MI Retail Conference & Expo
An
event
in association with
International Exhibition for Musical Instruments and Services Shanghai New International Expo Centre, China
mission for music 12 – 15 October 2010
MI Retail Conference & Expo
CONTENTS I CONFERENCE SCHEDULE – 4 I MUSIKMESSE – 6 I AUDIO TECHNICA – 10 I BARNES & MULLINS – 14 I CASIO – 18 I JOHN HORNBY SKEWES – 22 I MARSHALL – 26 I ADAM HALL – 31 I SHOW FLOOR PLAN – 32 I ALLIANZ – 35 I D’ADDARIO UK – 37 I FCN MUSIC– 39 I KAM– 41
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We can work it out WELCOME TO the first MI Retail Conference & Expo in association with Musikmesse. I hope you are as filled with positive anticipation as I am. For us at MI Pro this is an opportunity to manifest the magazine’s role in a physical way; a way that combines business with communication and information with networking. MI Pro has always done this ‘from a distance’ as it were, but now we have the chance to get up close and personal. Encouragingly, as we were putting together this show guide, just about every Event Partner responded with some interesting ponts as to what is best about their businesses and what the industry needs. The importance of there being a human face for dealers to relate to is seen as key. The need for contact and communication between all of us arises again and again as well. Among each of our industry ‘segments’, of course, to maintain a unified identity of the MI trade, but more so between suppliers and retailers generally. It is an old source of contention that has slipped almost carelessly into the realm of cliché, the old ‘us and them’ mentality that breeds suspicion. It might be laughable if it weren’t so sad, but the fact is that it is sad simply because everybody, on both ‘sides’ recognises the truth: talking openly
Everybody on both sides recognises the truth: talking openly and honestly with each other makes life easier for us all.
I LINE 6 – 43 I MEL BAY – 45 I MONACOR– 47 I NATAL – 49 I SONIC DISTRIBUTION – 51 I STRINGS & THINGS – 53 I STUDIOMASTER – 55 I TANGLEWOOD – 57 I TASCAM – 59 I ROLAND – 61 I INTERMUSIC – 62 I ESSENTIAL INFORMATION– 63
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and honestly with each other makes life easier for us all. On the business side, our Event Partners have overwhelmingly said that they have come along in the hope of establishing new customers and cementing relationships with existing ones. No surprises there, of course, but in the context of the after-shocks of the recession, any business is good business. With these issues in mind, we think we have managed to cover all the bases. The ‘human element’ is covered in that we have nearly 200 retailers attending, with 20 manufacturing and supplying Event Partners (as well as one insurer and the mighty Musikmesse) all eager to meet up with them face to face. That covers a lot of the communication aspect, as well, but there is more in that the conference is covering all aspects of the business from statistics and trends to community, taking in two panel sessions along the way. These will be discussing the complex relationships between supplier and dealer from the perspective of how best to do business and the conflicting opinions of the internet in our industry. As for doing business in the current economic climate, the fact that 22 Event Partners and nearly 200 retailers are coming to the event shows that there are a lot of MI businesses out there taking this seriously and being pro-active in finding a path through the minefield. We hope this event can be part of that journey. Andy Barrett
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MI Retail Conference & Expo
Conference content and speakers Central to the MI Retail Conference & Expo is, of course, the conference. Through a mixture of presentations and panel sessions, the aim is to provide a variety of insights and opinions of the current state of the UK’s MI market and trade... 11:00 – Introduction Stuart Dinsey, MI Pro 11:02 – Where We’re At, Where We’re Going Matt Gibbs, GfK 11:20 – Reverberations (Panel Session) What have retailers and suppliers learned from the collapse of Sound Control, Reverb and other recent retail chain crashes? Chair: Andy Barrett, MI Pro Simon Gilson, PMT Noel Sheehan, Sheehan’s Dennis Drumm, JHS & Co Julia Thompson, FCN Music 11:50 – What Has The MIA Ever Done For Us? Paul McManus, MIA 12:10 – Three Men on a Bike Music for All charity ride (Lands End to LMS) Tim Walter, Roland 12:15 – Online Selling: Threat or Opportunity? (Panel Session) Chair: Peter Heath, Roland Katy Watson-Cave, Dolphin David Briggs, Dawsons Harvey Roberts, Audio Technica Paul Marshall, Marshall 12:40 – Thank You For The Music Billy Bragg 13:00 – Lunch
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David Briggs Managing director Dawson’s Music David Briggs’ family has owned the Dawsons Music MI chain for many years and overseen a considerably growth, particularly over the past decade. Now numbering nine outlets, Dawsons Music is one of the longest serving music retailers in the UK, established in 1899 in Warrington. Over many successful years of trading Dawsons has changed many times, in order to reflect the buying trends of the day, while maintaining presentation and customer service as central to the business. Briggs was awarded the MBE for his work with St John’s Ambulance in 2009 and was made Her Majesty’s LordLieutenant for the County of Cheshire in March 2010. Matt Gibbs Account director IT, photo/imaging and musical instruments GfK Retail and Technology UK Matt Gibbs has ten years experience working within the market research industry, including eight at GfK UK. Working across a variety of consumer technology markets, he has experience of working with senior management at leading global retailers, manufacturers and suppliers, and is a regular speaker at international conferences and seminars. Gibbs assists a wide variety of clients using GfK data to make better decisions on sales, marketing, ranging and buying strategy. He holds a degree in rural environmental sciences from the University of Reading and has been awarded the Advanced Certificate in Market and Social Research Practice.
Dennis Drumm Managing director John Hornby Skewes & Co Dennis Drumm started with JHS as a rep in 1980 and has a background as a musician and instrument repairer with experience in the licensed trade, construction, sales and marketing, distribution, FMCG and retail. He sees his task as being to use his experience and skills – and the skills of the JHS team – to grow a company with a diverse product offering. He believes that even in the present market conditions, progress and growth are the achievable goals of determined, well organised companies, and his take is that if JHS runs a controlled, profitable business, provides an honest, ethical, up front proposition to its customers, avoids the classic pitfalls of business, (“history tells us what they are,” he says) and, as Warren Buffet would say, “break our own rules occasionally” it will be here serving its customers into future generations. Julia Thompson Owner/commercial director FCN Music Julia Thompson has worked for FCN Music for the past 15 years. The company has been family-owned over three generations and has a history in the music trade with origins back to the early 1900s. Thompson’s prime interests are in marketing and sales and she currently holds the position of commercial director. She feels strongly that customer service is of prime importance and she has been pivotal in encouraging and training FCN’s close knit team. She has an honours degree in Business Administration from Bath University.
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Noel Sheehan Owner Sheehan’s Music, Leicester Noel Sheehan started trading in Leicester in 1984 as an instrument repair business and over the following years progressively expanded into retail. Until recently the store predominantly focused on acoustic instruments, but now includes electric guitars and amplification, digital and acoustic pianos. He is also one of the founders and the managing director of G7th Ltd, the designer and producer of award winning guitar capos. Simon Gilson Co-owner Professional Music Technology (PMT) Simon Gilson is the ‘S’ of S&T Audio, together with business partner Terry Hope, with whom he owns and runs the UK’s largest rock n roll MI retail chain, the multi-award winning PMT. He lives and breathes musical instrument retail and wouldn’t dream of taking a Saturday off. He leads from the front counter, doing what he does best – bantering with customers and making sure that they get the best possible retail experience in their quest for the best gear at the best possible prices. How does he do it? Why don’t you ask him today? Peter Heath Sales director Roland UK Peter Heath, like many of us, thought his life was going to be as a musician. He toured the UK and Europe before realising there was not to be an acceptable living playing music. Heath spent a total of six years in MI retail, before a 13-year spell in real estate. Returning to MI, he was shocked to find that, in MI retail, working practices, training, career progression and the recognition that music retail was a skilled job seemed not to exist. Heath joined Roland in 1996 as an ASM and worked in product management and became MI sales manager in 2000. In 2007 he launched the newly developed pro audio division and became sales director in 2009.
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Paul Marshall Artist & customer liaison Marshall Amplification After retiring from 16 and a half years in the fire service, Paul Marshall was asked to work for the family business. On joining the company, which he had only previously worked for when he was still at school and used to go to work with his dad during school holidays, he worked on spares and returns, before concentrating on and reorganising the returns for Marshall. In June 2007, he started working in his current role: artist and customer liaison, which means he deals with the vast array of huge names on the Marshall artist roster, as well as with the distributors, the dealers and of course the customers. Paul McManus CEO Music Industries Association Paul McManus is the Chief Executive of the Music Industries Association (MIA) and the industry charity, Music for All. Prior to his time in MI, he spent over 20 years working in the retail sector, chiefly with Marks & Spencer and John Lewis. He is a passionate musician and family man who thoroughly enjoys the cut and thrust of the music industry and the challenge of finding new ways to create more and more music makers. Tim Walter Managing director Roland UK Tim Walter entered the music industry over 20 years ago, starting his own retail business while studying at University. During this time, he supplemented his modest income with regular gigs and musical commissions for radio and TV for the likes of Rowan Atkinson, among others. Walter joined Roland in 1995, working in a variety of roles before becoming MD in January 2010. He still manages to get into the studio occasionally, in between blowing things up in his spare time (as part of an award-winning fireworks business). Walter lives in Wales and he will have a double platinum selling album by the time he’s 45.
