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Post by megash0n on Jun 11, 2020 22:57:21 GMT -5
I think some of you are missing a major factor here... Companies who rely on department and electronic store sales for their entertainment products haven't sold very much for the last few months... And companies who rely on sales in boutique high end stores, mostly located in population centers, haven't seen many sales there either... But, for companies who already earn most of their sales online, not nearly so much has changed... Some people have lost their jobs, or are simply holding onto their money, because of the economy... But, if you haven't noticed, some businesses are doing very well (I sure wish I had stock in a few teleconferencing and medical supply companies). And a lot of people who aren't planning to go on an expensive vacation this year will be sitting at home listening to music or watching movies instead... And, if you're going to be spending lots of time at home, you'll get more mileage from a new home theater system than you will from a new SUV.  That's assuming an already cash-strapped internet sales company doesn't have to fork out a quarter of a million to satisfy existing promises on revenue already acquired and recognized on the books. Thank God for PPP. |
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Post by brubacca on Jun 12, 2020 8:57:52 GMT -5
Zu and Tekton seem to be flush with orders. Zu gets bombarded everytime they put their Dirty Weekend speaker on sale. Also Tekton comments on how busy they are right on the home page.
I am more concerned about independent brick & mortar establishments and custom installers. That business has to be way down.
One local store here in Philly has had a heavy ebay presence with store demos and older trade in gear.
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cawgijoe
Emo VIPs 
"When you come to a fork in the road, take it." - Yogi Berra
Posts: 5,032
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Post by cawgijoe on Jun 12, 2020 9:01:52 GMT -5
One of the local high end dealers is the Washington DC area belongs to the Facebook HiFi grpup that I am a part of and is able to sell there as well as by appointment in store. They have also taken up free delivery.
it's generating sales which is good.
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Post by tropicallutefisk on Jun 12, 2020 9:26:57 GMT -5
I have no idea what companies are at risk, but I do think we will see some go under or sell out. HiFi is a tough sell these days and the traditional HiFi store is all but dead. Therefore, any company relying on traditional sales and distribution channels is probably on poor footing, pandemic or no pandemic. The ultra high end I am sure will survive, but that has always been a select market and didn't need mass appeal or mass access. The mid to upper mid priced gear is probably most at risk. To survive, they will need to modernize and find a way to provide value and protect their margins. One company that comes to mind is McIntosh. They make beautiful gear and paired with complimentary components it sounds great. However, aside from the few models available through Crutchfield they need traditional HiFi outlets for their products. Also, they pride themselves on having a manual approach to manufacturing. Again, its very cool to see their products being hand assembled right here in the good ole USA. However, I think that approach is more of a sales pitch than a model for success in today's HiFi market. For instance look at the price of their McIntosh logo light box. Its pretty much just a cabinet, their glass face plate and a light. This simple, decorative piece costs $1500. This tells me there is a lot of inefficiency and excess cost associated with every McIntosh piece sold. There's nothing wrong with that as long as people find value in the brand. In today's world I think this is a shrinking market. I know I grew up a Mc fan boy. I always loved hearing their products in the hifi stores and dreamed that one day I might own some of their gear. Today, where would one fall in love with the brand? Enough to pay a premium price? Word of mouth only travels so far, and the word needs to be pretty trusted and valued for someone to open their wallets. For instance, without arguing sound quality, there are a lot of less expensive options to McIntosh. If they are not buying into the value of the brand or the outward appearance, what makes them pay several times more for a Mc versus Emo, Rogue, Schiit or even the likes of Parasound, Rotel, etc.? BTW I have no inside knowledge and I am not making a prediction. I just used McIntosh as an example of a brand in a price market that I feel is most vulnerable.
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Post by brutiarti on Jun 21, 2020 11:23:18 GMT -5
It’s sad but I don’t see Emotiva succeeding. With the money pit that is the pre-pro industry it only makes sense when you sell millions of them. Schiit audio was founded later and they are on top of their game. Emotiva doesnt even have DAC’s anymore.  |
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Post by frenchyfranky on Jun 23, 2020 17:45:16 GMT -5
 I think that I just found a new avatar for you Boom! Zoltar sounds as good as Boomzilla, no? |
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Post by Gary Cook on Jun 23, 2020 19:30:34 GMT -5
Emotiva doesnt even have DAC’s anymore. When I was looking for a DAC for my daughter, before the used DC-1 popped up on here, I seriously contemplated a PT-100. They have the features of a DC-1 plus a vinyl pre amp and radio inbuilt. My son is really happy with his TA-100 which is basically a PT-100 with a 2 channel Class AB amp added, so it would have been a good choice for DAC use. But when a DC-1 pops up you just have to grab it. The Base-X range doesn't get much love on here but they sure as hell provide the good old Emotiva bang for buck. Cheers Gary |
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Post by stefanovitch on Oct 9, 2024 13:16:56 GMT -5
I think many high-end companies do keep themselves up with countertrade business, provisions, and marketing. Third vendor personal offices are hiring technicians to keep the staff and costs low for the shareholders. Investors use buy-out capital out of marketing and countertrades. This can, however, delay insolvency and bankruptcies for a couple of years, and as long as moguls push an interest into it by opening up luxury markets it can exist.
As I would assume bankruptcies are delayed or exempted for some years, but without the real market itself it is likely that one day or another this would no longer be enough and they will close doors.
Keep in mind as long as you have them & private organizations they continue to run on preorder and limited business capacities.
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