But not quite yet. There will still 350 million CDs sold this year. Let me say that again. "There will be 350 MILLION CDs sold this year." Someone's still buying those suckers.
And one of the reasons why they're still selling is that some sanity has finally come into the market. With the price now between $6 to slightly less than $10, people don't feel ripped off if they buy something with only a few good songs anymore.
Yes, album sales are declining, but that goes for digital downloads as well. If people aren't buying an album, it's more a factor of the music than the price these days.
So don't fear the CD. Make it a part of your sales arsenal, but don't buy a couple of thousand and have to worry about the up-front costs and inventory. Use a service like Kunaki and buy just what you need.
Don't forget, it's still easier to get a magazine or blog review with a CD than a digital download.
Check out my Big Picture blog for discussion on common music, engineering and production tips and tricks.