Tom 1960

From: latimes.com L.A. independent record shop is still in a groove Collectibles and used CDs enable Rockaway Records in Silver Lake to survive while many like it have closed. By Randy Lewis September 24, 2009 Don't tell brothers Wayne and Gary Johnson the CD business is dead or that the brick-and-mortar record store has gone the way of the five-and-dime. Or go ahead. Tell them. They'll just smile. That's because they run Rockaway Records in Silver Lake, one of the longest-surviving independent record stores in Los Angeles. It has successfully been trading since 1979 in various forms of music technology pronounced dead or dying in most other corners of the ailing music industry. "I feel more confident than ever," Wayne Johnson said during an interview in the back office lined with memorabilia that reflects his lifelong love of the Beach Boys and their music. As the bottom fell out from under the retail music business, the Johnson siblings witnessed the demise of Rhino, Aron's and other local independent record stores as well as onetime behemoths such as Tower Records and Virgin Megastores. About 3,650 stores that sell music have closed nationwide in the six years since the Studio City-based Almighty Institute of Music Retail marketing research firm began collecting data. During that period, about 2,000 new stores have opened, but 70% of those have been big-box stores such as Wal-Mart, Target and Best Buy or chains including Borders and Barnes & Noble. That leaves about 600 free-standing music retailers. Rockaway has sidestepped that fate with a combination store and online business where customers can find music as cheap as 99 cents or spend thousands for coveted pop music collectibles such as a copy of the Beatles' first album, "Please Please Me," signed in 1964 by all four band members and on display in a glass case. Cost: $28,500. The Johnsons have survived, they say, thanks to a simple philosophy. "You have to know what you're doing," Wayne said. "You can't wing it anymore. It used to be easy to buy collections and turn them around and sell them for more than what you paid. But now, there are so many avenues -- people can go on Amazon or EBay and find out what stuff is worth. Now you really have to know the market." Rockaway's calling card is collectibles, the same thing the Johnsons started out selling in the '70s out of the basement of the house they shared in Brea. Back then, they could pick up items in thrift stores or yard sales for 25 or 50 cents each and then sell them for $5 to $10 apiece to collectors around the country -- or the world, for that matter. (Last year it sold some acetates of unreleased Frank Zappa music to a collector in Andorra for $12,000.) But, to the delight of sellers, Wayne said, "we pay as much as we can." They bought a collection of 100,000 albums from a collector in Hollywood several years ago for $600,000, their biggest purchase. "There are some collections I've seen that I'd be willing to pay $1 million for." Their thinking since the early days: Word would spread among collectors that they pay fairly. It seems to work: Wayne said five or six local collectors approached Rockaway after hearing about the $600,000 outlay. Rockaway finances big-ticket purchases either through the seller or with help from a bank, Wayne said. Several years ago Rockaway stopped selling new CDs when Best Buy, Wal-Mart and other major merchants began selling them for $9.99 or cheaper. That's $2 to $3 less than independents such as Rockaway could buy them for wholesale. But the Johnsons have kept Rockaway afloat by taking in used CDs, LPs, 45s and DVDs -- items that don't reach the "collectible" threshold but still create enough profit to make them worth stocking. "A few years ago I was thinking the used-CD business would just go away," Wayne said. "But that has kind of changed, and the CD business has gone way up. A lot of that is because of what has happened to the competition. So many stores went under; there are not many places to buy used CDs." Another such place is Amoeba Music in Hollywood. Amoeba, which opened in 2001, at first dealt a blow to Rockaway because of its massive size. But Rockaway recovered and in some cases has even benefited from the misfortune of other independent stores that went out of business and had inventory to unload. For example, the Johnsons paid $150,000 for the entire inventory of 75,000 CDs from a store in Clear Lake, Iowa, that went under. "That kept our CD bins stocked for a long time," Wayne said. Independent music retailers such as Rockaway and the mammoth Amoeba account for only 7% of all album sales, according to Nielsen SoundScan, compared with about 14% in 2001. Nontraditional outlets such as Amazon, iTunes and Starbucks, which represented just 3% of the market in 2001, now account for 29% of sales. Chains such as Best Buy, together with Wal-Mart, Target and other mass merchandisers, capture 65% of album sales today, although that's down from the 82% they commanded eight years ago. "Even in this economy, we're still doing pretty well," Wayne says. Rockaway has logged annual sales in the low-seven figures in recent years, and Wayne said they planned to add 1,200 square feet to the 3,500-square-foot store. The store carries about 75,000 CDs, 20,000 LPs, 20,000 45s, 10,000 DVDs and thousands of vintage magazines, books, posters and memorabilia, an inventory that Wayne said is worth at least $1 million. On Sunday Rockaway will hold a 30th anniversary parking lot sale with 30,000 CDs on sale for 99 cents each. In the last four years, he said, sales have turned around and have been growing steadily again, despite the industry's overall double-digit annual drop in music sales. Trafficking heavily in albums benefits Rockaway in the iTunes age that favors singles, Wayne said. Additionally, the Johnsons don't have to worry about downloadable versions of offbeat items Rockaway sells, such as Frank Zappa's hand-written score for his "Low Budget Symphony" ($5,000), a lenticular 3D rendering of a Cream album cover that was a record store display piece created in the 1990s ($1,500) or a Michael Jackson "Thriller" display piece. That one had been listed for $700 to $800 before his death in June, jumped to $3,500 shortly after and is now priced at $2,200. That reflects the ever-shifting collectibles market. "People like to think that every year their collectibles will go up in value, but look at prices for houses, look what's happened to the stock market," Wayne said. "Why should collectibles be any different?" And at the top? "The Beatles are the blue-chip stock in [pop music] collectibles," Wayne said. "It doesn't get any better." Rockaway has a copy of the much-sought-after original cover for the group's 1965 "Yesterday and Today" album -- signed by Paul McCartney, George Harrison and Ringo Starr -- in its display case with a $12,000 price tag. "If I had the fourth signature, I'd add another zero to the price and it'd be gone like that," Wayne said, snapping his fingers. randy.lewis@latimes.com

