AC/DC Passes on Digital Distribution, Partners with Wal-Mart

Australian heavy metal rockers AC/DC have released a new album, Black Ice. It has been 8 years since the band’s last studio album, and a lot has changed in how music is distributed and consumed… but not for AC/DC. The band has opted not to make individual songs available for sale online. Their preference is to have consumers buy the entire body of work an album entails rather than the à la carte approach of iTunes and other digital music download services.

In another departure from conventional marketing strategy, AC/DC has chosen Wal-Mart as its exclusive retail partner for Black Ice. According to the band, the decision is all about market penetration. Wal-Mart is certainly the choice if you are looking to maximize your points of distribution. It is an interesting choice for Wal-Mart, too, as the rough and tumble image of heavy metal rock is in contrast to the folksy, small town picture Wal-Mart has painted for years.

The absence of a digital strategy for AC/DC may have been a non-issue so far in the early years of the digital era, but this is their first album of new music in the iPod age. Will sales suffer because of their principles, or will AC/DC be “Back in Black,” reaping the benefits of its exclusive distribution deal with Wal-Mart?

Link: USA Today – “AC/DC Freezes Digital Outlets out of ‘Black Ice’ Album Sales”

Author: Don Roy

Don Roy is a marketing educator, blogger, and author. His thirty-year career began with roles in retail management, B2B sales, and franchise management. For the past 27 years, Don has shared his passion for marketing as a marketing professor. Don's teaching and research interests include brands, sports marketing, and social media marketing. Don has authored over 20 articles in scholarly journals, co-authored two textbooks, and self-published three books on personal branding. Don is an avid hockey fan and enjoys running. He and his wife, Sara, have three sons.

2 thoughts on “AC/DC Passes on Digital Distribution, Partners with Wal-Mart”

  1. My boyfriend recently bought a CD and he said he’s never buying CD’s again because they are so expensive. He’d rather buy songs online or through other means. If people want a digital copy, they may buy/borrow the CD and rip it onto iTunes or like many, many others, just download it from online. But I can see where AC/DC is coming from. You work hard to produce a physical CD with artwork and everything, why not sell that format only?

    As for selling at Wal-Mart…that’s a bad choice I think. I don’t go to Wal-Mart to buy the latest heavy metal CD. I go to Best Buy or other independent music selling establishments. I agree, Wal-Mart is too small, hicktown store for me to buy my music at. Beside of the image Wal-Mart sells, I don’t want to buy a CD that’s been edited for little children to listen to.

  2. Absolutely not. AC/DC is second only to the Beatles in number of back albums sold. iTunes and electronic distribution may provide a new way to reach users, but its profitability to the artist is pitiful compared to album sales. Especially so when coupled with an exclusive distribution deal with a Walmart-like giant. The physical album reach, cheaper than iTunes price (per song) and marketability of AC/DC will prove to be an impressive profitable venture. Digital song distribution (illegal AND legal) seems to strip the very soul out of the artist / listener relationship and is helping to decrease the value of music to the user and is compounding the problem of music sales. I’d like to see a return to physical sales. Maybe creative deals like WalMart will inspire new opportunities. (Note the album is also available for sale worldwide online). Same great price – cheaper than per song on iTunes.

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