Once a producer told me that they mastered at 16bit 44.1kHz and then pressed records and CDs from those masters. Ofcourse the records sold better because they sound much better...
Of course the records will sound better; they will have their dynamic range squashed to fit the medium. Compression sounds nice: all the quiet parts are so clear, yet the transients are cleanly articulated. Compressed audio, like from a record player, also works better with a cheap back end. Protecting the record player's needle from skipping out also helps the amplifier and speakers.
But despite vinyl being poorly suited to high dynamic range, the vinyl release sometimes has higher dynamic range than the CD/download release. This is probably because vinyl purchasers are thought to be more discerning customers. This isn't always the case; the most popular dynamic range measurement algorithm (see http://dr.loudness-war.info/ ) is fooled by all-pass filtering, and vinyl record players do this, so the measurements will be falsely high for vinyl. Often the supposedly higher dynamic range vinyl release is actually from an identical master.