Any thoughts on this Ira Sullivan/Delmark release? I had the opportunity to sample the tracks over at Amazon and it sounds quite good. Also the fact Johnny Griffin is on the session is of special interest to me.

I finally got around to picking up some Red Rodney taking advantage of the recent Oldies.com sale. This one(above) is a real winner. I will definitely consider your recommendations. I've got to get more of this guy!

Late to the game, but still wanted to take a moment and welcome you back, MG. It looks like you've already impacted the activity levels around here.

The latest from Movie Mars concerning the Pacific Jazz Trios: "We are still working diligently to fulfill the item listed below, and you will be notified as soon as it has shipped". At this point seeing no other viable options, I might as well hang in there until they officially cancel my order.

I loved the horrified expression of his co-anchor.

Yeah, saw one in a Chicago CD Exchange for $7 a couple of months back and I've been kicking myself ever since for not buying it US Amazon is currently listing the Lonehill which combines Nothing But the Blues with Herb Ellis Meets Jimmy Guiffre at $7.66 new from IMPORTCDS. Thanks for the advice fellas. I wasn't aware of the Lone Hill release at an affordable price. Can anyone speak for the date with Jimmy Guiffre?

I'm not certain just how many wish to part with this release? I've always heard it was a pretty good date. I don't want to pay an arm and a leg. Reasonable offers, if possible accepted. Thanks.

No word from Movie Mars. Not very hopeful at this point about receiving the Pacific Jazz Piano Trios. Sucks.

You have some great sets there. The Kenton Presents is something I definitely would be interested in. Unfortunately, cash is tight right now. School taxes are due the middle of next month and I seriously need to mellow out.

Best of luck to both of you gentleman. May you grace these halls for years to come.

Happy birthday, Dan. Hope it was a good one.

I received an email from Movie Mars a short time ago concerning the status of the Pacific Jazz Piano Trios: "The item listed below is temporarily delayed, but we anticipate shipping it in the next 1-3 days, and you will be notified the moment it has shipped. In the unlikely event your item should experience further delay, you will be notified again." Not sure if this is a good sign or not?

Gosh, I remember when "People Who Died" first came out. The local rock station placed that in heavy rotation. Funny, so many years later and you never here that song played. A real classic, IMO. As I recall "Catholic Boy' was a damn good album also although I probably haven't played it nearly 20 years. It's sitting around here somewhere on an old cassette. I'll have to see if I can come up with it. R.I.P Jim.

I was kind of surprised there weren't any past discussions here dedicated to pianist Russ Freeman. I figured this might make for some good discussion. Even though his output was pretty much limited to as a sideman, I really enjoy the recordings he did with Chet Baker, Shelly Manne, Art Pepper to name just a few. I'm still crossing my fingers I might still be able to obtain the Pacific Jazz Piano Trios on Mosaic. From the samples I was able to hear, the performances of Freeman sound quite good. Anyone else here a fan of Russ Freeman? What are some of your favorite sessions he played on?

Better get a number!

My Curtis Amy is ordered from Movie Mars - no word on shipping after 2 days, but they still have it on Marketplace (price increased from approx $44 to $75). Let's hope we're lucky Tom! Similar situation here (different seller) with the Pacific Jazz Trios set... anxiously awaiting some kind of shipping/payment notification! Ordered on Thursday it should have been confirmed by yesterday evening, one would guess... I received an invoice from Movie Mars congratulating me on my purchase. I guess judging from others comments, until I receive some sort of shipment notification the jury is still out.

It appears I was lucky enough to scoop up the Pacific Jazz Piano Trios last night via Ebay and Movie Mars. Crossing fingers.

Jeff, I'm interested in the PJ Piano Trios if no one else stakes a claim.

These have always been one of my favorite live recordings. Great sound and performances. Love to see a box set, but I know better.

Happy birthday, Sidewinder.

Purchased these Phil Woods releases earlier today:

I think you'll be quite happy with your purchase.

Any thoughts on this release? I couldn't locate any relevent threads although I've read some positive thoughts on this release here in the past. Thanks.

Nice clip! But who's that on piano? (Listed as Lou Levy, but looks like Pete Jolly to me.) No idea who the bassist is. Nice clip indeed! I think it's Pete Jolly & Bob Magnusson. Really enjoyed that one. Getz and the band were cooking. Thanks for sharing that clip.