Katy Watson-Cave Director, chief of staff Dolphin Music Katy Watson-Cave’s business career has spanned 20 years, primarily in ‘retail in business change’ and operational director positions. The first decade was spent at Boots, which at the time owned the DIY chains Do It All and Fads, as well as Halfords and Boots the Chemist. She then worked in the IT service sector before returning to retail with Marks & Spencer. After moving back to Cheshire, she undertook freelance ‘business change’ roles in smaller retail companies, including Matalan, before joining Jason Tavaria and the Dolphin Music team at the end of 2009. She took on the director, chief of staff position to oversee stabilisation and growth for Dolphin. Harvey Roberts Senior marketing manager Audio-Technica Harvey Roberts has been with AT for four years and has a background in hi tech and IT consumer markets. Roberts spent five years as senior product marketing manager with Psion, where he launched new mobile computing products into global markets. Roberts’ responsibilities at AudioTechnica include UK marketing and developing the product and distribution strategy for Audio-Technica’s consumer business unit on a European level. Billy Bragg With his 1983 debut LP, Life’s a Riot with Spy Vs Spy, Billy Bragg established himself as one of the sharpest singer songwriters of the post punk era. He is one of rock’s most prodigious campaigners. From Red Wedge and the miners strike in the 80s, through to ongoing projects such as Love Music, Hate Racism, Bragg has never been far from the frontline, although realises it takes more than a good tune to change the world. Music can, however, change lives – and that’s the credo behind Jail Guitar Doors, an initiative that seeks to use musical instruments to help rehabilitate prisoners.
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MI Retail Conference & Expo
Tel: 01784 415950 Email: info@uk.messefrankfurt.com musikmesse.com
The Headline Sponsor understands trade events better than anyone, which is why it takes every opportunity to meet new and existing contacts...
“I have no doubt that MI will master the crisis resourcefully.” Cordelia von Gymnich Vice president, Musikmesse
s the world’s leading music trade event, the confirmation of Musikmesse as the Headline Sponsor for the MI Retail Conference & Expo was a ringing endorsement for this debut event. Held annually at Frankfurt’s Messe venue, Musikmesse attracts over 100,000 people every year from all over the world, from manufacturers and retailers, down to eager musicians keen to sample the latest musical breakthroughs and innovations. Next year’s Musikmesse will be held from April 6th to 9th 2011, while the next Music China show in Shanghai will take place from October 12th to 15th 2010.
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interests without difficulty. Musikmesse lasts four days with the first three days being reserved for trade visitors only. On the last day, it opens its doors to private visitors and everyone with an interest in making music. Besides the unique spectrum of products on show and the large proportion of international exhibitors and visitors, Musikmesse is distinguished by a wide variety of concerts, workshops, special presentations and awards ceremonies. It is these events – which number around 1,000 in all – that help make Musikmesse the annual highlight of the MI sector.
For those that might not know, can you describe the structure of the Musikmesse and how it works? With over 1,500 exhibitors, Musikmesse is the world’s biggest trade fair for musical instruments and accessories, sheet music and specialist literature, the music business and DJ equipment. It occupies nine exhibition halls at the Frankfurt Fair and Exhibition Centre, which covers 578,000 sq metres. The Musikmesse exhibition halls are structured by product groups so that visitors can find the most important halls for their special
Musikmesse always involves itself in music education during the fair. Is this something you do throughout the rest of the year, too? The music4kids participatory exhibition took place for the tenth time at this year’s Musikmesse. This was the first time it was held in Hall 6.0 and around 8,000 children aged from four to 12 had the chance to experience music in a playful way and discover how music is created. This involvement also influences the time between fairs because we prepare for music4kids in cooperation with Michael Bradke’s Mobile Music Museum and hold competitions designed to promote music making among young people, such as the School Jam Award, the finale of which is held at the fair. We also support programmes for young people via organisations, such as the Class Music Making Project of the Academy for Music Teaching. How does the MI industry compare to other industries that exhibit at the Frankfurt Messe? (in terms of size, community, attitude, etc) It really is the case that the
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Exhibition Centre changes enormously with each event – not just in relation to the size of the fair or the appearance of the halls but also – and in particular – with regard to the visitors. Automechanika, a trade fair for the automobile sector, attracts a completely different audience to an event such as Hair and Beauty, a fair for hairdressers, or Ambiente, a consumer-goods show. This also applies to events organised by outside companies, such as the Book Fair or the Motor Show (IAA). Every year, Musikmesse transforms the Exhibition Centre into a huge event distinguished by a completely different kind of visitor. In my opinion, musicians are an extremely sociable, outgoing and well-adjusted body of people and the reason for this is probably their common passion for music. How do you see the relationship between supply and retail – and again, how does it compare with other trades? There are very many hybrid forms in this sector – manufacturers that also import, retailers with their own brands, sales channels operating via music academies and so on. Many developments that have already occurred in other sectors are now increasingly evident in the musicalinstrument sector: concentration in the trade, specialisation in niches and the growth of chain stores. Are there any changes planned for next year’s Musikmesse? This year’s Musikmesse was a great success for us and, in particular, for the sector. Naturally, there is always room for improvement and, as every year, we are already in touch with representatives of visitors, exhibitors and the associations to develop new
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ideas for the next Musikmesse. It will take a little time yet, however, before these ideas reach fruition. What are the benefits for retailers in attending Musikmesse? The distinguishing features of Musikmesse as the leading international trade fair for the sector include not only its comprehensive coverage of the market, but also the fact that the most important brand names present their new products for the coming season there and make contact with representatives of the retail trade. Also important is the high level of internationality at the fair. At Musikmesse 2010, more than 1,500 exhibitors from 46 countries welcomed some 79,000 visitors from 119 nations. The whole world of MI gets together at Musikmesse. What would you say to a UK retailer that has never been to a Musikmesse event? I would recommend that he or she spends all four days at the fair – the area to be covered at Musikmesse is vast. The range on show is multifaceted and you need time to make and cultivate contacts. The UK is one of the five top Musikmesse visitor nations and a market of enormous importance for the musical instrument sector. Trade visitors from the UK profit from the fact that the world’s leading trade fair for the sector is held virtually next door. And this is an opportunity that no UK retailer should miss. You are in a good position to see the MI trade from many nations’ perspectives. How does the UK compare to Germany? The retail trade in the UK has suffered greatly from a declining consumer propensity to spend in recent years. This has been aggravated by structural changes. This situation also opens up new opportunities for start-ups with a good concept. In Germany, the market is dominated by relatively few big retail organisations. This degree of concentration has not yet been reached either in the UK or the majority of other European nations. Have you seen any significant
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impact from the global credit crunch and subsequent recession? During the run-up to Musikmesse 2010, there were initial indications that the recession in the musical instrument sector had bottomed out and thus gave good ground for restrained optimism. Domestic sales of Germany’s MI manufacturers fell slightly (four per cent). Moreover, the retail market for musical instruments actually recovered somewhat and registered 3.4 per cent up. 2009 was associated with a dramatic drop in sales for the MI sector as a whole, especially in the export sector. Against this background, we were very pleased that Musikmesse 2010 was able to boast a stable number of exhibitors, coupled with a slight increase of visitors, especially outside Germany. Frankfurt Messe has reported satisfaction with Musikmesse over the past couple of years, despite the economic problems in the world. Do you think MI will pull through the crisis without major problems? More and more brands are organising the sale and distribution of their products themselves. Flagship stores for some top brands are always under evaluation – even if they have been opened only in a small number of cases. Some European manufacturers are looking for new concepts to counter the pressure of costs – or they disappear from the market. On the whole, however, the MI sector is remarkably creative and innovative and so used to reacting flexibly to challenges that I have no doubt it will also master this crisis resourcefully. How and why did you get involved in Music China? With the support of 28 international subsidiaries, five branch offices and 52 sales partners responsible for 150 countries around the world, we give our customers the chance to be a step ahead in a highly globalised and continuously changing market. It is against this backdrop that we have been exporting our established trade fair brands for over 23 years. Musikmesse in Frankfurt is such a
brand and, via Music China, we pave the way for our customers to the highly promising Chinese market. Music China will continue going from success to success as long as the Chinese market continues to grow in significance as a market for both buying and selling musical instruments. What do you see as the most significant changes in the trade in recent years? In my opinion, globalisation is one of the most important influences on the trade. This means that, more than ever before, the trade must work on its image and gather as much information as possible, to identify trends at an early stage and to react accordingly. The process of digitalisation is also having an impact on the trade throughout the world, with regard to communication with customers and suppliers and to the products themselves. I believe, however, that these factors bring about a need for personal contacts, for a direct exchange of ideas and information within the sector and for ‘old fashioned’ values, such as tradition, awareness and good service.
“Globalisation means that the trade must work on its image and gather as much information as possible.”
What are you hoping to achieve at the MI Retail Conference & Expo? As exhibition organisers, we are aware of the significance of the exchange of information. Therefore, we will naturally take advantage of this event to make new contacts and to cultivate existing ones, as well as to find out about the latest developments in the sector.
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MI Retail Conference & Expo
Tel: 0113 277 1441 Email: sales@audio-technica.co.uk audio-technica.com
For five decades the mic giant, Audio-Technica, has provided the music industry with impressive audio equipment and it shows no sign of slowing down... nown for its high-performance microphones, headphones and several other audio equipment categories, Audio-Technica has been synonymous with quality products for almost 50 years. Creating lines for both home and professional use, the Japanese giant has become a brand regularly used in the widest variety of different applications, from the smallest of recording and broadcast studios, right up to massive occasions like the World Cup and the Olympic Games. Add to this live-sound applications and Audio-Technica is a manufacturer. that no-one in the entertainment industries can afford to ignore.
