Putumayo label island-hops to Caribbean

By Patricia Meschino

NEW YORK (Billboard) - At a time when many record labels are slashing budgets, eliminating jobs and restructuring their business models, Putumayo World Music is countering the prevailing trend by opening two new regional offices in the Caribbean.

The aim is to increase sales by raising the international profile of the region's varied musical styles.

"Our Caribbean CD compilations have been reasonably strong," said Dan Storper, who founded Putumayo in 1993 and says the label has since sold more than 20 million CDs worldwide. "If we are based there we can develop relationships with retailers, strengthen our promotions and expand the market for Caribbean music."

Both new Caribbean destinations -- St. John's, Antigua, and San Juan, Puerto Rico -- were chosen because of their strategic locations. Puerto Rico, home to a thriving music scene, is in close proximity to sizable Spanish-speaking markets in the Dominican Republic, Central America and Miami. Antigua, better known for its 365 beaches (according to the island's official Web site) than its indigenous music, offers easy access to the entire Caribbean.

"There are direct daily flights from Antigua to every Caribbean island," said Alessandra Binazzi, who will head Putumayo sales and marketing for the English-, French- and Dutch-speaking Caribbean from the St. John's office. "Although Jamaica and Trinidad are larger, more music-centric markets, they are located at opposite ends of the Caribbean; therefore, travel to the rest of the region is inconvenient and expensive."

Waleska Diaz, meanwhile, is in charge of targeting the Spanish-speaking Caribbean from San Juan.

Putumayo has created its niche by releasing compilations that focus on specific genres, regions and countries through an alternative distribution network that includes bookstores, boutiques, gift shops and cafes as well as traditional record stores. Each Putumayo release is packaged with colorful folk art; the accompanying liner notes provide detailed information on songs, selected for the appeal they've demonstrated to world-music newcomers and aficionados.

In 2006, Putumayo earned $24 million in sales, said Storper, who is projecting a 5 percent increase this year. Several of Putumayo's Caribbean compilations are among the label's best sellers. In the United States, according to Nielsen SoundScan, the "Cuba" compilation has shifted 92,000 units; "Caribbean Party," 64,000; and "Caribe! Caribe!," 30,000. Worldwide, Storper said, these titles have each sold more than 100,000 copies.