I listen to CDs more than I do any other medium! A fantastic way to listen to music, IMO, in terms of both quality and the 'oldschool' act of actually having to get of your arse and browse your physical music collection, then walking over to the CD player and popping it in (beats scrolling through an infinitely long list of unsorted crap and just picking the same songs over again because you don't know or like most of your MP3s!!)
I recognise I'm in the minority though
Our releases are always on CD and download. The CDs sell well enough to justify it at the moment.
If this were to change though, and I wouldn't be surprised it it did, I'd want to look into a smaller vinyl run + download release.
With my own band, this is country/folk/rock/Americana stuff, although my label does other kind of stuff - all broadly in the indie/rock/pop camp at the minute though.
Bill Withers while Tom Waits, and Stan Getz