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“The adage of fixing the roof while the sun shines holds true for surviving economic downturn.” Harvey Roberts Senior marketing manager, Audio-Technica
Microphones have become a massproduced, hi-tech product, not unlike white goods and consumer electronics. How do you maintain a ‘standout’ image for AudioTechnica for what is an increasingly homogeneous company? There are two primary ways in which businesses – in any market – can differentiate themselves from the sea of competitors. Firstly, they can emphasise results and deliver on their promises. This is of particular importance in AudioTechnica’s case, given the degree to which customer service is key to our way of doing business. Our customers know that they can rely on both our support and our products and this is an important factor in setting Audio-Technica apart from others in the market.
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Secondly, forward-thinking brands need to continuously enhance their image in the eyes of consumers, which is all about brand communications and positioning. We work very hard to communicate a consistent, understandable message to end users about Audio-Technica; our brand values are reliability, innovative design and excellent value and keeping these as core messages maintains focus throughout the various chains of marketing communications. But I’d actually challenge the idea that microphones are easily categorised as ‘increasingly homogeneous’. There are without doubt more ‘me-too’ products available to consumers today, but the area of business that AudioTechnica is in is driven by innovation. Our long-standing AT4033 studio condenser, for example, was the first high-performing, affordable microphone of its type, and blazed a trail for a whole new market segment on its introduction. And recent additions like the AT4080 and AT4081 ribbon microphones with no fewer than 18 patents pending, were designed from the ground up and involve a significant degree of handbuilding in their construction. How broad would you say your brand’s reach is? It’s very broad – as a result of the different and unique market sectors we operate in. While MI Pro readers will know about our MI microphone ranges (including the 20 and 40 Series studio and Artist and Artist Elite live models), Audio-Technica is also extremely active in the installation and broadcast microphone markets and has a hugely diverse range of consumer headphones, from the noise cancelling ANC series to
its highly respected W5000 hi-fi headphone. In Japan, Audio-Technica is the highest-selling consumer headphone brand, and our decision to start introducing these products to the European market was a considered move to bring the brand to a broader domestic market. In terms of broadcast, Audio-Technica provides all of the microphones for the Summer and Winter Olympic Games and has done for many years. As such, millions of people across the globe enjoy the sounds of worldclass sporting events exclusively through Audio-Technica products. What distinguishes you from your competitors? As mentioned above, AudioTechnica’s award-winning customer service is of crucial importance in this area. We know from customer feedback that we are viewed as a very accessible business and that customers know they can depend on us for technical and sales support. We continually review what we do, from how we service our customers to the products themselves. This is not a cold, calculated business approach. Audio-Technica remains a family-owned business, albeit one with a turnover of $300 million. We are not owned by shareholders and everyone in the business has an interest in ensuring that our lifeblood – our customers – are looked after. It’s a very distinctive zen-like approach and it really shapes everything we do and the character of the company as a whole. Is business up or down on last year? I’m very pleased to say that overall, the European operation is up 14 per cent on last year. Clearly, trading conditions remain very challenging for all of us, whether manufacturing
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or retail, so we’re having to work hard to maintain and increase business activity. But we enjoy very good relationships with our customers and our standing with them has remained strong. Audio-Technica is a very empathetic company and we introduced several new initiatives in 2009, specifically to help customers in their drive to maintain sales to consumers. We extended our lifetime warranty from our 40 Series studio mics to include both Artist and Artist Elite live microphone ranges and introduced the First Impressions trial scheme to allow users to trial microphones free-ofcharge for two weeks before purchasing from a dealer. These schemes involve a high level of resourcing, but they’re evidence of Audio-Technica’s determination to work with its customers in difficult times, and it’s this approach that has led to a welcomed double digit growth. What are your projections for 2010/11? We’re certainly not out of the woods yet, but we’re positive about the year ahead. To have been able to deliver growth in the last 12 months has been very heartening, and that helps instill a company-wide attitude of continuing to work hard while the economic situation slowly improves. What do you see as the most significant changes (if any) in retail in recent years? The impact that the internet has had on the way people shop is without doubt the single biggest change to retail in the last five or ten years. It’s not simply the way in which customers make purchases that has changed, it’s the informationgathering process that has been transformed. Consumers are better informed than ever because of the ease with which information about products and prices can be gleaned from their PC. And with that comes not only challenges for retailers, but also enormous opportunities. If there was one thing you could change in the MI industry, what would it be?
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I’d really like to see more MI retailers grasp the opportunities available in changing the ‘product’ that they offer consumers. I don’t simply mean the hardware that they sell in store, but rather the service that is extended to their customers. Modernising MI retail doesn’t mean investing large amounts. It can be as simple as offering the very best product knowledge and advice on the high street, and delivering that to customers in a way that builds trust and keeps them coming back. Audio-Technica is really no different to a retailer or any other business. We all need to identify ways to effectively fight for a share of the customer’s wallet by standing out from the competition. We do that by focusing on supporting our customers – in part by helping to train knowledgeable staff, which is why we’re launching our Centres Of Excellence scheme, backed up with a training programme this summer. How do you see the relationship between supply and retail? The model for the supply and retail relationship today has to be supportive and co-operational and Audio-Technica places great emphasis on encouraging that kind of interaction with its customers. We believe it’s one of the reasons that we have remained strong over the last two years. I think Audio-Technica is seen as being quite distinctive by its customers; both reliable and accessible, which is the way we feel business should be done. Have you seen any significant impact from the global credit crunch and subsequent recession? Of course, no one has remained immune from the affects of the slowdown in the global economy. We have faced challenges from the fluctuations in the Sterling, Yen and Euro exchange rate, for example, causing us to look very closely at how we manage our business and handle macro-economic factors. Since 2008 there have obviously been a large number of business failures across all industries, but I do think such situations lead to the strong getting stronger while the weak
become weaker. Strong business, by definition, has a view on the long-term and businesses that saw the slowdown on the horizon were able to take action in advance of the crisis taking hold. Audio-Technica, for example, had to look at its pricing and discount structure as a result of the exchange rate changes – not an easy thing to do but it put the company on a sure footing. The adage of ‘fixing the roof while the sun shines’ holds very true here. It does a business no good to simply enjoy periods of growth and wait until the market contracts to address a difficult situation; sensible planning for the future is the only way to survive a recession of the severity of the last two years. When times are hard, consumers are very choosy about who they buy from and what they buy. They continually look for greater value, but that opens up opportunities to do business better, not simply try and compete on price. What are you hoping to achieve at the MI Retail Conference & Expo? The event will be a great opportunity to strengthen existing and develop new relationships with customers, and to be part of an informationsharing knowledge base that will help to shape Audio-Technica’s strategy for MI in the future. We will also be launching our MI Retail Summer School programme and complementing this with the introduction of our Centres of Excellence scheme. We’re focused on supporting customers with tailored staff training across a range of Audio-Technica products. The Summer School programme is open to all retailers and slots will be booked into the diary at the event. These are programmes that have been developed as a result of feedback from customers, so we’re very pleased to be able to unveil the initiatives to them at this event.
“We know from customer feedback that we are viewed as a very accessible business, they know they can depend on us.”
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Centre of Excellence
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AT4080
We’re delivering first class customer service. Are you with us? Be an Audio-Technica Centre of Excellence. Our new customer service initiative is designed to equip you with the tools you need to become power sellers of our products, armed with our award-winning customer service know-how and on going personalised training programs to keep you streets ahead of your competition.
AE5400
Our Centres of Excellence will be split into three categories:
• Studio Microphones • Monitor Headphones • Live Sound Headphones.
Be a Centre of Excellence for just one, or all three.
BP892
It’s time to empower your staff and empower your business. Book your place on the Summer Training course now and take the first step to becoming an Audio-Technica Centre of Excellence. For any questions on the Audio-Technica Centre of Excellence entry requirements please refer to Audio-Technica marketing department on 0113 277 1441 or contact your local Audio-Technica Sales Manager. ATH-M50
For more information visit www.audio-technica.com/coe
MI Retail Summer School AT2020
Knowledge is power, and for retailers, product knowledge can mean more sales. It is difficult to effectively sell to a consumer if we cannot show how a particular product will address a shopper’s needs. Delivering excellent customer service through having knowledgeable sales staff will help sales in the following key ways:
• Strengthens Communication Skills ATM710
• Boosts Enthusiasm • Grows Confidence • Increases average customer spend The MI Retail Summer School Program is open to all retailers, and we are taking bookings NOW so please come and see us at the conference, and discuss what we can do for you. The Summer School will cover the following topics so choose the ones which most suit your business and customer base:
PRO35
• Wireless • Live Sound • Studio Microphones • Audio Basics • Headphones
ATH-M35
The MI Retail Summer School Program is open to all retailers, and we will be booking slots in our diary during the conference, so please come and see us, and discuss what we can do for you. For more information visit www.audio-technica.com/summerschool
MI Retail Conference & Expo
Tel: 01691 652449 Email: sales@bandm.co.uk bandm.co.uk
With a history spanning decades, Barnes & Mullins has attracted huge praise and high regard from all corners of the UK’s musical instrument industry...
“We tend to feel that you can’t run with the hare and the hounds.” Brian Cleary Co-MD, Barnes & Mullins
ith a history that stretches back to 1894, Barnes & Mullins has certainly been around for longer than most. Its long list of brands includes the likes of Yanagisawa, Höfner, Line 6 and Thomastik Infeld. July last year saw the buy-out of the company by current joint managing directors, Bruce Perrin and Brian Cleary, ending two years of uncertainty. The firm establishment of its own brands, such as Faith Guitars, as well as its new ownership, has seen this supplier continue to make significant leaps forward from its days as a banjo specialist. The decision to do business solely with independent retailers is another reason why B&M is held in such high regard.
