Guitar Center...closing in 2018?

[jmin]

I stumbled across this on YouTube...

https://youtu.be/0lNUez1JfYs

I’ve been hearing about GC’s demise for several years now. This report seems to have the accurate financial details.

 

[Momantai]

FAKE NEWS !
(where did I hear that before .... ? )

 

[jmin]

FAKE NEWS !
(where did I hear that before .... ? )

You trumped me...

 

[Chuck]

Well, if they do shut their doors, it won’t be my fault! I have spent a lot of money at Guitar Center over the last 8 or 9 years.

 

[snarf]

Well, if they do shut their doors, it won’t be my fault! I have spent a lot of money at Guitar Center over the last 8 or 9 years.

And even more since they opened one up an exit up from the hacienda this time last year. It used to be that I had to drive 30 or 45 minutes to get to one (although I was right in the middle of two of them), but then they opened the new one...10 minutes from the casa - don't even have to get on the freeway to get there. Used to, everything came from Sweetwater and I didn't mind waiting two days because otherwise I had to drive to Arlington or SW FW. Now this one is 10 minutes from the house and I pass it on the daily commute. Not. Good. for the pocketbook is all I'm saying. lol

 

[CaptainMoto]

Hate to see it happen, even though I never shop there.
I'm fortunate to live near some very nice shops that I frequent way too often..

For internet shopping SW is my go-to.

FYI,
Not sure this is 100% accurate but it sounds generally correct to me.
I was speaking to a supplier about certain aspects of music retailing business and he told me this:
He routinely conducts employee training courses for various retailers.
He knows almost all of the SW reps because the have attended Sweetwater University.
Every rep there must complete a 13 week training course before they are allowed to interact with customers unsupervised.
They continue working there for years.
On the flip side, most GC employees leave after 95 days, because the company requirement to receive the employee discount is 90 days.

 

[Cowboy Bob]

Every rep there must complete a 13 week technical training course before they are allowed to interact with customers unsupervised.
They continue working there for years.

Yeah I think that Chuck has a pretty good philosophy going on there, and in my own experience, it most assuredly is customer service.

I always think back to when I was a kid working for my father when we moved north. He had 6 service stations. He used to tell us that the WE are not doing the customer a favor by waiting on them, rather they are doing us the favor of doing business with us. He would do things like fill power steering and brake fluid, windshield washers, etc, at no charge. Of course we washed windows, checked tires and oil while we pumped gasoline tool. We were creating what I like to call raving fans.

I hate to see any brick and mortar business struggle, and have nothing against GC, but honestly, I only buy strings and the occasional cable or adapter from them. I used to hate going in there during the weekend or after school hours.

There are still two locally owned music stores here, but the cater more to the school band rentals.

The times, they are a changin'

 

[jackderby52]

Someone should inform G.C. as they recently opened a second store in my area...

 

[PapaRaptor]

I believe at least one article about Guitar Center's imminent demise has been written about this time each of the last three or four years. It's usually always 'they can't meet the payment due on their debt.' It hasn't happened yet and somehow they keep managing to make it another year and another bond downgrade. Fender and Gibson brands hold a large portion of GC's debt. Maybe this year is the one. Maybe they'll work something out. I'm guessing that GC will be around for the next Black Friday sale in 2018.

 

[tommytubetone]

I have a GC <10 miles from my house, but drove 120 miles each way to Sweetwater to buy my Strat and my tele. I guess it all depends on who's running your local store.

 

[PapaRaptor]

I guess it all depends on who's running your local store.

We had a GC in West Palm Beach and I always enjoyed going in there. I think I bought two guitars there. Since we moved to NC, I've been to the one in Matthews NC twice and I will only go there when absolutely necessary. I was completely ignored both times. The first time I was looking for a mixer. I ended up buying it from the local mom and pop. Second time I was looking for some cables. Found them on the wrong pegs behind product that belonged on the pegs. The pegs for what I wanted were empty. I mentioned it to the woman behind the cash register when I checked out. Her reply was, 'we have a tough time keeping that rack organized.' Next email blast I got from GC was from the store manager.' Turns out the woman at the register is the manager.

