Are music cassettes making a comeback?
Music cassettes offer nostalgia to many, but are the 'new and cute' thing for the younger generation. Are they worth investing in?
Anyone old enough to remember using a pencil to wind the magnetic film back into a chewed-up cassette tape may well wonder why anyone would want to dabble with such antiquated technology. You had to fast forward to get to the song you wanted, usually overshooting the start, and the sound quality had nothing on today’s digital offerings. But it’s precisely the sound, often described as “warm”, that appeals to older collectors, as well as a new generation for whom pencils and recorded music hold no connection. “Old guys are buying for their memories. Young people are buying to try. They think it’s trendy,” Stephen Ho, a collector from Hong Kong, tells Larry Ryan in The Guardian.
East Asia has experienced much of the boom in sales. Record shops in Tokyo have been expanding their cassette sections, “signalling a resurgence of compact analogue recording media”, says Megumi Kito on Nikkei Asia. Last September, Tower Records in the Shibuya district multiplied its stock of old and new tapes by a factor of six as sales have continued to grow in recent years.
“Cassettes seem to come across to the younger generation as ‘new and cute’ things,” Ko Takeda, who heads the cassette section, tells the paper.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Tapes are also cheaper to manufacture than vinyl LPs which is reflected in retail prices, says Matthew Kronsberg in Bloomberg Businessweek. A new vinyl record can cost $35 in the US, a tape a mere $10, but the latter still provides “a similar analogue experience”. “It may be lower fidelity, but it’s also more playful and more portable,” he says. TV series Stranger Things and the blockbuster superhero film Guardians of the Galaxy, both with their depictions of life in the 1980s, have also helped to make the decade cool.
Crucially, cassettes are also affordable to the youngest of new collectors. That’s not lost on pop superstar Taylor Swift, who counts many of them among her fans. Her latest album, The Tortured Poets Department, sold 1.64 million physical units in its first week of release in April, of which 21,500 were cassettes, according to music magazine Billboard. That’s a long way behind the 859,000 LPs that were sold, to be sure, but not bad for a format that until recently had been consigned to the attic of history.
Selling physical recordings is also a smart business move made by young musicians, who also include Billie Eilish, Kendrick Lamar and Dua Lipa. The per-click royalties musicians earn from streaming platforms such as Spotify are “infinitesimal” compared with the “far greater revenues that artists can earn from physical products”, as Ben Sisario points out in The New York Times.
In fact, such has been the take-up that new iterations of the 1980s Walkman are coming to market so that younger buyers will have something to play them on. Examples include the We Are Rewind WE-001 and the FiiO CP13. Some things really were better in the 1980s.
This article was first published in MoneyWeek's magazine. Enjoy exclusive early access to news, opinion and analysis from our team of financial experts with a MoneyWeek subscription.
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.

-
Nationwide promises to protect all its branches from closures until at least 2030The building society has extended its pledge to keep all high street Nationwide and Virgin Money branches open, now until at least 2030.
-
Could dividend tax nearly double in the Budget?Self-employed directors and investors, including pensioners, who get an income from company shares would be hit if the rumoured move to hike dividend tax goes ahead.
-
STS Global Income & Growth: Buying quality at a discountInvestors should consider STS Global Income & Growth to diversify away from mega-cap tech
-
'We still live in Alan Greenspan’s shadow'When MoneyWeek launched 25 years ago, Alan Greenspan was chairman of the Federal Reserve. We’re still living with the consequences of the whirlwind he sowed
-
Venture capital trusts that offer growth, income and tax reliefOpinion Alex Davies, founder of high-net-worth investment service Wealth Club, picks three venture capital trusts where he'd put his money
-
Go for growth: how to invest in emerging marketsDeveloping countries offer investors compelling long-term economic prospects, says David Prosser
-
How to invest in private equityNew forms of private equity funds give access to ordinary investors of more modest means. Should they rush in?
-
Isaac Newton's golden legacy – how the English polymath created the gold standard by accidentIsaac Newton brought about a new global economic era by accident, says Dominic Frisby
-
Investing in AI – the ultimate bubbleIs it “different this time”, or are we in the mother of all bubbles? The economics of AI should give investors pause for thought, says Dan McEvoy
-
Why MoneyWeek studies at the Austrian school of economicsA heterodox tradition in economics has been a guiding light for MoneyWeek over our 25 years, says Stuart Watkins