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You maintain a policy of ‘indies only’ and are very wary of web sales. Can you explain what underlies this
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strategy, when so many are looking to the high-turnover multiple and internet trading? We are not against the non-specialist major chains – we completely understand their place in the market and what they do. I also buy into the argument that they can cater for the first-time buyer market, which our specialist dealers can’t. I, in fact, bought my first guitar from my mother’s Freeman’s catalogue and then spent thousands of pounds in independent music shops in the years thereafter. However, this is not the business we chase. One hundred per cent of our business is with independent music stores so why would we do anything that would upset them? We support them and that means we don’t make our products available to the nonspecialist multiples. It’s quite simply a commercial decision and we tend to feel you can’t easily run with the hare and the hounds.
With regard to web sales, wary is a good description. At the moment, the driving force behind internet selling is price. This can easily mean that the dealer with the biggest overhead, nicest shop in the most accessible location does the demonstrating and stocking of the product and the guy with the lowest overhead in the middle of nowhere or with the biggest buying power gets the sale. Quite simply it is not fair, but there is nothing presently that allows a supplier, such as us, to influence what price our products are sold for online. Ultimately, if a dealer cannot make money selling our products he will sell something else, so we have to be careful as to whom we supply. It really boils down to supporting dealers that support us. Your brands range from entry-level to high-end, from electric guitars to
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woodwind, from general accessories to specialist instruments. How does Barnes & Mullins maintain the different kinds of relationships needed across such a broad retailer network? Musicians are musicians and usually have a healthy respect for each other, even if their area of music is completely different. We try to employ the right people in the right jobs who have a broad understanding of different instruments and styles. The majority of people at Barnes & Mullins are musicians, even our company accountant is a saxophonist, and we hopefully always have someone on the team who can answer a tricky question. What brands do you carry? We are very fortunate to represent some of the biggest international brands exclusively such as Yanagisawa, Rico, Thomastik-Infeld, Admira and many others. Our relationship with Line 6 has been a great success and we also continue to invest in our own brands such as Faith, Brunswick and TGI. What distinguishes Barnes & Mullins from its competitors? The temptation with such a question is to roll out the usual answer of how we put our customers first and give them our full support, but I’m quite sure this is exactly the same answer that any of our competitors would give you. It’s not so much what distinguishes us from our competitors but what we share in common with the best of them. We genuinely care about our business and our customers’ businesses and I believe as a result we have gained their loyalty and trust. Is business up or down on last year for the company? For the first two months of the new financial year, business is down on the same months last year. Having said that, last year was a very successful year for Barnes & Mullins, but there is no doubt we will all have to work harder this year. What are your projections for 2010/11?
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Despite what shall obviously be a challenging year, we are forecasting growth. In difficult times retailers will always turn to tried and tested brands rather than risk capital on the unknown and I believe a great many of our brands have the pedigree to be a safe bet. If turnover is hard to come by, retailers will focus more on margin and that means accessory products and that’s a great deal of what we do. What do you see as the most significant changes in retail in recent years? Of course the internet is the biggest, but the fall of the portable keyboard from a mass market product has also had a dramatic effect. Many retailers opened during the keyboard boom of the ‘80s, but have since had to diversify or disappear. Retailing has never been easy in our industry and as a result I believe we now have the most professional and disciplined selection of music stores that I have seen during my 30 year career in the industry. If there was one thing you could change in the MI industry, what would it be? I would very much like to see retailers promoting live music in their towns and giving new, young bands the opportunity to play. If there are places to play, bands form and therefore buy products. My other dream is to see legislation that would allow brand owners to enforce a minimum advertised pricing policy. I’m sure this would help to drive the customers back into the shops and re-focus the customer on service, presentation and stock. How do you see the relationship between supply and retail? There has been a trend for suppliers to become retailers and retailers to become suppliers. The truth is we need each other and in neither direction is the grass greener on the other side. A good wholesaler allows a good retailer to be able to buy sensibly, without tying up huge capital in stock – this is the wholesaler’s job. A good network of
independent retailers gives a brand a route to market in every corner of the UK, for which there’s no substitute. Have you seen any significant impact from the global credit crunch and subsequent recession? We have been very fortunate and haven’t experienced direct problems with our bank or the like. The most noticeable impact has been on many of our customers who have experienced a marked downturn in business. What are you hoping to achieve at the MI Retail Conference & Expo? We have given a lot of thought to how we can best support our customers this year and have drafted what we have cheekily called our ‘Manifesto’. Quite simply, these are three significant steps we shall take this year for the benefit of our dealers. We shall be launching details of our three month summer special with discount prices, extended credit terms and free warehousing which starts in June. We shall also be amending our carriage charges to accommodate dealers who wish to buy smaller and more often. Most exciting of all is our huge investment in ‘StringGallery’. This is a whole programme of tools that will open up the world of bowed instruments to the general music store and create a new income stream for many. This is one of the most exciting and innovative projects ever undertaken in the orchestral market. We are delighted to see this event take place and believe it is exactly what our industry needs at this time.
MI RETAIL CONFERENCE & EXPO 2010 15
MI Retail Conference & Expo
Tel: 020 8208 7829 Email: jswaine@casio.co.uk casio.co.uk
Casio’s MI division celebrates 30 years in MI this year, but its products still stand out and the firm holds up dealers as the lifeblood of its business... he majority of MI manufacturers remain solely within the industry for the durations of their existence, perhaps venturing into other fields such as audio when they reach a size where expansion is a necessary and worthwhile option. Rarely, however, will you find a corporation that has dominated a different product world enter the MI market and take it by storm. This is precisely what Casio did as it quickly became a global giant in keyboards and, more recently, digital pianos. Helping people discover music through simplicity and technological innovation has got Casio to where it is today – a leader in a hugely important area of the MI market.
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“Over 70 million Casio instruments have been sold in 30 years.” Andy Carvill Divisional manager EMI, Casio
MI is a tiny part of Casio’s global business. How difficult is it to maintain high levels of investment from the ‘mother’ corporation? I have been with Casio for just a year and to date investment into the EMI (Electronic Musical Instruments) division has not been a problem. Yes, music is a small part of the company’s total sales, but over 70 million Casio instruments have been sold since the first keyboard was developed – so it is a substantial business. This will become more apparent as this year develops. 2010 is the 30th anniversary of Casio
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musical instruments and there is major investment taking place on every level including limited edition anniversary products and a raft of marketing activity designed to increase product awareness and drive customers into stores. Selling digital pianos means you are in a market with a single dominant competitor that dwarves the rest. How easy/difficult is it to compete in such a market? Do you feel you are ‘stealing’ market share? Over the past 12 months we do seem to have increased our market
share in the area of the market below £1,000, which is totally our focus. This is a very important part of the market, where many new customers first enter the world of music, through either their first keyboard or digital piano. Of course the market is competitive, but Casio has a fantastic name in the keyboard market and the new Privia and Celviano digital pianos launched last autumn have proved very popular. A major factor in that success has been the professionalism of the Casio dealer network and I would
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like to say a very big ‘thank you’ for their support over the last year. How broad would you say your brand’s reach is? Very broad. As we do focus on the first-time-buyer market, many of our customers are the ‘average family’. It is highly likely they own a Casio product of some type. I do believe the brand is very strong in this market – far stronger than some of the more specialist companies. The good news is we still have an awful lot of potential as many people don’t know that Casio makes serious instruments such as digital pianos. When exposed to the products, people are surprised by the quality and value of the package. What distinguishes you from your competitors? Our USP is the classic Casio combination of high quality products at value for money prices, with the support and back up of a global corporation. A three-year warranty on all digital pianos helps. Is business up or down on last year? Despite what seems to have been a difficult year in the market, business is up – again thanks to our dealers.
changed. These days most brands’ products are good – I would happily put our product against any others in the market. A digital piano sounds like a piano and it is becoming increasingly difficult to appreciate the difference between brands in terms of sound and touch. Reliance on a single manufacturer is becoming less important and this is what many dealers now understand. The strength of any brand’s overall package is now more important. If there were one thing you could change in the MI industry, what would it be? Apart from my salary (upwards of course) it would have to be the industry’s level of national marketing. The MI business is very small compared to most markets, but the general quality of all musical instruments is fantastic. It would be great to take that message to the 95 per cent of people who have no awareness of our market and the range of products available. How do you see the relationship between supply and retail? Absolutely vital. Both parties are
travelling down the same road and are reliant on each other. Suppliers cannot retail and vice versa, so a strong, mutually profitable relationship is the only way forward. Have you seen any significant impact from the global recession? There are obvious impacts that we can all read about in MI Pro every month and the loss of retailers is not healthy for the overall market. In the long run it will make the remaining retailers stronger, so there is a balance to the situation. As mentioned before, I believe the market isn’t easy and the same can be said for many markets outside MI. The financial situation has and will contribute to the challenge of maintaining profitable business for suppliers and retailers alike.
“The relationship between supply and retail is vital. We are all travelling down the same road.”
What are you hoping to achieve at the MI Retail Conference & Expo? First it is good that the industry has the opportunity to get together and exchange ideas. From a Casio perspective, we hope to meet and present the Casio products and sales package plus the 30th anniversary plans to both current and potential new dealers.
What are your projections for 2010/11? Projections are never easy, but what I know is during this year Casio EMI will be more high profile than for many years. The 30th anniversary will see Casio instruments exposed to a far wider range of the general public, with a particular focus on the average family customer. Do I think this year will be easy? Well, they haven’t been for the last 20, so I don’t think this will be any different. What do you see as the most significant changes in retail in recent years? I think there have been many changes in retail and it is still changing fast. You mentioned earlier a single dominant competitor and I think I know who you are talking about. One of the reasons for this dominance was the obvious sound quality advantage of that company’s products. Over the years, this has
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MI RETAIL CONFERENCE & EXPO 2010 19
MI Retail Conference & Expo
Tel: 0113 286 5381 Email: webinfo@jhs.co.uk jhs.co.uk
Whether guitars, brass, woodwind or percussion are your thing, John Hornby Skewes & Co is a core supplier, offering a plethora of brands to choose from... t might not hold the prestigious title of the UK’s oldest or biggest supplier, but John Hornby Skewes undoubtedly holds an enviable status in the upper echelons of the supplier hierarchy, and rightly so. Known mostly for dealing with the Vintage, Fret-King and Encore brands, JHS also carries big names in brass, woodwind and percussion and has a reputation for being the core supplier to a huge number of stores worldwide. Run by people who are as passionate about MI as the retailers and end users it supplies, it’s no wonder that this company has reached the heights it has.
