As the iconic Sam Ash Music mega-chain shuttered its 42 stores in May of last year (Sam Ash’s 100th anniversary year), the company noted in court documents that it had remained too dependent on in-store foot-traffic. The bankruptcy and closure of Sam Ash was not only yet another sign of the absolute necessity of integrating internet sales into traditional business models, but it also meant that there was now one fewer major player in brick-and-mortar MI retail.
While the demise of one of the most legendary names in our industry was no doubt sad, one question/hope that immediately arose was: Would the sudden dearth of physical musical stores across the territories Sam Ash had served present, for the savvy up-and-comer or pre-existing MI retailer, an opportunity to stake a claim for that business?
While there likely have been upticks in sales for smaller dealers in roughly the same areas as now-shuttered Sam Ash stores, most of what I’ve read and heard suggests that former Sam Ash customers have largely turned to the likes of Sweetwater, Guitar Center, and Amazon for their shopping.
Mexican music retailer Gonher, the winning bidder for most of Sam Ash’s assets, seems to concede that online is where the future lies. While the company shared the (potentially) encouraging message, “The Next Chapter: Coming Soon” across social media this past fall, Alex Valdés, Gonher Group marketing manager, told online publication Retail Dive, “There are currently no plans to reopen physical stores, our entire strategy will be focused on online sales.” Along those lines, the former Sam Ash Facebook page is now rebranded as “Sam Ash Direct.”
In this issue’s Spotlight feature, a conversation with Guitar Center CEO Gabe Dalporto, a good deal of time is devoted to the continued evolution – and ever-increasing prominence – of online retail across all channels, including the MI realm.
When asked how traditional brick-and-mortar storefronts should respond to the changing landscape, Dalporto observes, “You can’t pretend that things are not moving digital, and you can’t pretend that everything is fine.”
That’s all well and good (and unquestionably accurate), but what specific actions can smaller, independent dealers take to succeed in this new reality? Some options are relatively self-evident: Add online shopping functionality to your business’ website; place your instruments and gear up for sale on Reverb.com and/or eBay, as well as in-store; increase your presence and activity on social media platforms.
Odds are good most retailers reading this have already taken all of the above steps – and have very likely made additional moves in attempts to adapt, but there’s no question that what was already a quickly changing reality is only progressing faster by the day. What else is there to do?
All is not lost for the in-store experience, however. Plenty of folks, including yours truly, still love going to MI stores. And that passion is precisely what Dalporto is leaning into, and he advises smaller dealers to follow suit: “I would say that if you can deliver an exciting, fun experience, think of yourself as an experience center, then you have a reason to be. I mean, it is fun to go to a music store. It is fun to try out the millions of different instruments. Each is unique and brings joy.”
Personally, I can’t find much to argue with in those comments and think it’s a tactic worth embracing. I visit my own local music stores for a bunch of reasons: I need a repair that’s above my skill-set (or, as likely, I need one of my own “repairs” to be fixed…); I feel an obligation to “support the team,” so I walk or drive to buy some new strings rather than place an order on Amazon; I want to, in person, check out a quirky amp that I’ve read about, but never used; and so on. But the primary reason for me leaving the house and making the trek to actual MI storefronts is: I really enjoy the experience. You can keep your trips to outlets and carefully curated specialty shops and discount wholesale clubs. When I have free time (Ha! “Free time”…) to do some discretionary shopping or plain old gawking, I’m heading to my local music dealer(s).
Is your MI dealership an “experience destination?” Could you be doing more to make it one?
