Discogs' Sales Grew 30% Amid Pandemic Shutdowns

The online music marketplace has been faring well as shoppers and record stores have turned to the web.
(Billboard 8/28/2020)

Online music marketplace Discogs' global sales in the first half of 2020 were up nearly 30% over the same period last year, according to the company's mid-year report released Friday (Aug. 28). The jump, which represents record-high sales for the platform, began just a week after the coronavirus pandemic forced the majority of physical record stores to shut their doors beginning in mid-March.

“We've been a lifeline for the independent retailer for sure,” says Discogs director of communications... who adds that some record stores on the platform “have given us word that without Discogs, they were definitely gonna be hurting or quite possibly [have to] shut their doors.”

The increases outlined in the report are striking if not entirely surprising, given that the widespread closure of physical retail outlets around the world gave many consumers little choice but to make their physical music purchases online. In addition to the 30% year-over-year jump in orders -- between January and June, Discogs facilitated nearly 4.3 million of them -- buyers purchased more than 7.6 million pieces of physical music, an increase of 33.83% over 2019.

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Discogs' Sales Grew 30% Amid Pandemic Shutdowns

 

I've certainly given them a lot of business during the shut down.

 

All because of me.

 

Why did you post a GIF of a shaking album?

 

The world's premiere online music database had record sales?


Wow, didn't see that coming.

 

They can't be alone at the top. I'm sure Amazon, eBay, and other on-line sellers are booming too. Look at our listings here in the Classifieds.

 

Indeed. I do think Discogs is noteworthy because while many sellers have issues with them, their 8% cut is a bit lower than eBay's, and a lot lower than Amazon's. It also seems like it's fairly easy for an independent record story to run an online storefront from Discogs.

 

I agree, but eBay's fees (and then the PayPal fee added to it) is not really lower than Amazon's. I've not looked closely in a few years but they both pushed it to its upper limits on what a selling platform can charge. Both are a 20% grab right?

This is why Discogs is a hit. This is also why Discogs could likely get greedy and eventually demand Amazon style fees.

Anyway, Discogs will be the place to sell and to buy for a while until they drive out their best sellers with fees and rules.

 

My understanding is that eBay+PayPal generally ends up taking about 13%. I think Amazon is more than that but am not sure if the percentage. Discogs+PayPal is about 11%. So some room for Discogs to get greedy, but not much.

 

OMG is this ever prescient.

Trying to set up Discogs new mandatory shipping terms =

 

Also, Discogs only takes a % on the purchase price and not the total price including shipping like eBay does.

 

I didn't realize that - nice!

 

I bet more people had time to start selling more product on Discogs too. That adds to sales. And if they're like me, they use that money to buy more stuff (usually from Discogs).