 

[burlew]

So if you have a GC gift card, you may want to cash that puppy in soon.

db

 

[OG_Blues]

The little town I moved to recently has a little mom and pop music store - it's actually very nice, and the have quite a bit of stuff. And some brands you don't often find at other places. I guess they have to take the lines they can get.
I've been thinking about asking if I could get a part time job there just so I could spend what I make there. Ok, spend 10X what I make there.
I figured I could tell my wife I'm just bringing store merchandise home to test.
The big stores like GC have their place in the world too IMO. It's nice to have both around. I'd hate to see them go out of business.

 

[tommytubetone]

I've had experiences similar to paparaptor's. I certainly don't wish that they close their doors. There are some good people there trying to make a living, but they would be wise to pick up some customer service tips from the likes of Sweetwater.

 

[PapaRaptor]

The little town I moved to recently has a little mom and pop music store - it's actually very nice, and the have quite a bit of stuff. And some brands you don't often find at other places. I guess they have to take the lines they can get.
I've been thinking about asking if I could get a part time job there just so I could spend what I make there. Ok, spend 10X what I make there.

I was thinking the same thing about the local mom and pop here. But the owner announced he was closing down the musical instrument portion of the business and selling off his professional audio installation business...

 

[jmin]

We had a GC in West Palm Beach and I always enjoyed going in there. I think I bought two guitars there. Since we moved to NC, I've been to the one in Matthews NC twice and I will only go there when absolutely necessary. I was completely ignored both times. The first time I was looking for a mixer. I ended up buying it from the local mom and pop. Second time I was looking for some cables. Found them on the wrong pegs behind product that belonged on the pegs. The pegs for what I wanted were empty. I mentioned it to the woman behind the cash register when I checked out. Her reply was, 'we have a tough time keeping that rack organized.' Next email blast I got from GC was from the store manager.' Turns out the woman at the register is the manager.

Yep. Happened to me earlier this year when I was trying to buy an acoustic. The salesman said he'd be right back. 10 minutes later I go looking for him and see him putting on his coat and walking out the door! I bought the guitar from SW.
I bought my '73 Tele & Twin, and '79 LP at GC (new). I guess 45 years is actually a pretty good run for any business.
I may have to make one last visit...if anybody's still there!

 

[Chuck]

I don’t always buy from Sweetwater but everytime I do get back to them, I always wonder why I don’t.

When it comes to Customer Service and support, they are the example that all should emulate.

I bought my new Tele through SW and like all past experiences, I wasn’t disappointed.

Oh, and the shipment always has candy in the box!

 

[MikeS]

Well as Lloyd said this report comes around every year or so, so it probably isn't true but just in case...
I just spent my $250 gift card plus another $100... (funny how that always happens) on a Mono Dual Electric/Acoustic case.
Seems like a lot of money for a gig bag, but I've heard good things about them and by having the dual case, I can just have one bag instead of two cases when I gig.

 

[Elio]

Moody's upgraded GC a little over a year ago and they underwent some major upper management turnover a couple years ago, but they have been on a downward trajectory for a while now. They need to act pretty decisively to turn things around at this point. I'm wondering about the implications for Musician's Friend, which they own. MF's CEO is a friend of a friend of mine, but I haven't heard any news in quite some time.

 

[JPsuff]

Moody's upgraded GC a little over a year ago and they underwent some major upper management turnover a couple years ago, but they have been on a downward trajectory for a while now. They need to act pretty decisively to turn things around at this point. I'm wondering about the implications for Musician's Friend, which they own. MF's CEO is a friend of a friend of mine, but I haven't heard any news in quite some time.

I'd bet that less than 5% of the public knows that GC and MF are one in the same.
Why not just use the same name for both?

Call them both Musician's Friend.
This way there'd be a "brick-and-mortar" outlet to actually visit and try out various instruments and a customer could either purchase there or later online. I think the continuity would generate more customer loyalty especially if there was some actual interaction between the two.
Say you spoke to someone at the store about a deal on something and then decided to think about it. If the stores and the online entity were truly interactive, they could check with whomever you spoke with and the deal could continue from there.

If people knew they could do that I think the relationship between the company and the customer would improve and sales would likely increase as a result of the customer feeling more connected knowing that a conversation could continue online instead of beginning and ending in the store. Additionally, if the experience at the store is a good one, then there'd be no reason to think the online experience wouldn't be just as good and vice versa and so the two could complement one another.