CD Baby distributes music for independent artists. They're not a label. They charge a small fee to setup an initial page for each CD they sell, and also offer optional online distribution through their own download store as well as iTunes, Rhapsody, Napster, and Amazon MP3. They even have a CD duplication service artists can use.
Somehow with this barebones approach to marketing and distribution they managed a 2% year over year CD sales increase in 2008. By comparison, the CD market as a whole shrank by 20%.
There are many possible explanations for this. It may be the result of increased interest in independent artists, or perhaps a reflection of musicians who are recognizing the reality that you can record, duplicate, promote, and distribute albums without a label's resources behind you.
Whatever the reason, it appears that the people running CD Baby know something the labels don't or do something the labels can't. Or maybe both.
Written by: Rich Fiscus @ 12 Feb 2009 11:26