Sam Ash is closing all stores, evidently

[yodedude2]

sam ash anecdotes! I have a happy one...never dealt with Sam ash until I moved upstate a few years ago. I got a great deal on a new/open box hartke 1x12 cab already marked down, and they added the storewide sale discount going on at the time. still have it, still love it ~

 

[Discount Bassy]

One day, we shall all finally meet in the virtual aisles of the OneCorp music section and debate the hypothetical weight of holo-basses with our avatars.

Seriously, Big Big is killing everything. It has already eaten its collar. Yanking the leash does little to help.

 

[monsterthompson]

Here's my business analysis of Sam Ash.

The nearest store location is in Hollywood. I went there once about 15 years ago and they didn't have anything I was looking for, and I'd be lying if I said I was fond of Hollywood. Maybe the store was much better and worth going to 35 years ago.

I've been to that location a few times in the last 10-15 years and found things I was after, but I also had some unpleasant experiences there. It was a pretty bold move for them to open directly across the street from Guitar Center, not to mention the Mesa and Calvin stores that were there. I've always defaulted to GC.

 

[HolmeBass]

If they have great liquidation sale prices will this count as insider trading?

No, but dumping your shares of Sam Ash right now might be…

 

[HolmeBass]

When MARS closed, the liquidation company came in and prices shot up along with 40% off everything. Except, not really. But things were flying off the shelves.

Your post is confusing: are you saying they raised all of the prices and then had a 40% off sale?

 

[J Wilson]

Slightly off topic but I wanna know how so many brick and mortars are shuttering but Best Buy STILL lingers that place..

Because, like new car dealerships, they break even or make a tiny return on sales, but make a killing on financing, especially now as the unknowing walk in, 'Let Us Pay Off your Trade-In', add the previous balance on top of the new deal, finance the thing for 8 or 9 years, and they laugh all the way to the bank from the fees from the financial arm that bought the deal. They're the Walking Dead.

Same thing on a smaller scale for the big home appliances, BIG screen TV's, even the big ticket cell phones. For a lot of people that work for a living, a sudden death of a refrigerator, etc., is just out of reach with cold cash, so you step into financing it (often at nosebleed rates) out of neccessity. That's a Best Buy !

 

[dune]

Because, like new car dealerships, they break even or make a tiny return on sales, but make a killing on financing

And all of the extended warranties they can coax anyone into buying.

 

[J Wilson]

And back in the cheap credit days (when the race-replica 600 and 1000cc GSXR's, R1's, etc. FLEW out the door to the Future Organ Donor crowd, as well as all kinds of discretionary purchases), the local Sam Ash here in Nashville (I remember Sweetwater ads as well) would damn near finance drumsticks and picks, much less instruments.

That went away, then COVID comes along with a huge bump UP for the zillions of stay-at-home folks. Sales went crazy, the manufacturers were running flat-footed to try and keep up . . . . and then it STOPPED. Supposedly FMIC had millions of dollars in orders dropped overnite, and retail was suddenly overstocked against a huge demand that almost went away as fast as flipping a switch.

The whole industry got caught out, and the chips are still continuing to fall. GC is still treading water.

The interesting thing is that most all the manufacturers are stealthily moving towards direct sales. Here in Nashville, there are several Gibson dealers . . . . and downtown is the Gibson Garage, a factory store, full of really cool stuff that their dealers can't get unless they buy them on the Gibson Reverb Store. Hmmm . . . .

In the long term, it will be interesting to see the landscape for the Gibsons, Fenders, Yamahas, etc., to see HOW they make up for the thousands of pieces they make for a shrinking customer bases vs. a factory direct model. I have no way to imagine how selling direct will replace the thousands of pieces they push out to dealers.

 

[J Wilson]

And all of the extended warranties they can coax anyone into buying.

YES. I forgot that. Can't be too careful with a clarinet blowing out some pads.

 

[MultiScaleMale]

Your post is confusing: are you saying they raised all of the prices and then had a 40% off sale?

Yes all prices raised and then a 40% off sales that netted about the same original price.

 

[J Wilson]

I mean think about it: You're up to your Adam's Apple in debt and the Bankers are circling like Pit Bulls in a butcher shop:

Would YOU knock down everything to break even or worse just to get it over with? I think I'd try and make what money I could.

 

[PaulS]

The Sam Ash nearest me is in the same strip mall as a Guitar Center. I've always had better luck with that Sam Ash than that GC. My last visit to that Sam Ash, I was able to get decent trade-in values on some gear and snagged a nice preowned bass (that was definitely underpriced for what I was getting). Then again, my main bass was a rescue from that Guitar Center (that was also seriously underpriced for what I was getting and I was able to negotiate lower) and I used the money I saved for mods to really make that bass my own.

Nowadays, I like this small independently owned place about halfway between my workplace and my home that has a decent selection of basses (including some very nice Spectors) but makes the bulk of their money in repairs and such (they're really good). When I was there a few days ago, a whole bunch of gigging guitarists were there needing work done. Cool to see that live music and guitar playing is still alive, as well as good mom 'n pop shops like this. Even their accessories and strings they sell are quality stuff. Good people too (many there are also gigging musicians so it's all about supporting local scenes). So, yeah, I'll be doing my part to keep them in business.

where in NJ is this place? Feel free to PM if want, thanks

 

[Kevorargh]

What everyone is saying reminds me of the cycling industry right now as well as outdoor gear - I have a buddy that runs a bike shop in my town - he bought products that were discounted last year and now the brands he orders from are discounting even more in an attempt to sell more gear and stay afloat - but he can't clear what he has in stock. His money is coming from repairs. The COVID boom has ended and now the contraction begins. Rough times for retailers in all of these markets.

 

[jbhaugh]

Seriously, if they are publicly traded this is very much insider information that could impact things. Making this public may not have been a great idea

It stops being insider information when it's shared publicly.

 

[60bass]

Many will perish and only one will remain.

 

[jbhaugh]

I used to live near a famous shop that was like that. They deal both in high end vintage and new stuff but have a reputation for being jerks in the store. I'd use them for smaller stuff in a pinch because I lived in the neighborhood, and their repair guy was the best one in the area so I'd work with him too. Otherwise it was bad.

There's nothing worse than the snobby high-end look-but-don't-touch music store. I always felt the people in those kinds of places were offended when anyone actually walked into the store, and became really obnoxious if the customer was actually shopping and wanted something. A real bummer.

 

[eddybuzzard]

sam ash anecdotes! I have a happy one...never dealt with Sam ash until I moved upstate a few years ago. I got a great deal on a new/open box hartke 1x12 cab already marked down, and they added the storewide sale discount going on at the time. still have it, still love it ~

I got a good one too
I started shopping at SA in '99, when I moved back to this area, and got many great deals during the aughts.
Plus, they were way closer than my nearest GC, and very competitively priced with them as well.

Fast forward to the late teens, and I was clearing out my folks estate, and discovered an old Sam Ash vinyl recording. I brought it to my SA store and gave it to them, and the manager was very cordial and thankful, and gave me a SA T-Shirt. I thought maybe he'd send it to corporate, but more recently found out that it is (was) proudly displayed in their break room

 

[juancaminos]

Why? It's been reported that our economy is the best in the world.

 

[Holdsg]

not surprising. how many brick and mortar retailers have been on their "last legs" for years. bound to happen eventually. not good for the MI manufacturers either.

 

[Minimalist]

Why? It's been reported that our economy is the best in the world.

Seriously? That is like saying, "My grandpa smoked and died at 96. Smoking cannot be bad."