Like any other organizations, re-strategizing is always good most especially when your current strategy is no longer working. This is the case of Universal Music Group, where they are banking on lower prices with the hope of increasing sales. Truly, Universal Music Group is embarking on one of the most ambitious efforts yet to boost US CD sales. They are implementing a new pricing structure designed to sell most new releases by current and modern artist at just 10 dollars or less at retail. The strategy aims to counter or at the very least neutralize the price offering at online retailers such as iTunes and Amazon. As what CEO Jim Urie has to say, “We think it will really bring new life into the physical format.” The company accounts for 28.7 percent of year to date US Album sales according to one of the researches done by Nielsen SoundScan. The strategy will mainly cut the price point to about $10.50 to 7.50 dollars of less for front line releases. Further, they are implementing strict suggested retail prices to avoid price wars in the industry. Although it might looked really difficult, UMG is gambling that is can offset loss in revenues with increased sales volume and the rollout of greater number of higher priced, higher margin deluxe editions of albums. Obviously, the strategy meant thinking millions of ways on how to reduce costs. And apparently, one way they did was embracing the less elaborate packaging standards single CD releases or placing fewer songs on albums in order to reduce mechanical royalty payments to songwriters. UMG has named this as the “VELOCITY PROGRAM” and will officially begin second quarter this year and would run through most of the year. Some of the expected albums will include from that of “Godsmack”, “Game” and “Taio Cruz.”