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“The chain from producer to consumer is in place for a good reason.” Dennis Drumm Managing director, JHS
Your company has built a dealer network second to none in the UK, but you remain very forwardlooking in your development of routes to market. How do you balance your Indie versus multiple/internet strategy? By adopting transparent, level playing field pricing policies, which make all of our merchandise available to sellers in every sector at prices that allow fair competition. You have put a lot of weight on marketing your guitar brands recently. Where does this leave your other, non rock n roll brands? Our ‘non rock n roll brands’ are of equal importance to us as the guitar brands, as indeed they are to our customers. Orchestral brands like Odyssey brasswind and Antoni orchestral stringed instruments are staples for hundreds of dealers. Our percussion brands (Performance Percussion, Regal Tip, Drum Tech and Rhythm Tech) all achieve significant sales to both the hobbyist and professional.
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I guess you can include classical guitars, sound reinforcement and the SpongeBob range. Classical guitars have been a fundamental part of our business for the entire life of the company and with Manuel Rodríguez we have a 25-year relationship offering what is arguably the best and highest profile classical guitar brand in the world. Our own Santos Martinez line complements this perfectly, offering the usual terrific JHS proposition of price, value, quality and dealer margin. Our sound reinforcement business is a substantial part of our overall activity, with world class brands like HK Audio, Allen & Heath, Lab Gruppen and LA Audio providing a one-stop-shop for an important market sector. Our activity in the JHS pro audio division has planned growth and an acquisition strategy, which will see more complementary brands increasing our offer. I mentioned SpongeBob, and I believe I said in the recent MI Pro article, we’ve never had so much fun with any product we’ve ever sold.
Rhythm Tech, SpongeBob Squarepants, Dunlop, Fishman, Manuel Rodriguez, Kustom, Hornby and many more. These are available at dealerships, and via all our customers – ‘off dealership’.
Where do you see Fret-King, Vintage and Encore in five years? Fret-King, Vintage and Encore are all world brands, sold in the UK and Eire through over 500 dealerships. Internationally the brands are sold in over 60 markets. The brands function as a trio, offering more than any other brand does at their respective price points, and with this important part of the brand message fully recognised, all three ranges will continue to be developed.
Is business up or down on last year? The beginnings of fiscal 2010/2011 have illustrated just how challenging the market is, in all sectors, and maybe signpost the trends for the months ahead. As a company we plan for growth, work to the plan and at the moment we’re being successful in most parts of said plan. Whether we’re up or down we won’t know until March 31st 2011.
What brands do you carry? Our most popular brands are FretKing, Vintage, Encore, Santos Martinez, Eagle Mountain, Kinsman, Guitar Tech, GYC, Antoni, Odyssey,
What distinguishes you from your competitors? We are a family run company, with a very corporate business ethic and a very human face. The founder and proprietor, John Skewes, is still very much ‘in the chair’. The team, from the directors down, is totally focused upon delivering great service, well designed and built products, excellent promotion and advertising and high dealer margins. We care about our customers – their financial well-being, their futures, their businesses, all because without our them, we don’t have a business. I see far too much commercial imperialism, where companies convince themselves they can do no wrong, interact with their customers in a very prescriptive manner, and rely on muscle to pursue their goals.
What are your projections for 2010/11? The UK and Ireland is the sixth or seventh largest consumer economy in the world, with a market of over 65 million people and some of the highest per capita incomes in the
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world. It is the seedbed of rock n roll and the home of some of the world’s greatest orchestra and players. Possibly the cake may shrink along the way, but the underlying fundamentals are still strong. Unless the big meteor arrives, or we have a 2012 scenario, business will be done by those equipped to do it, and even in a challenging trading environment, those equipped to do so will grow. What do you see as the most significant changes in retail in recent years? In common with goods in all categories, value in product is immense today, with even the least expensive goods in any category being better than the best of 30 years ago. This is terrific for the consumer, and for the industry, especially at the starter end where newbies get a great instrument to start on and thus progress. Over the decades, this has led to a massive increase in the take up of playing musical instruments of all sorts, which benefits the industry. Commercially, national distribution is now a breeze, with excellent logistics, communications are almost instantaneous, the routes to market are more diverse and there is a plethora of choice in goods and suppliers. Honestly, however, from a 35year perspective, with the exception of the internet and all the noise it creates, so much is the same because the issues, possibilities and likely outcomes of running a business don’t change. If there was one thing you could change in the MI industry, what would it be? Can I be brutal? I’d like just a little more pragmatism and realism. There are thousands of great stores in the UK and Ireland. No
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distributor can ever provide 100 per cent satisfaction to all its customers, all the time. Yet often it seems that’s what’s expected. Now, I don’t mind striving for perfection and JHS does, but it’d be nice sometimes if there was just a bit more reciprocation. I love what I do and I care very deeply about our relationships with our customers, but even though I don’t mind swallowing humble pie if we foul up, which we do, it’d be refreshing to see a move towards living up to the realistic expectations of distributors. I guess you want a comment on the dreaded ‘discounting’ too. Well, our take is that we offer a level playing field, totally transparent pricing, offers that are available to all, great terms, good settlements and wonderful opportunities to bring extra margin to our customers with occasions like the JHS Event. In a free competitive market, governed by clear law and regulation on free competition, it’s the function of the market to set consumer prices, but I do sometimes wonder why so many resellers put so little focus on adding value, and persist with strategies which drive their margins down, so often to levels which will not even fund the replacement value of the goods offered. How do you see the relationship between supply and retail? Healthy, essential, fundamental. As the proprietor of several significant brands, our job is to create the demand, and provide the goods for our resellers to channel to the consumer for our mutual benefit. It’s interesting the way that some distributors have become retailers, and so many retailers have become distributors, but I don’t subscribe to the likely outcome being a totally integrated vertical structure. The overall distribution chain, from producer to consumer, is in place for a very good reason, and in
our still very niche, specialised industry, the participants in the chain who continue to add value will always have a place. The brand with a great story, communicated coherently to the consumer, the reseller with strong USPs and the ability to provide a great service, the high volume box shifter, the jobber, the one-manband, the multiple branch specialist, all have a place in the market. A clear goal – focused approach, with a strong business plan, and a professional attitude, at whatever point a business is at in the chain, is what will produce success. Have you seen any significant impact from the global credit crunch and subsequent recession? Of course: supply side price rises, uncomfortable exchange rate swings, increases in taxation, oversupply and reduction in demand, businesses in distress and default, bad debt, lengthening credit lines generally, and an atmosphere of caution. Nothing we haven’t seen before.
“The team is totally focused upon delivering great service, well designed and built products, excellent promotion and advertising, and high dealer margins.”
What are you hoping to achieve at the MI Retail Conference and Expo? A chance to bring to the attention of dealers, who may not yet be taking full advantage of all JHS has to offer, the many ways in which we can bring additional benefits to all resellers. We look forward to meeting new and existing customers at the conference.
MI RETAIL CONFERENCE & EXPO 2010 23
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The one-stop • Over 4,200 products • 65+ World leading brands • Competitive pricing • High profit margins • Extensive stock holding • Fast delivery • JHS brands sold in 60 countries
The UK’s #1
, founded in 1965 John Hornby Skewes & Co. Ltd., has grown over the years to become the largest family-owned independent musical merchandise distributor. Substantial growth with loyal staff and a sound customer base has seen JHS become a leader in worldwide distribution of musical merchandise, instrument amplification and pro-audio equipment. Key to our continuing success is maintaining a well developed stable of brands; in fact the 2010 JHS catalogue range contains over 4200 products under some 65+ brand names. A strong team of twelve Area Sales Managers strive to service every UK and Eire outlet with a need for musical instruments, Pro Audio equipment and associated Accessories. In addition a dedicated Export department services a customer base covering over 60 different countries worldwide. Our efforts to purchase and provide saleable and profitable products have been successful, but we also thank our customer’s for their ongoing support to help make this possible. Being a financially stable company enables us to carry massive stocks to quickly meet Dealer demand. Those visiting our annual JHS EVENT are well aware of the amazing pricing and deferred interest free terms available. We will continue to support our customers and industry by participating in regional and national exhibitions, in addition, our product Clinician continues to work with our stocking main dealers. Our generous marketing budget will continue to provide massive advertising support in industry consumer magazines, and ensure ‘GEAR’ magazine reaches tens of thousands of established and potential new consumers. As a leading Musical Instrument Vendor, and after 45 years, JHS specialise in service, price, quality, and supply of, in demand, profitable merchandise.
JHS – helping your business grow.
shop for all your needs! pp
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The UK’s #1 Supplier
See us at the MI Retail Conference & Expo.
MI Retail Conference & Expo
Tel: 01908 375411 Email: sales@marshallamps.com marshallamps.com
With a legacy of endless hard work producing quality products and an extremely loyal customer base, it’s no wonder that Marshall is the world’s best amp manufacturer....
