Guitar Center in trouble?

[donahue]

I think if they focused more on the used items, rather than treating used like their "red headed step child" (i.e. crappy pics, no description, no coupons etc.) they may do better overall. For what they pay you for a used item, it wouldn't surprise me if they made more profit on some of the used gear they sold as opposed to new gear.

I'm not going to jump to conclusions but back when you could use coupons on used gear the store also seemed to be doing better. Probably not related but something to think about.

The buying and selling of used gear at GC is 100% in their control, unlike dealing with gear companies, vendors, quotas, contracts etc. They could use that autonomy to their advantage imo.

 

[InhumanResource]

We keep hearing about this. Fine with me, go away already. My local GC is terrible. There's a Sam Ash that actually has good used stock as well as a couple of non corporate stores.

And the classifieds of course.

 

[Bikeguy57]

FWIW, they just opened a brand new store near my place in South Florida.

 

[Wfrance3]

I think that people are voting with their feet. I do my part to support local shops that have dependable info, a reasonable stock of product and all that just because I do not look forward to the day that there is no possible way to try an instrument, or amp or whatever, before you buy it.
Unfortunately, no tax and free shipping often trumps, I can order it for you and let me check with my manager on that....

 

[Lava]

This is a regularly posted topic around here. Please defer posting until reading all of the many, many past threads on this subject.

 

[Jeff Scott]

I mostly go to Guitar center for the same reason people go to art museums.

I go to my local art museum and tell the staff I am interested in buying something. There was a Brett Weston print I wanted but they said it was not for sale. No wonder they still have the same stuff on the walls (although, they do get cool new "merchandise" in there all the time, too).

 

[jd56hawk]

Are 80 of them the same two companies?

Nice try…no.

 

[MattZilla]

i remember the faith of marsmusic. to be fair , i only ever went to the denver store (which was like 5 times the size of the denver guitar center at the time).

and kaybee toys ... i bought some of my robotech/macross toys , well after they were disconyinued , during the kay bee closeout.

KB! I was reminiscing with a friend about the 90s the other day and could not remember the other toy store. Thanks.

Are 80 of them the same two companies?

My GC sometimes has less than thirty basses, usually over forty. If his has the same ratios, I bet it'll look like 5 Fender, 15 Squier, 2 Gretch, 25 Ibanez, 3 EBMM, 15 Gibson (12 with missing screws or paint, or skyhigh action), ten Epiphone, one Ric, some Rogues and used Warwicks. I have no idea who in my town is buying all the TBirds and SG basses, but surely there are a lot out here.

 

[TinIndian]

I dont have one local anyway, the nearest are in Orlando 1.5 hrs away, so I dont go over all that often.
What springs to mind to me is dont they owe Fender a lot of money? I mean like a whole lot to the point
they were one of the primary reasons that Fender was having some trouble at one point.

Who gets to hold the bag on that? and if Fender ends up getting shafted on that deal how bad will that hurt them?

 

[BassJuju]

Are 80 of them the same two companies?

We have 80 in stock locally. In order, Ibanez, Fender, and Squier are more than half.

On another note, as many have said they have an online presence. And, that will be their future. To me, that is their problem. I feel like they are already an online business with a really large pickup location. Very little that interests me is in stock. Need strings... they will be there in 3 to 5 days. New tuner... 3 to 5 days. Want a gig bag... 3 to 5 days. Speakers... 3 to 5 days. New amp... 3 to 5 days. Cab... 3 to 5 days. New GC branded cable... right this way.

**Edit -- That was new and used basses. Filtering the used drops the count to 68 which puts Squier below the 50% line. So, Abby and Fender are more than half.

 

[outoftune]

My Guitar Center currently has 92 basses.

Mine has maybe 15 that when added up all come to about $3000. Piss poor selection.

 

[Robroy]

I think part of the problem may be that all this stuff is being comoditized. Like toasters and shoes.

 

[bobba66]

They'll be fine.

 

[gt96g]

Yes, this isn't new news, but it worrisome. I don't think ALL of the GCs will go down if something bad happens. The Sunet store will survive one way or another.
What surprises me is that Sam Ash seems to be doing OK. Their inventory is decent and they aren't in the news as much. I wonder how they are keeping their bacon out of the fire.

Family owned business, only 70 stores nationally and not over leveraged.

 

[burpgun]

According to this article, they're at risk of bankruptcy.

Invalid Link Removed

Edit: I realize it's been talked about for so long now but it looks like this is the year they'll have to do it.

Private equity strikes again!

 

[JeezyMcNuggles]

We have 80 in stock locally. In order, Ibanez, Fender, and Squier are more than half.

On another note, as many have said they have an online presence. And, that will be their future. To me, that is their problem. I feel like they are already an online business with a really large pickup location. Very little that interests me is in stock. Need strings... they will be there in 3 to 5 days. New tuner... 3 to 5 days. Want a gig bag... 3 to 5 days. Speakers... 3 to 5 days. New amp... 3 to 5 days. Cab... 3 to 5 days. New GC branded cable... right this way.

**Edit -- That was new and used basses. Filtering the used drops the count to 68 which puts Squier below the 50% line. So, Abby and Fender are more than half.

Yeah, that's what I meant with that exaggerated comment. Last time I was in guitar center, the bass section had around 60-80 guitars in it. Ibanez taking up about a third, followed closely by Fender. Warwick, Yamaha, and a couple more randoms were scattered through them. I was kinda off put by it. I expected a lot more diversity. I've only been there twice. It's about a 2 hour drive from where I live.

 

[socialleper]

Family owned business, only 70 stores nationally and not over leveraged.

Then I wonder if it wasn't more a matter of bad management rather than huge changes in the industry.
Sam Ash did go through an expansion in the late 90s to match GC. There were none in So Cal before that, and now there are a couple. Good sized stores too. I like that they have expanded their pedal selection. Their bass selection is OK, but their amp selections are still abysmal.

 

[RichardW]

the hedge fund jerks will walk away with million-dollar bonuses and another industry will be ruined.

That may be true, but the fact is: people are voting with their feet. If GC were crawling with customers, we wouldn't be having this conversation. But for whatever reasons (the internet, less interest in playing music, competition from video games, etc., etc.) fewer people are buying musical instruments at big retail outlets.

It's just economics.

 

[sheltjo6]

Then I wonder if it wasn't more a matter of bad management rather than huge changes in the industry.
Sam Ash did go through an expansion in the late 90s to match GC. There were none in So Cal before that, and now there are a couple. Good sized stores too. I like that they have expanded their pedal selection. Their bass selection is OK, but their amp selections are still abysmal.

Both Sam Ash and Guitar Center in the San Diego area do not offer much selection in regards to bass amps and cabs.
Bass selection at either business is ok if your looking for is the standard brand name instruments: Fender, Ernie Ball, SoundGear, Dean.

 

[bikeplate]

Survival of the fittest. If they cant make it thats on them. This isnt the auto industry where the government is going to do a bailout

Il all about the local private owned guitar shops. I hope their demise creates more mom and pops