[This was first appeared in Soundbox, September issue, as part of the cover story by Anita Iyer on the future of physical music retail in India]
The music retailers in the south-Indian city of Thrissur are on the verge of losing their business to the greater threat of Internet piracy. Some of the small players in the business have already shut down their shops for good and the remaining retailers are struggling for business. Now there are only two large music stores in the city, if you ignore a couple of small stores, and the grapevine has it that one of them are planning to shut their business down soon. But how is it possible that a small south-Indian city music business is affected by Internet piracy? We are not living in a country like UK where 83% of the population are online. According to World Bank’s development indicators, we have only 5.3% of our population using Internet. So what could have lead to this situation?
Blame it on the mobile phones. Now everybody has one and they use it extensively to play music than making and receiving calls. Youth, regardless of the economic class they belong to, are addicted to playing music on their cell phones. From the school/college students to manual laborers working on a construction site, music plays in the background. But where do they get these MP3 files from? If you take a look at the students, they know how to access and download the latest film songs from websites. But even they are not willing to spend time browsing on Internet for MP3 songs. They know an easy way – bring their mobile phone to the nearest mobile phone selling and servicing shop, give them a phone memory card and get the latest songs copied after erasing the old ones. The mobile shop charges a small fee but you get the songs you want for a much cheaper price than buying an authentic CD from a music shop.
Mobile phone shops and Internet cafes run this as a side business. All you have to take with you is a phone memory card, USB thumb drive or a blank CD. CDs are fast disappearing and it is the memory card that the youth prefers and USB storage drives that businesses and vehicle owners prefer to go with.
Then what is left for the retailers? Gone are the days of music fans who would line up to buy an A R Rahman album on it’s release date. One of the music shops in Thrissur, Melody Corner, has introduced an ATM (ATM stands for ‘Any Time Music’ here) where people can choose from a collection of 1.5 lakh songs and copy the chosen songs to a CD. But they cannot compete with the price that the mobile/Internet shops offer because the latter gets songs off piracy websites for free.
A large portion of music stores is now dedicated to movies. The loyal buyers of music seem to be those who have a genuine interest in a wide variety of music – like western/eastern instrumental, classical music, ghazals, devotionals, world music and old Hindi/Malayalam song collections of a particular singer or composer. Can music retail business in small cities survive with this small group is the remaining question.