“With the right products and best dealer network in the world, Marshall continues to go from strength to strength.” Jon Ellery Managing director, Marshall
sk anybody, even someone with the most limited knowledge of music, to name an amp company and the chances are they’ll say Marshall. Based in Bletchley, Buckinghamshire, this manufacturer has been an exporting giant for decades and has allowed some of the world’s most iconic artists to make themselves heard. A company capable of making business deals such as the recent Natal purchase clearly deserves to be considered a real MI superpower.
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Being the single most recognisable amp brand in the world, how do you maintain the drive to hold on to
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the number-one slot? Is it easier to steal market share or maintain it? There are a lot of new amp brands coming onto the market – some will survive, others will not. When you’re number one you have to be prepared for people to snap at your heels, but, as they say, imitation is the best form of flattery. We have an excellent team working for us, probably one of the best in our history, and everyone has a passion for the brand. The team has over 1,500 years of combined experience in amp design and manufacture. Rest assured that at Marshall, we will continue to develop products that meet our customers’ needs and expectations.
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You recently shocked the world by buying Natal and promising big investment in that brand. Could you foresee buying another brand in the future? If so, what would be your criteria? And wat sort of product might it be? I suppose it was a shock, but as most people are aware, Jim Marshall began his career as a drummer, so for us Natal was a very logical fit, particularly when you compare its heritage with Marshall’s. We are as committed to the Natal brand as we are to Marshall and will be introducing a number of exciting new products in the near future, manufacturing some of those products in Bletchley, which is great for everybody at Marshall and confirms our commitment to UK manufacturing. As to whether we might consider buying another brand in the future, what I would say is that we are always open to opportunity and should something come along that we feel suits our criteria, then anything could be possible. Never say never. How broad would you say your brand’s reach is? I would say that Marshall is one of the most recognised brand names in the industry and throughout the world. It has over 48 years of history and a very loyal customer base that is never taken for granted. It is about developing long-term relationships. We’re regularly amazed at the response we get to the brand, the iconic Marshall logo is instantly recognisable around the world (we distribute to 89 countries) and we’ve been awarded ‘iconic’ and ‘cool’ brand status here in the UK. We know from our travels globally that recognition of the brand continues to grow. We have people from all over the world visiting the company to take a factory tour and they are always stunned to see exactly what we mean when we say a product is ‘made in England’. What distinguishes Marshall from its competitors? At Marshall, we like to maintain family values in our relationships
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with our customers – anyone can contact us or visit the factory and every letter and email is answered. We take great pride in the fact that we still have a strong R&D and manufacturing plant in England and that today, as was the case 48 years ago, we still make products by hand. Quality is always our main focus and every amplifier built in our Bletchley factory is tested at every single stage and, of course, we must not forget the Marshall tone that so many of our competitors attempt to emulate. Is business up or down on last year? Business for us is stable, which pleases me considering the current economic climate. What are your projections for 2010/11? I expect business in 2010 to remain stable and believe we will see things start to improve in 2011. With the right products and the best distribution and dealer network in the world, Marshall will continue to go from strength to strength. We have our 50th Anniversary to look forward to in 2012 and then the next 50 years to plan for – it’s an enviable position to be in.
develop the schools programme and offer the tools to nurture new talent. I think the music industry attracts people with a passion for music, whose other work-related skills are almost secondary – which makes for a great environment that enables you to work with like-minded individuals to achieve great success and it can still be fun. What is to change? How do you see the relationship between supply and retail? In my opinion it is vital to have a good, open working relationship with our distribution and dealer network, we like to get constant feedback. By working together we can ensure that our product is right and the needs of the customer are fulfilled.
What do you see as the most significant changes in retail in recent years? In my opinion, it’s the rapid growth of web-based resellers and how they have impacted so strongly on the bricks and mortar stores. Strong forward thinking dealers have adapted to the ever-changing markets and will continue to survive and grow.
Have you seen any significant impacts from the global credit crunch and subsequent recession? Yes, we have seen some impact – in some countries more than others. However, the feedback I am receiving is far more positive. It is my feeling that we are at the bottom of the credit crunch and it is up to all those involved to start talking things up, so that we can once again promote a more positive feel within the industry.
If there was one thing you could change in the MI industry, what would it be? I would not say change, but more enhance and develop – and that would be to make music available to everyone. So much enjoyment can be gained through music and we must continually strive to make it more accessible to everyone. I believe passionately that we need to
What are you hoping to achieve at the MI Retail Conference & Expo? It is another opportunity to interface with the dealer network on a different level, to see how the industry is developing and to discuss what challenges face the MI industry in the coming year.
MI RETAIL CONFERENCE & EXPO 2010 27
“The JMD:1 is truly a thrill to play onstage. With this amp I don’t have one killer Marshall tone, I have them all.” Allison Robertson – The Donnas
JMD100
M412A
JMD50
M412B
JMD501
JMD102
JMD Footcontroller
The JMD:1 is quite simply one of the most comprehensive and sophisticated amplifiers Marshall has created to date. Combining state-of-the-art digital pre-amp technology, studio quality FX and sheer EL34 valve power, the JMD:1 is the total stand alone solution to any guitarist's requirements.
Valve Power Amp: Stage-ready EL34 valve design delivering those classic Marshall tones without compromise. Cutting Edge Digital Pre-Amp: 16 fully programmable historic and new Marshall pre-amp topologies designed using patented Natural Harmonic Technology™. 9 Programmable Effects & FX Loop: Studio quality custom designed Modulation, Delay and Reverb. Series/Parallel FX Loop with programmable mix control. Gate: Ultra fast noise reduction expander provides natural sustain and very fast decays for staccato rhythms and short pauses. Live, Studio and Practice: Headphones, Line In, Pre-Amp Out, Emulated Out and Silent Recording Mode. MIDI In / Thru: Integrate into your MIDI set-up and store and recall 128 presets. Programmable Footcontroller Included: Assign any front panel switch or store and recall 28 presets.
Musikmesse International Press Award
Best Guitar Amp Head 2010
For more information about the JMD:1 Series and other Marshall products contact: Marshall Amplification Denbigh Road, Bletchley, Milton Keynes, MK1 1DQ www.marshallamps.com Photo by Alison Krick
NO AUDIO PHILISTINE The DAVEG2SERIES next generation portable PA powerhouse, set to challenge the industry Goliaths. With powerful sound and clearly defined mid & high frequencies, the DAVEG2SERIES will provide the perfect portable sound experience. The compact system features:
s Variable patented speaker stand receptacle s Transport bag and castor board available s Lockable Volex power plug s Output clip-limiter
Don’t be an audio Philistine, catapult your audio output to greater heights. To find your nearest dealer, call us on 01702 613922.
WWW.LD-SYSTEMS.COM LD Systems is part of the Adam Hall Group
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Tel: 01702 613922 Email: mail@adamhall.co.uk adamhall.com
As MI retail sees the need for more diversity, companies such as Adam Hall, with nearly 40 years experience, are proving excellent sources of income... pecialising mainly in audio, Adam Hall is the exclusive UK distributor for brands such as Eminence, Palmer and, more recently, Audac. With its central offices and warehouse in Germany and its UK headquarters based in Southend, the company, which has been in business since 1976, is another MI and audio crossover company to join the likes of Tascam, Monacor and Studiomaster at the MI Retail Conference & Expo. Adam Hall is also the supplier for a number of its own manufactured brands, including selections of flight cases, music stands and a massive collection of pro audio targeted hardware accessories. This versatility means there are more than likely to be products from the Adam Hall stable that appeal to the vast majority of MI retailers in this most profitable of MIrelevant arenas.
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“I’d like to see the demise of the bedroom traders that offer no service or support.” Andrew Richardson General manager, Adam Hall
What brands do you carry? We carry our own brand of flightcase hardware, LD Systems, LD Premium, Eminence Speakers, Palmer Audio Tools, Defender Cable Crossovers, Audac and our own Adam Hall range of cables and stands. What distinguishes you from your competitors? Adam Hall has added some significant new brands to its portfolio of products in recent years and has now become a one-stop shop for all retailers’ audio requirements, large or small. Is business up or down on last year? Business is up on last year, mainly due to the success of the Dave systems of portable PA. What are your projections for 2010/11? Projections are good for the forthcoming year, aided by the country’s gradual emergence from the recession. What do you see as the most significant changes in retail in recent years? The most significant change is the adoption of Internet trading and consumers tending to shop around for every purchase. If there was one thing you could change in the MI industry, what would it be? There are many great companies which have excellent, proven longevity within MI. These companies offer tremendous support, advice and service to their respective customer bases in the most professional way. I would like to see the demise of all the so-called ‘bedroom dealers’
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which offer none of this and make the market even harder for those who have spent their lives working positively in this fantastic industry. How do you see the relationship between supply and retail? Our own relationship is good, but communication on all levels is crucial and can always be improved. Have you seen any significant impact from the global credit crunch and subsequent recession? We have seen several companies go under and it seems that many companies have cut back on staff. This has resulted in an additional workload for the remaining staff. This, of course, has a knock-on effect on both efficiency and communication and, in turn, makes trading even more difficult. What are you hoping to achieve at the MI Retail Conference & Expo? We are hoping that our existing relationships will be cemented and that we will have a great opportunity to establish new relationships with new retail customers.
