The only problem with AC/DC’s “Black Ice” is that it’s a bit of a misnomer. It’s more like “White Heat,” at least in the eyes of a certain big box retailer.
The Australian head-banging rock band is releasing its first compact disc in eight years, and it is doing so through an exclusive agreement with Wal-Mart.
No other chains. No iTunes. No Amazon. Just Wal-Mart.
And no big deal, really, since this new reality of music marketing has been done before. Wal-Mart has released CDs through exclusive agreements from Garth Brooks, the Eagles and Journey.
But while the strategy is sound anyway — Wal-Mart gets plenty of boomer-rocker shoppers through the doors to buy AC/DC music and paraphernalia, while picking up diapers, deodorant and Halloween candy, etc., at the same time, and the band gets a dependable revenue stream in these challenging economic times — the retailer is taking no chances.
The chain is setting up veritable AC/DC playgrounds at its stores, with “Black Ice” as well as the group’s entire music catalog along with apparel and souvenirs. And in Los Angeles and New York City, where Wal-Mart has been big box non grata, the chain is setting up temporary “pop-up stores,” renting retail space to sell AC/DC goods.
Wal-Mart even has an ice cream truck in each city painted black to cruise around the respective towns treating fans to samples of the new album.
“When the band was looking for new ways to distribute their album, this was a great fit,” said Wal-Mart spokeswoman Melissa O’Brien. “We’re doing this a bit differently. It’s not only about the album. We’re setting up a whole AC/DC destination.”
When risk becomes habit
Wal-Mart is also doing a promotion with the “Rock Band 2” video game. In the past, AC/DC has not participated much in video games, lending only one song to “Rock Band” and none to “Guitar Hero.” But in November, Wal-Mart will again team with the band to release “AC/DC Live: Rock Band Track Pack,” an expansion of “Rock Band” that will contain 18 of the group’s songs.
“These past exclusives have been very successful,” Wal-Mart’s O’Brien said. “The Eagles in the first week hit No. 1 and went multi-platinum shortly thereafter. What’s different is the relationship with the ‘Rock Band’ game and MTV, and the band loved that.”
Russ Crupnick, president of NPD Music, a division of the NPD Group, which does market research, said these types of promotions are both smart and safe.
“The CD business is dropping pretty precipitously,” he said. “When acts can get what they can get from retailers with that level of promotion, like in the case of Wal-Mart, the potential uptake is a whole lot more valuable than any risk. It’s becoming more and more of a habit.
“The other thing it does, it tends to create traffic. That’s what retailers in music are looking for. Traffic level is down. Overall if you put an album out, they’re not going to get on radio. Radio won’t promote them anymore. So they have to look for promotion in a different way.”
The outcome, said Crupnick, is almost always positive. With the right act, even a struggling chain can get — ahem — back in black.
“You have to say these deals have been rousing successes,” he said. “The sales level isn’t like it was 15 or 20 years ago, but nobody’s getting those kinds of numbers. It used to be you could sell five, six, 10 million units, but now the numbers are closer to one or two million.”
Targeting a specific audience
Such deals are not for everybody. Wal-Mart, for instance, tends to lean toward the mainstream classic rock crowd. “They have to be an established band and brand,” O’Brien said. “Plus social gaming is such a phenomenon now.”
Target plans to release a greatest hits album by Christina Aguilera in November. “We look to partner with artists who both best align with our guests’ preferences in music, and who we believe have created a truly outstanding album,” Target spokeswoman Anne Rodgers said.
Said Circuit City spokeswoman Jennifer Sills: “Circuit City has a long history in the music distribution business, and we’ve launched a number of successful exclusive distribution deals, including Mary J. Blige (‘Mary and Friends’ CD/DVD) and most recently Rihanna’s ‘Good Girl Gone Bad’ Live Music DVD. We feel the added promotion around the business helps to build public interest and excitement.”
Every deal is different. Some chains have an exclusive period for the album, or DVD. Some have one for just a single to be used in a promotion.
“It’s a case of fitting the retailer and the program to that act,” Crupnick said. “For instance, a chain like FYI might appeal to a younger customer. Circuit City might appeal to a more urban customer.”
In Wal-Mart’s deal, the only place fans can buy AC/DC’s new CD is at its stores and its Web site (where there is an extensive AC/DC online presence complete with promotional videos). The rest of the band’s catalog is available at other stores, of course, although its music is not available on iTunes.
There may be a fringe effort to do an end run around the Wal-Mart deal. According to a report on the undercover.com.au Web site, some independent chains have indicated they might purchase the CDs from foreign territories and then re-sell them in the United States.
