
I've always
subscribed to the theory that this practice was motivated by pure greed, i.e.
Capitol could sell more records if they offered less songs per album than the
British company. I think that my theory
has been slightly modified by the esteemed Bruce Spizer. As an aside, all Beatle fans owe a debt of
gratitude to Spizer, a New Orleans tax attorney who has published a series of
fascinating and detailed books on the history of the Beatles' recordings in
both the United States and England.
Although expensive, his books are well worth seeking out.
In his book
The Beatles Story on Capitol Records Volume
2, Spizer points out that in 1964 the statutory mechanical royalty rate (i.e.
the amount the record company had to pay the music publisher per song per
record) was 2 cents. By contrast the
rate today is 9.1 cents. To quote Spizer "although this may sound trivial
today a reduction in the number of tracks on an album could cause significant
savings when considering the value of money at that time." Spizer goes on to say that by putting 12
songs on an album instead of 14 (as most British labels did) the company could
save $40,000.00 per each million records sold and they could save an additional
$20,000.00 by reducing the number of tracks to 11 (Spizer, P. 24).
That's
obviously a lot of money in 1964 dollars – according to the consumer price
index calculator $60,000 in 1964 would be $461,309 today. Of course all of this sounds silly when
you're talking about the Beatles catalog but remember that no one in the record
business in 1964 figured that this music would still be around in 50 years
(or that we would be gladly buying the
records over and over) It's even more interesting to look at the Beatles' artist
royalty rate on their early recordings, but that's another story.