MI RETAIL CONFERENCE & EXPO 2010 31
MI Retail Conference & Expo
Floor Plan
32 MI RETAIL CONFERENCE & EXPO 2010
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STAND NUMBERS Adam Hall Audio Technica Allianz Barnes & Mulllins Casio Daddario FCN Intermusic JHS Kam Line 6 Marshall Mel Bay Monacor Musikmesse Natal Roland Sonic Distribution Strings & Things Studiomaster Tanglewood Tascam
G5 P6 G2 P7 P5 G11 G9 G17 P3 G17 G15 P4 P1 G10 P2 G1 Foyer P8 G4 G3 G12 G14
MI Retail Conference & Expo
An
event
in association with
www.mi-pro.co.uk
MI RETAIL CONFERENCE & EXPO 2010 33
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MI Retail Conference & Expo
in associa on with
Tel: 0800 316 4583 Email: Tom.hodges@allianz.co.uk allianz.co.uk
Whether looking at your business, your studio or your instrument collection, at home or on the road, Allianz Musical Instruments has got it covered... ith nearly all of the Event Partners being either manufacturers or distributors, Allianz Musical Insurance represents an often forgotten area of importance for dealers and musicians. Instruments are expensive and while insurance might not seem a necessity, those who have had their prized possessions damaged or stolen will tell you that back up is essential. Allianz offers something a bit different from the rest.
W “This is a fantastic chance to build relationships with MI retailers.” Tom Hodges Allianz Retail – AMI
What made you decide to enter the world of MI? Musical instruments are unique and whether they’re being played, transported between venues or stored at home, we believe they require specialist insurance cover. We’ve been insuring musical instruments for over 30 years, providing musicians with comprehensive cover tailored to their specific needs. Have you found that people are more reluctant to insure their instruments in these times when money is tighter? We have actually found that when money is tight, such as last year, people are a lot more aware of the importance of protecting their instruments because if something happens to them they can’t afford to pay for a replacement. Insurance provides them with this peace of mind and financial security. Is business up or down on last year? Despite last year’s recession we were again able to post another strong year, growing both sales and customer base. We did this by implementing new marketing initiatives and strengthening our relationship with retailers.
www.mi-pro.co.uk
What are your projections for 2010/11? We are building on last year and we have already seen strong results. This year we will be launching a number of new tools to build closer relationships with retailers, including an extranet site. The site will allow retailers to order display stock and post an advert, so customers searching for a nearby retailer will find the closest to them. How would you compare musical instrument insurance with other areas covered by Allianz? At Allianz Musical Insurance we are a specialist team dedicated to the MI industry. As part of one of the largest insurance companies in the world, we benefit from shared best practice and industry knowledge right across the company. Having these resources has helped us accumulate the experience and expertise to continue delivering the best policies and services to this market. What attracted you to this event, considering you are the only partner not from the supply side? The MI Retail Conference & Expo is a fantastic chance for us to build relationships with MI retailers.
As the only insurance brand, we can bring a different aspect to the event and we feel that we have a strong proposition for retailers, one that can generate additional income with minimal effort. Have you seen any significant impact from the global credit crunch and subsequent recession? While we’ve managed to come out relatively unscathed from these events, some of our retail partners have had a difficult time, making the revenue generated from our musical insurance policies even more valuable. We’re as keen as everyone else to see the economy recover, so instrument sales can increase, which brings obvious benefits to the whole MI industry. What are you hoping to achieve at the MI Retail Conference & Expo? We’re looking to build long-term relationships with as many MI partners as possible. We will also be using it as an opportunity to learn even more about what is happening in the industry and see if there are ways we could be working even closer with retailers. So if you’re interested in talking to us please come and visit us at our stand.
MI RETAIL CONFERENCE & EXPO 2010 35
MEASURE
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PROFITS OUR ACCESSORIES Dâ&#x20AC;&#x2122;ADDARIO UK CAN HELP YOU MAXIMISE YOUR ACCESSORY SALES.
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MI Retail Conference & Expo
in associa on with
Tel: 0191 300 3000 Email: mail@daddario.co.uk daddario.co.uk
Despite D’Addario being a world leader, D’Addario UK is the new kid on the block; reason enough to go through some of the firm’s guiding principles... aving only entered the UK market in January this year, D’Addario UK represents the world’s leading distributor of musical accessories. Guitar strings, drumheads and many unique products from brands such as Planet Waves, Evans, HQ and D’Addario itself makes the US manufacturer unique. With further lines being introduced regularly, the future certainly looks very bright for the supplier and its brands.
H “The big guys can fail and the small guys can prosper.” Simon Turnbull Managing director, D’Addario UK
What brands do you carry? D’Addario fretted and bowed strings, Planet Waves accessories, Evans drumheads, Puresound percussion and HQ percussion What distinguishes you from your competitors? We set this company up with customer service at the centre. Admittedly this is an easy thing to say, but we have invested a great deal in our operating systems. We aim to all but eliminate back orders and provide an automated and mostly paperless order process that informs our customers of the status of their order every step of the way. Our inventory control system is such that we typically have more than 98 per cent stock availability and 99.9 per cent order picking accuracy. We measure these key performance indicators daily. Simple things like carrying sufficient stock and shipping quickly and accurately are important to us. Our job is to support the D’Addario brands through our marketing efforts to the consumer, and dealer support by way of merchandising, training and displays. Projections for 2010/11? That we continue to grow, to expand our product offering and marketing
www.mi-pro.co.uk
support and improve our service levels as we grow. We have more order processing improvements in the pipeline and a B2B ordering website. We will launch an online training service with rewards programme and expand our ‘String Wall’ merchandising programme. What do you see as the most significant changes (if any) in retail in recent years? The realisation that the big guys can fail and the small guys can prosper when they focus on their strengths. If there were one thing you could change in the MI industry, what would it be? Not so much change, but I’d like to see expanded emphasis on education and the long-term benefits that investment here brings. Whether that’s a dealer forming links with local educators, a supplier supporting schools or teacher sponsorship, it’s important to build links between product and teaching. How do you see the relationship between supply and retail? Again, it’s an easy thing to say, but the more communication between us the better. Suppliers need to understand what retailers want and
need to run successful businesses. Whether marketing or merchandising support, product training or feedback from retailers about what works at dealer level, we shouldn’t be frightened to share information. Have you seen any significant impact from the global credit crunch and subsequent recession? We’re too young to really tell. What are you hoping to achieve at the MI Retail Conference & Expo? We’re not going with order pads. We will share some data we have on the gross margin return on investment provided by accessories compared to big ticket items. When analysed in the cold light of day, accessories turn faster, and provide higher margins per square foot than any other product category, especially during a recession. Effective product displays and merchandising help provide an unbeatable profit centre for dealers. We also want to encourage dealers to experiment with selfservice – bringing small goods out from behind the counter where customers can touch, feel and buy more accessories. We want them to consider the benefits before mentioning the word ‘shrinkage’.
MI RETAIL CONFERENCE & EXPO 2010 37
MI Retail Conference & Expo
in associa on with
Tel: 01892 603733 Email: sales@fcnmusic.co.uk fcnmusic.co.uk
FCN Music is one of those suppliers that covers pretty much every aspect of MI and knows exactly what the dealer wants – it’s the secret of its success... CN Music is the distributor of a variety of musical instrument brands in the UK and Ireland. This year, it celebrates 35 years since the merging of two companies that had been running since the beginning of the 20th Century. As well as being known for distributing successful brands such as Dixon drums, it has a number of firsts to its name, including bringing Japanese guitars and recorders to the UK. Most recently, FCN has added Mi-Si acoustic pickups to its catalogue.
F
“We have to assume that retailers will be managing their buying very astutely.” Julia Thompson Commercial director, FCN Music
www.mi-pro.co.uk
What brands do you carry? FCN Music is a general distributor and we carry scores of brands that include Aulos, J Michael, Kent, Lorenzo, Mi-Si, LR Baggs, Artec, GHS, Rocktron, Snarling Dogs, Sho-All, Dixon, Lee Oskar, Tombo, K&M, Walden, Hawthorne, TKL, D’Andrea, Tycoon, Fzone, Carlo Giordano, Wittner, Dorfler, Hidersine, Clarke, Vienna World, Helin, EXE, Drumbeat, Orion, Pellwood, Cympad, Wuhan, Calypso, Attack, Shubb, and Kyser. What distinguishes you from your competitors? At FCN Music, we have a very friendly and helpful team and we are recognised as ‘investors in people’. We pride ourselves on providing high quality, reliable and knowledgeable service to our customers. We have been in the music business for many years and our long history means we can source the best value, high-quality products. We try to facilitate all customers with an easy return system, excellent trading terms, a clear, wellillustrated catalogue and a fully maintained, informative website. We have an excellent range of educational lines and we market a broad range of products for general, as well as rock n roll music shops.
Is business up or down on last year? We managed to achieve our budgeted targets last year, which was a great achievement in difficult trading conditions. What are your projections for 2010/11? More of the same. With the economic climate still uncertain, disposable incomes are predicted to fall, so we have to assume that our customers – the retailers – will be managing their buying very astutely. We are committed to offering the best possible deals to the trade. What do you see as the most significant changes in retail in recent years? The loss of bricks and mortar music shops and the emergence of the internet. The consequent competition for business has driven prices down. If there was one thing you could change in the MI industry, what would it be? Bigger margins throughout to facilitate more professional trading.
How do you see the relationship between supply and retail? We source the best quality products at value for money prices so that retailers can sell our products with confidence. We support the products with marketing and we also offer credit to retailers to help them carry many FCN lines in store. Have you seen any significant impact from the global credit crunch and subsequent recession? Yes, of course, it has made us very alert to market changes, including huge movements in currency. It also means new products have to be carefully assessed, to ensure they will be a worthwhile investment. What are you hoping to achieve at the MI Retail Conference & Expo? It will be a chance to meet many customers at one venue. We are looking forward to chatting (informally) to people, finding out what we do right and getting feedback on what retailers want from FCN Music in the future. We hope to see many old friends and meet some new ones, too.