“It’s more of a distraction and an annoyance than a big volume issue,” Crupnick said. “I can’t believe any of the big retailers would partake in behavior like that.”
For now, even in these bleak economic times, “Black Ice” figures to generate heat of the retail variety.
I hate myself for doing it... but I bought "Black Ice" yesterday at my local Hell-Mart.
Can't blame the band... and I love their music (Bon and Brian).. just hate sending any of my money to Bentonville.
My boss bought it. He burned copies for all of us. 12 copies for the price of one cd. WalMart can kiss my ass.
KatGirl: You & your 12 buds are the reason the band had to sign this deal with the devil. AC/DC spends $$$ to write & record this disc, they pay an artist to do the cover art, etc.
Back in the day the band would have gotten your money & probably 3-4 of your friends. Concert tickets used to be $10-15... I saw AC/DC @ Joe Louis Arena in '85 for $12. The last AC/DC tour featured $80-$90 tickets (& thats low).
They raised prices on all the stuff they can control.
Shame on ACDC for making a deal like that. WalMart has no appeal to me and I would take a shot to the head before I bought ANYTHING from that place. I'm a big fan of ACDC but I will do without before I give that store from hell ONE DAMNED DIME.
Sell outs.
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I hate Wal-Mart, has anyone seen the documentary "Wal-Mart:High Costs", everyone should see this movie. I was on demand on Comcast and may still be available. I am so upset with AC/DC, they used to be one of my favorite bands. Now I'd rather get caught stealing gay porn then buying an album from Wal-Mart. AC/DC may as well say they intend on taking there profits and focusing it on killing the American economy.
As much money as AC/DC has, do they really need to make deals with Wal-Mart. I could almost understand BestBuy or iTunes, but Wal-Mart. Wal-Mart is the opposite of cool and rock. AC/DC should know there fans will buy there album no matter where it is. Well almost anywhere, I'm not buying it at Wal-Mart. I guess I'll buy it from some online retailer, if I buy it. I hate well people call bands sellouts for career moves they make, but AC/DC has sold-out, to freaking Wal-Mart.
I guess I'll buy it from some online retailer, if I buy it.
No can do. Walmart exclusive.
Art is always put into this weird place. As much $$$ as AC/DC has... why Wal*Mart?
Gee, Tom Brady has millions, f*cks a hot model... he should re-sign with the Patriots for free so the team could sign more players.
Donald Trump has made billions... he should just do free projects until he dies?
Why shouldn't AC/DC get paid for their creativity? Music downloading/ sharing have turned the music biz into a totally different animal. Actors get paid very well for movies... artists get paid after they die & musicians should work for FREE?
AZZ045 hit it right on the head. If you can make money with the fruits of your creativity, do it.
The album can be purchased at ACDC.com, there is no need to support wallmart to purchase the album.
I've been listening to the XM AC/DC Channel 53 (Metallica did the same thing when their CD came out). The music from Black Ice is excellent so I'll be heading to my neighborhood Wal-Mart to pick it up and load it onto my iTunes. I thought it was a bit cheesy at first but the band knows what it is doing--they are far from stupid. They've been doing this for 30+ years and they do things their way.
I can never wear my 20 year old AC/DC shirt again. Walmart is probably selling shirts to look like they're falling apart, like mine really is...I agree with the above: "WalMart can kiss my ass," and (paraphrasing) "AC/DC does not need to do this..they are friggin' rich and and famous as can be..." WTF?
Actually, I agree w/just about everything said here...I will never buy anything at WalMart, they are just greedy @#$% that destroy towns, exploit people, sell crap and transport (literally) truckloads of money to wherever the hell they live...I guess they couldn't care less, but i am disppointed in AC/DC.
You guys can all jump on the "we hate Wal Mart" bandwagon, but the simple fact is that WM is a perfect example of capitalism at its best. They are the best at what they do and everyone hates them for it..how typically American to hate those that are successful. Yes I know all about their strong handed tactics but they generally play within the rules.
I have no issue shopping there.
Isn't it kind of hypocritical of Wally World to be selling something in exclusivity when they use to ban music which contained suggestive or violent related lyrics? Wasn't AC-DC once a "satanic" group, or alledged? Why did Wal-Mart change their minds, you ask? The almighty dollar. That's why. Sam Walton is rolling in his grave, and it's to the tunes of AC-DC!
I really like AC-DC and feel this is the best chance for them to get back into the groove of mainstream rock. Shame, though, it's through Wal-Mart.
