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Richard Marx
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Grammys, Holidays Boost Music Sales

02/15/2004 8:46 PM, Reuters
Ed Christman


With Grammy Awards-inspired sales, two big releases and a gift-buying holiday to boot, business was booming for music retailers last week.

In addition to the Feb. 8 awards show driving traffic to stores, shoppers were lured in to scoop up the latest Norah Jones album, "Feels Like Home," and Kanye West's "College Dropout," which both arrived Feb. 10.

The titles are enjoying strong sales. Most industry executives project that combined, those two albums will easily top 1 million units for the week ended Feb. 15, when data are issued Wednesday.

With Valentine's Day on Saturday, merchants were feeling pretty upbeat about the week's sales prospects. But they also pointed out that sales will be compared to a strong week last year, when 50 Cent's sales were exploding, along with in-store debuts by two strong video titles, "Sweet Home Alabama" and "My Big Fat Greek Wedding."

"This year we have the Grammys , Valentine's Day and a few new releases that are performing extremely well," says Jerry Kamiler, music division merchandise director for the 955-unit Trans World Entertainment chain in Albany, N.Y.

"But we are up against 50 Cent and two huge video titles, so it remains to be seen how well this week will perform."

Nonetheless, this year has the added boost of the Grammys, which historically was broadcast later in February. While no act from the show is "going through the roof," Kamiler adds that those acts that were expected to get "a nice pop" in sales have done so. He cited OutKast, Evanescence and the White Stripes as enjoying big increases.

At the Musicland Group in Minneapolis, company spokeswoman Laurie Bauer reports that Grammy winners and performers combined enjoyed a 60% increase in sales. "The strongest increases are those who performed," she reports.

Like other merchants, Musicland had a Grammy display in-store, which was also featured in the chain's advertising.

MAJOR WINNERS SCORE BOOSTS

Columbia artist Beyonce Knowles was the night's biggest winner, taking home five Grammys.

At the 26-unit Music City chain in Nashville, VP of merchandising Scott "Perk" Perkins reports that some of the chain's stores had already experienced a run on her solo debut, "Dangerously in Love," and were now out of stock.

Other winners included OutKast, which won the album of the year award for "Speakerboxxx/The Love Below." The Arista set also won best rap album, and its single "Hey Ya!" won for best urban/alternative performance. Song of the year honors went to Richard Marx and Luther Vandross for writing Vandross' "Dance With My Father." Vandross, who is recovering from a stroke, won or shared in four awards.

Evanescence took home two awards, including best new artist. Other multiple winners included Alison Krauss, with three, and Justin Timberlake , the White Stripes, Eminem and the late Warren Zevon with two each. In a surprising upset, Capitol act Coldplay took record of the year for "Clocks."

Of the artists who were featured one way or another on the show, most retailers cited OutKast as enjoying the greatest increase in sales.

"Those OutKast kids got sales going on big," says Carl Mello, music buyer at 24-unit Brighton, Mass.-based Newbury Comics.

Kevin Cassidy, executive VP of sales, operations and product at 93-unit West Sacramento, Calif.-based Tower Records, reported that OutKast's sales after the Grammy broadcast were "enormous. It was almost equal to the first-day sales of Kanye West."

But looking over the total slate of Grammy-related releases, he says the bigger increases were "performance-driven." Cassidy says that Tower saw "great increases" for the White Stripes' "Elephant," Black Eyed Peas' "Elephunk," Alicia Keys ' "The Diary of Alicia Keys" and Sarah McLachlan 's "Afterglow."

"And although it wasn't a performance," Cassidy says, "we had a great increase in Luther " for his album "Dance With My Father."

Trans World's Kamiler proclaimed the White Stripes' appearance as an "eye-opening, awareness-raising performance," and while their album may not have had the biggest jump in sales on a unit basis, on a percentage basis it was probably the highest for the company.

As merchants compared the sales of Grammy artists, they also debated which of the new albums would have the biggest debut week.

"Norah Jones is doing pretty good, but Kanye West is the biggest seller" at Gallery of Sound, says Joe Nardone Jr., VP at the 11-unit, Wilkes-Barre, Pa.-based chain.

At Trans World, Kamiler says that after the first day of availability on the Jones and West albums, "it remains to be seen which will be No. 1 at our chain." He says West did fantastic, and Jones proved she will not have a sophomore jinx.

At Tower, things were more clear-cut, with Jones winning by "a long shot," according to Cassidy. Also, he noted that the new album had boosted sales on her first set, "Come Away With Me."

Looking at projections, Saul Shapiro, VP of sales at EMI Jazz and Classics, says sales for Jones could wind up anywhere between 600,000 and 700,000 units. Most industry prognosticators cite a number north of 600,000.

In addition to Jones and West, Melissa Etheridge had a decent opening day with her "Lucky" album, while two metal side projects -- Damageplan (by former members of Pantera) and Probot (an event record led by Grammys performer Dave Grohl and filled with guest artists) -- also did better than expected.

Estimates on the West album range from 400,000 to 480,000, Etheridge from 100,000 to 120,000, Damageplan and Kylie Minogue from 50,000 to 70,000, Courtney Love from 35,000 to 50,000 and Probot from 35,000 to 40,000.

Also, some suggest that OutKast could have another 200,000-plus week, while Vandross might do 50,000 units and the White Stripes 40,000 units.

Reuters/Billboard

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