Music Products Industry Sees Continuing Sales Growth in 2013, Says New GE Capital Survey
CHICAGO–()–With consumer demand indicators picking up, participants in the music
instrument industry are optimistic about higher retail sales this year,
according to January survey results released today by GE Capital,
Commercial Distribution Finance (CDF), a leading provider of financing
to music dealers.
“Like others in this industry, we’re optimistic about consumer demand
this year”
Thirty-eight percent of survey respondents expect their sales to
increase five to 10 percent this year, while 43 percent expect increases
of 10 percent or more. Last year, 26 percent expected sales growth of
five to 10 percent and 54 percent expected growth of 10 percent or more.
Based on survey results, fretted instruments, percussion, keyboards and
amplifiers will be the most popular category again — 44 percent this
year versus 52 percent last year. Professional audio equipment will
again be the second-most popular category — 37 percent versus 30 percent.
Online sales appear to be a growing component of participants’ business.
More than one-quarter (27 percent) said online sales will comprise
between 15 percent and 45 percent of their business this year, up seven
percentage points from 2012. Slightly more than a third of respondents
(36 percent) said online sales make up 15 percent or less of their
business, down from 49 percent in 2012. And 17 percent say they do not
offer online sales compared to 21 percent last year.
Despite the expected pick-up in consumer demand, participants in the
music instrument industry are concerned about the growing popularity of
online equipment sales. Forty percent of survey respondents said online
retailer and auction site purchases would have the greatest impact on
the music industry in 2013, up from 23 percent one year ago. At the same
Did you enjoy this post? Why not leave a comment below and continue the conversation, or subscribe to my feed and get articles like this delivered automatically to your feed reader.