Just buy the CD and walk out.....
First off.. this is a bad deal for AC/DC.. sure they get publicity.. but honestly.. they already had publicity before this deal. All they had to do was release a new album. I had 100's of people walking in asking me about the new CD.. and talking about it. Then I find out I can't even get it.. it's a wal-mart exclusive.. thus loss of profit for me.. ALl these CD's I could have sold to keep my Small business going in these economic times.. instead went to Wal-Mart. A compnay who isn't even bothered a bit by the recession. I have now boycotted all AC/DC items in my store. If AC/DC doesn't want to support the small record stores.. the type of stores that made them what they are... then why should I support them anymore. The cd isn't even that good anyway. Metallica made a huge comeback.. just like AC/DC.. they didn't make any kinda deal with Wal-mart and still.. all so far to date the biggest selling album in one day in my shop. So Screw AC/DC i hope thsi little deal back fires on them.
We used to shop at WallMart, NOT NO MORE... This is a demonic band...
Not only am disgusted with mainstream media, I, as a 54yr. old father of 5 who loves AC/DC, am highly disappointed they sold out and used Wal-Mart as their main marketing source. If I would have known this, I sure as hell would not have bought the two $100/ea tickets to take my youngest 18yr old son to go see them at the Scottrade Center in St. Louis. Someone said it best... WTF!!! I think I will wait for some poor fool that has spent his money at Wal-Mart to buy it and then burn a copy myself! Sorry AC/DC!!! I guess if you mess with the bull, you get the horns. You are not going to get all the profits you had hope to gain. I would have rather paid $20-25 for your CD at Target or K-Mart. Thanks for your American support... NOT!!! You had been one of my favorite bands, and I have passed your music on to my kids. I have been betrayed by one of the best bands! Thank God for Rammstein!!!
AC/DC stopped being AC/DC when Bon died. Too bad they are so greedy.
I never shop at Wally's World ,but I'll just walk in, buy it, and walk out.
End of subject
I'm so disappointed to see the wave of artists that are releasing their new music to Wal-Mart! While I'm not adverse to them marketing their wares this way - don't they have a civic duty to not distribute it through one of the largest human rights/equal employment violator in the market today? Shame on all of them....and I'll do without their music until I can find it second hand somewhere. We should all take a stand and send them the message!!
I refuse to buy anything at "Wal-Marx" due to the way employees are handled worse than their customer service, and also the fact they are one of the biggest contributors of American jobs going offshore.
I guess I will wait till the next AC/DC cut.
Why all the hating on Wal Mart? As someone else said, it is an example of capitalism at its best. They do what they do, and apparently they do it better than any other chain. Why hate on them for being successful? They offer great produce and meats and the CHEAPEST produce and meat (in my area). AC/DC is just one of many bands that knows that they will make more money if they make an exclusive deal with Wal Mart. Keep on hating if you must, but I love my WalMart.
don't ya know the old man is turning in his grave.
Wal-Mart a third world country all by itself and the only store I've been panhandled INSIDE!
Another band "bites the dust" with me. I refuse to shop at Walmart. They are the greediest bunch of retailers in the world, not to mention the largest importer of chinese made products. I can do without any and everything that Walmart sells! I wish they would go out of business. They have ruined the market with their disposable trash, and always run small businesses out. Sam Walton is probably rolling over and over in his grave.
I am no longer an ACDC fan. All of those CDs are going in the garbage and I'll never listen to them again (even on the radio). I hope you see this ACDC!
I guess this is one album that I will miss since I don't ever go into a WalMart.
I worked for Wal Mart in college from 1978 through 1981. Old man Walton is turning in his grave. He was a straight laced southern baptist who banned hard core rock music or any off color humor or music including roundy country types like Walon Jennings, etc and comics like George Carlin from being sold in his stores. Also no liquor or even KY jelly. I wonder what he would think of the exclusive agreement with Back in Black - Hell's Bells ACDC. Probably let out his hunting dogs on them and fire the person responsible for the deal.
Anyone in the San Francisco Bay area: I saw this this CD at Rasputin Records.
Someone here is lyin'...
It never ends. If you have to pay for the music, people gripe. If they are getting music for a low price, people gripe. AC/DC cut a deal to get their music out to there fans and some of us, not including the thieves, only have to pay $11.98 which is a great deal for a CD considering if they went through some other distributor, we would be paying $18.95.
Thieves are scum. Stop stealing the music and the price will come down.
AC/DC rocks.
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