Nielsen SoundScan is an information system created by Mike Fine and Mike Shalett that tracks sales of music and music video products throughout the United States and Canada. Data is collected weekly and made available every Wednesday to subscribers, which include executives from all facets of record companies, publishing firms, music retailers, independent promoters, film and TV, and artist management. SoundScan is the sales source for the Billboard music charts.

Nielsen SoundScan began tracking sales data for Nielsen on March 1, 1991.Fact: date=October 2008 The May 25 issue of Billboard published Billboard 200 and Country Music charts based on SoundScan "piece count data," and the first Hot 100 chart to debut with the system was released on November 301991. Previously, Billboard tracked sales by calling stores across the U.S. and asking about sales - a method that was inherently error-prone and open to outright fraud.Fact: date=March 2009

The Recording Industry Association of America also tracks sales (or more specifically, shipments less potential returns) on a long-term basis through the RIAA certification system; it has never used either Nielsen SoundScan or the store-calling method.

How Nielsen SoundScan tracks sales

Sales data from cash registers is collected from 14,000 retail, mass merchant, and non-traditional (on-line stores, venues, digital music services, etc.) outlets in the United States and Canada.

The requirements for reporting sales to Nielsen SoundScan are that the store has Internet access and a point of sale (POS) inventory system. Submission of sales data to Nielsen SoundScan must be in the form of a text file consisting of all the UPCs sold and the quantities per UPC on a weekly basis. Sales collected from Monday-Sunday or Sunday-Saturday are reported to SoundScan every Monday and made available to SoundScan subscribers every Wednesday.Fact: date=April 2009

Nielsen SoundScan clients include:

• All major and many independent labels.
• Distribution companies.
• Artist managers and booking agents.
• Concert promoters and venue owners.
• Online retailers and "digital delivery" companies.

Registering a product to be tracked by SoundScan

Anyone selling a music product with its own unique UPC or ISRC code may register that product to be tracked by Nielsen SoundScan. Registration is free and simply requires that a Title Addition Sheet be filled out and sent back. Registration takes approximately 30-40 business days, so it is recommended that the form be submitted at least 3 weeks prior to the product's release date.Fact: date=April 2009

Viewing SoundScan Data

SoundScan is a subscription based service with many packages available for varying levels of access. Subscriptions must be negotiated with SoundScan. Billboard publishes music charts on a weekly basis which use SoundScan data, but do not give sales figures.