of independent record stores is uncertain. Landlocked Music’s Nickey remains optimistic.
“People will always want something tangible. You don’t get the sense of community that you get with record stores online,” Nickey said. “I’ve seen a lot of record stores close the past 10 years, but none of them have closed due to downloading.”
Others, such as Tracks’ Brett Hayden, don’t think the future is quite so bright:
“One day there will probably not even be independent record stores like this.” How has digital downloading affected the way you acquire music? Click here to reply. |
