Drake Elder said he could have never predicted that something called file sharing could change the face of the music industry when Bebop Record Shop was a side project of his in 1974.
Elder is now the co-owner of the seven-store Bebop Record Shop chain, a multimillion dollar business that started out selling vinyl albums for $4.39 apiece. Elder said that although illegal file sharing has forced him to evolve the way he does business, he believes the worst is over.
Elder is only one of many independent record store owners across the United States who have been affected by the file sharing bonanza ignited by the mother of illegal downloading programs, Napster. Elder is also one of a fewer number of record store owners who has stayed afloat during the period.
Now, Elder says business is picking up. Though he doesn’t know if the increased business he has experienced in the last few months is due in part to a vigorous anti-file-sharing campaign launched by record labels and the Recording Industry Association of America, he said he’s glad to see more people buying CDs.
Elder takes a firm stance on the issue of file sharing.
“It is basically stealing,” he said. “It hurts everyone. Everyone is impacted.”
Elder said downloading and sharing music starts a downward spiraling cycle that eventually hurts the consumer.
He said the direct effect of file sharing is decreased CD sales. And since record companies make less money when CD sales are down, he said, they have less money to put into signing newer, fresher artists.
“Record companies just can’t afford to take a chance,” he said.
Elder said that because fewer artists are being signed, fewer are reaching audiences-a problem that leads not only to financial disaster for the music industry, but also a stagnation of talent in music as a whole.
Elder said stopping illegal file sharing trend is essential to the survival of the music industry.
“The record companies have to come up with some sort of copy protection on CDs if there is going to be any future for the record industry,” he said.
Elder is still waiting to see if recent action taken by record labels and the RIAA will be the action he said is needed to save the music industry.
In the meantime, Elder has adapted his business practice, focusing more on providing customers hard-to-find CDs and varied merchandise.
“We do sell the CDs of a lot of local artists,” he said. “That’s really helped us stay in business.”
Elder said he has also started selling more music-related merchandise that has not been affected by file sharing.
“We’re selling a lot more posters and T’s and incense-a lot of memorabilia merchandise too. We’re carrying more things to make up for CD sales.”
Other record store owners have not fared as well as Elder.
Musiquarium CD Store and Beer Lounge, once a successful independent Jackson retailer, closed its doors for the last time in June.
Even national music retailers, owners of music mega-stores that have not yet found a market in Mississippi, have shut down branches or closed completely.
Earlier this year, music retailing giant Wherehouse Music filed for Chapter 11 bankruptcy.
Having survived the illegal file sharing trend thus far, Elder said he is hopeful CD sales will pick up again soon.
“I don’t know what the effects of the RIAA’s campaign will be-it’s hard to say,” he said. “We’ve started to see sales pick up again. I don’t know if it’s because of better new releases or because people are scared of getting sued.”
Mississippi State University senior Morgan McPhail said she stopped buying CDs when she discovered she could download the songs and burn them at a much less cost.
“Why buy them when you can download them and burn them for free?” she said.
She said she has recently started browsing the isles of record stores again, however, because of the RIAA and major record labels’ recent actions. In early September, the labels and the RIAA filed suit against 261 people, accusing them of downloading music illegally.
“I don’t want to do it anymore,” McPhail said. “I’m a paranoid person so I don’t want to break the law.”
Another student said she doesn’t think increased threats from the RIAA will affect music downloaders.
“I think that its something they can crack on as hard as they want, but no matter how hard they crack down it will always be there,” junior Kathleen Sui said.
Elder advises anyone who loves music to continue buying CDs.
“If you love music you’ve gotta support the artists you like,” he said. “If you’re downloading or burning CDs, you’re not supporting that artist.”