Backstreet Shipment Fuels Price-War Fears

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Date: Nov 14, 2000
Source: Billboard
Submitted By: Ashley

When Jive ships the Backstreet Boys' new album "Black & Blue" on Nov. 21, it will rank as having one of the biggest initial shipments ever: about 6 million units, sources tell Billboard Bulletin. What's more, sources say that Wal-Mart, the world's largest retailer, is buying 2.5 million copies of the album through its two largest music suppliers.

Wal-Mart will be the sole U.S. merchant to stock a version of the album with the bonus track "What Makes You So Different (Makes You So Beautiful)." However, some suggest that the value-added premium alone doesn't justify such a heavy order. Consequently, retailers and industry observers are fearful that Wal-Mart is reacting to Best Buy's $9.98 Limp Bizkit promotion last month. The prevalent fear is that Wal-Mart will sell the Backstreet Boys album at the $8.88 price it used during the height of the 1994-96 music retail price war.

Executives from Jive and BMG Distribution were unavailable for comment.

-- Ed Christman, N.Y.

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