Pacific’s ‘Reverie’ - Sidekick Do a Darn Good Digital Release

Australian indie label Sidekick have scored the Australian release of Pacific’s debut album, ‘Reverie,’ and have taken the opportunity to implement an intelligent digital release.

So what does this release do that’s so good?

1.  The different prices and packages appeal to multiple consumer practices and value systems.

2.  The cost of the digital version is reduced. Though $10 is still significantly above the marginal cost, it is nonetheless almost half of what albums retail for on iTunes. If digital music is less valuable (which it is), then lowering the dollar value attached to that product will surely encourage an increase in consumption.

3.  The expanded $20 package offers immediate gratification in digital form, a CD that provides a tangible product, four bonus tracks, six bonus remixes, subscription to future bonus content and a chance to win tickets to a Pacific concert.

If we break down that final package, we see that it works to meet consumer demands in most areas:

1.  It provides the instant gratification and transparency of consumption afforded by digital releases through the digital component of the package.

2. It provides a physical product to which consumers can attach value and at a reasonable price.

3.  It provides access to substantial bonus content - the depth of which signals an attempt to provide value to consumers rather than, as iTunes do, use it as a means of locking in the sale.

4.  It provides a chance to win concert tickets, which an easy and cheap addition for the company to make but one that still adds value to the package.

Look how happy Pacific’s fans are.

Basically, this release works to match its price with its product. By lowering the price of digital-only and overloading the the more expensive version with bonus content and a physical counterpart, both packages appeal.

I am a fan of this strategy.  We need more of this. Please leave links to similar examples that I have may have missed so I can peruse and get excited.

Nick’s note: Matt is spot on.  Sidekick’s approach echoes that of Topspin Media.  For some great insight, check out Topspin’s CEO talking here.  I particularly liked this:

” … fundamentally I believe the model is shifting from mass-marketed (via radio and TV) and one-size-fits-all (one $15 CD suits fans of all levels of commitment) to a target-marketed approach where fans can self-select where they fit on the scale (when Trent offered Ghosts at five price points he was really asking, “How big a fan are you?”).”