However, the other day, I noticed that instead of a normal CD, Starbucks was selling the new iTunes album card, which basically replaces the physical CD with a flat card. I noticed the same thing in a Best Buy the other day. So instead of buying iTunes $15 music gift card, you pay to download just one certain album (see the picture).
So I was curious if this was related to the recent Starbucks cutbacks, and I found out that yes, in order to focus more on their lattes, Starbucks decided to cut back on their CD sales/entertainment.
http://www.fmqb.com/article.asp?id=765193&spid=1314
http://seekingalpha.com/article/74209-starbucks-to-finally-focus-on-lattes-cut-back-on-entertainment
http://www.walletpop.com/2008/06/21/cutting-back-on-starbucks-its-not-really-good-for-you-anyway/
http://www.usnews.com/blogs/daves-download/2008/6/25/starbucks-pulling-back-from-cd-sales.html?s_cid=rss:daves-download:starbucks-pulling-back-from-cd-sales
http://www.bloomberg.com/apps/news?pid=20601213&refer=home&sid=axYHd26JSHI4
Is Starbucks just a victim of its own success? Or is the current economy causing this change? Gas prices?...What's next?
1 comment:
People still buy CDs? Don't those things, like, break and get lost and stuff? And they take up a whole lotta room, and don't even work with ipods.
Seriously, though. I find it amazing that the record industry has managed to hold out this long. Sooner or later they're going to have to cut their losses and give it up.
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