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Record Retailers Attack Big Mac’s Musical Menu

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D o you want a CD with that Big Mac?

McDonald’s customers are probably going to be hearing questions like that soon, because the fast-food giant is adding recordings to its menu.

As part of a special promotion, CDs and tapes by top artists--including Garth Brooks, Elton John and Roxette--will be sold at bargain prices (probably around $6) with a minimum purchase.

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For pop fans, it’s a happy meal indeed.

But some record retailers are anything but happy.

Record store operators, already threatened by direct-mail marketing, home shopping channels and computer online sales services, say that the idea of McDonald’s getting involved with music sales--especially at bargain prices--really sticks in their craws.

“It makes us look stupid,” says Stan Goman, vice president of retail for the Tower chain. “We’d love to sell new CDs for $5.99. We’ve been asking record companies for lower prices for years because consumers are paying the high prices and blaming the retailers.”

The McDonald’s promotion--expected to begin in September--is being arranged by Charles Koppelman, the chairman and CEO of the EMI Records Group North America. He insists that everyone he’s dealt with on this matter is quite happy, or will be in time--even retailers.

Koppelman says that in the long run, this promotion will cultivate new fans for the artists involved and consequently create more traffic in record stores. The bargain releases will be special “hits” packages that will only be available at McDonald’s and won’t be in competition with “real” albums. He also adds that a “substantial” portion of each sale--rumored to be $1--will be donated to the Ronald McDonald Houses for sick children.

“It’s a win-win situation,” Koppelman says. “The record companies win. The artists win. The retailers win. McDonald’s wins. And most importantly, the children win.”

Reportedly though, the EMI exec has had to do a lot of persuading and revising.

Sources close to the situation say that there was originally talk of including Roxette’s next album, “Crash! Boom! Bang!,” in the deal--a full month before it would be sold through regular music stores in October.

After reported howls of protest from retailers, that idea was withdrawn and a Roxette sampler substituted. Koppelman would not comment on the Roxette situation.

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A cross-promotional arrangement has also been set up with the giant Musicland chain involving McDonald’s discount coupons available through the music stores.

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