MI RETAIL CONFERENCE & EXPO 2010 39
MI Retail Conference & Expo
in associa on with
Tel: 01582 690600 Email: info@kam.co.uk kam.co.uk
Kam sees itself as a crucial component in live music sets and believes that dealers can find a lot of new ideas for their business in the Kam catalogue... ith most of the brands on show at this event specialising in instruments or accessories, Kam represents a nice anomaly to this trend. Its selection of primarily lighting and audio products might mean it prefers to deal in lines that blend into the stage background, but this doesn’t mean Kam is going to behave like its products. The Dunstable-based manufacturer fills a clever niche of products that can be overlooked, but is crucial in creating any live music scenario.
W “We are constantly evolving to adapt to the marketplace.” Gerry Frost Managing director, Kam
How broad would you say your brand’s reach is? The Kam brand is global. We have a full UK sales force and office support. In the last three years Kam has concentrated on establishing itself in the world marketplace and to this end has increased the number of staff specialising in and dedicated to international sales. Kam offers world class quality products, many of which have won awards from major trade publications. All of this is supported and backed up by a strong marketing campaign. Kam is now sold and distributed in over 40 countries on six continents and is still growing. Kam is in the process of setting up distribution in the USA and Canada. What distinguishes Kam from its competitors? Kam has an extremely broad range of products that provides a complete solution for MI retailers looking to expand into areas that they perhaps haven’t looked into before. For example, our award winning LED Parbar, which has been our most
www.mi-pro.co.uk
successful product in the past year, was specifically designed for band stage lighting. This produces new and profitable revenue streams for MI retailers that can work extremely well for everyone. Kam is not a specific instrument manufacturer, it sees itself as supplying the backup that complements the MI side of the market. Is business up or down on last year? Due to our relatively recent expansion into the MI side of the industry and our increasing worldwide presence, our business is up on recent years. However, we are constantly evolving to adapt to the current marketplace. What are your projections for 2010/11? Due to the recent general election, it’s hard to predict how exactly the economy is going to behave. Our main focus for the next year is to expand further into the MI market with our high quality and affordable range of products. What do you see as the most significant changes in retail in recent years? Online video reviews and product demos are significant. These two combined force us as manufacturers to improve our game. If you could, what would you change in the MI industry? As Kam has a strong export presence, we are aware of the cross fertilisation of the MI, sound and light industries in other countries. We hope that UK retailers will open up to profitable business for instore and online sales in these wider areas and feel Kam is best placed to help them realise this potential.
How do you see the relationship between supply and retail? Kam and Lamba have always been run as professional businesses, but also as family companies. We don’t feel the traditional relationship between supply and retail has to be the only route. We have friendly relationships with our customers and we work hard to maintain that. We are continuing to support our retailers by providing marketing tools such as press releases, in-store promotions, email marketing, website adverts, social networking and video virals/demos. We see the relationship as something that should be mutually beneficial – not onesided in favour of the manufacturer. Have you seen any significant impacts from the recession? We have seen our manufacturing costs increase significantly in the last year, but we have had to work on reduced margins in order for our products to remain competitive. What are you hoping to achieve at the MI Retail Conference & Expo? We feel it will be an exciting opportunity to meet key retailers in the industry, listen to their needs and ideas, then work out new strategies that will benefit both parties.
MI RETAIL CONFERENCE & EXPO 2010 41
Digital wireless is better. And Line 6 XD-V digital wireless microphone systems are exceptional. Each one delivers unmatched wireless performance, simplicity, and sound on every stage around the world â&#x20AC;&#x201C; license free. Our 4th-generation digital technology makes sure of it. You can put your faith in ancient analog technology, or you can simply choose digital.
XD-V Digital Wireless Systems
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MI Retail Conference & Expo
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Tel: 01327 302700 Email: pcorbould@line6.com line6.com
The company that brought us modelling technology has now moved into the world of digital wireless. There has never been a better time to talk to Line 6... elivering a wide spectrum of guitar related products, Line 6 provides various effects and amp ranges, right through to digital modelling guitars, based on emulations from some of the world’s biggest manufacturers. Since its formation in 1996, Line 6 has launched the first ever digital modelling unit and has developed an unparalleled reputation since it released its first modelling amp line. Today, with wireless systems, software and recording devices also available, Line 6 offers a huge variety of gadgetry to tempt musicians of all styles and preferences. Line 6 will be bringing its contemporary approach to the MI Retail Conference & Expo, having launched unique products such as the MIDI Mobilizer, an accessory for iPhone, as well as all manner of other innovative releases.
company, Line 6 is able to apply its expertise and knowledge to other product categories. In 2010, we shall be taking our brand name and technology into the wireless microphone market, opening up the name of Line 6 to a whole new customer, broadening the brand recognition further within the MI world.
How broad would you say your brand’s reach is? Line 6 has firmly established itself in the world of guitarists since the introduction of the Pod in 1998, which has become an industry standard. We have consistently brought new and innovative products to the market, making classic amp and effect tones easily accessible and affordable to the guitarist. As a leading technology
What are your projections for 2010? England to win the World Cup.
D “Consumers today are more astute and educated on products.” James Owens Sales director, Line 6
www.mi-pro.co.uk
What distinguishes you from your competitors? Our commitment to research and development, investment in new technologies and customer research ensures that we consistently bring aspirational and affordable products to market. Having pioneered digital modelling, today most major amplifier brands manufacture a range featuring some form of digital modelling. However, Line 6 continues to lead the way.
What do you see as the most significant changes in retail in recent years? Consumer demands and purchasing habits. Consumers today are more astute and educated on products long before the point of purchase. Their opportunity to gather product knowledge is much more immediate and their choice of retailer, be it from home or the High Street, is much greater than it used to be. Retailers have had to change how they deal with consumers to meet an increasingly demanding market.
How do you see the relationship between supply and retail? The relationship has had to become a more symbiotic partnership for the reasons listed previously. We see the value of working with retailers and helping sell through in their stores rather than just delivering boxes. This in turn leads to a combined focus on the ever-demanding consumer and their needs, based around product, availability, promotion and value for money. What are you hoping to achieve at the MI Retail Conference & Expo? This is a great opportunity to present our new products to a large number of our customers in a relatively short space of time and gauge their feedback on our new ground breaking products. These are the James Tyler Variax guitar (transformational guitar technology and 25 state-of-the-art models) and Workbench. Then there are the XD Digital wireless mic systems, offering excellent wireless performance and simplicity and our Digital Channel Lock technology, a digital transmission that governs against AF interference. The XD-V70 and XD-V30 systems include a handheld cardioid microphone transmitter. The XD-V70L and V30L include a beltpack transmitter and professional miniature condenser lavalier microphone. Both systems offer 12 channels and a 100-metre range.
MI RETAIL CONFERENCE & EXPO 2010 43
Mel Bay MUSIC,
LTD.
Excellence in Music
UK Freephone: 0800 432 0486 e-mail salesuk@melbay.com
MI Retail Conference & Expo
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Tel: 020 8214 1222 Email: salesUK@melbay.com melbay.com
The impact that Mel Bay Music’s UK branch has had on the British market has been meteoric to say the least. Now the company is expanding its reach... earning to play an instrument is a process that takes many years of dedicated practice and there are few that have reached real heights without using some form of sheet music or written tuition. For over 60 years, one of the undeniable leaders in providing this service has been Mel Bay, which offers a dizzying selection of material, ranging from teaching the basics right through to mastering the playing styles of some of the world’s top musicians. Best known for its Modern Guitar Method, Mel Bay is also strong in traditional instruments, including banjos, mandolins and harmonicas.
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“We will be expanding our third party distributed catalogues and employing more staff.” Chris Statham Managing director, Mel Bay Music Ltd
How broad would you say your brand’s reach is? Mel Bay is a globally recognised brand and has been widely known since Mr Mel Bay began writing guitar methods in 1947. His method books grew in popularity worldwide and laid the foundation for most of today's guitar pedagogy. It is difficult to find a guitarist in the world who has not, at some point, studied one of Bay's method books. Sales of the Modern Guitar Method series are well in excess of 20 million copies. Mel Bay has established the structure for modern guitar education and by so doing we have laid the foundation for the continued growth and advancement of the instrument. What distinguishes you from your competitors? Mel Bay Music Limited has always prided itself on being the driving force in music education and instruction and now we offer our full range of music books, CDs, DVDs, deluxe pocketbooks and manuscripts for the keen musician.
www.mi-pro.co.uk
With artists such as Tommy Emmanuel, Stephane Grappelli, Rodney Branigan, Oscar Herrero, Paco De Lucia and Jorge Cardosa we can offer introductory, intermediate and professional levels of tuition. From the cajon to the bodhran, the banjo to the sitar, the Jew’s harp to the dobro, Mel Bay Music has an vast range of instruments covered in sheet music and DVD footage. It is much more than just guitar tuition. We offer competitive retail prices and boast over 4,000 lines. We also distribute the Walton’s and Mallys catalogues and are the exclusive distributor of AMA Verlag Musik, AMPD & Sasha Music (Australia) and recently we acquired the RGB Arte Visual catalogue. We are also very pleased to announce the Voggnenreiter catalogue, too.
new markets, expanding our third party distributed lines and catalogues, as well as employing more staff. What do you see as the most significant changes in retail in recent years? The computerisation of stock control and the ways in which the consumers or end users now shop. If there was one thing you could change in the MI industry, what would it be? The trading hours at the Frankfurt Musikmesse are too long and it should be made compulsory for everyone to attend the NAMM Show in January, as California’s winter sun is good for the soul.
Is business up or down on last year? Business is up by around 26 per cent compared with 2009.
Have you seen any significant impact from the global credit crunch and subsequent recession? No
What are your projections for 2010/11? We will be continuing our expansion into undeveloped territories and
What are you hoping to achieve at the MI Retail Conference & Expo? Hoping to find new business, but also nurture existing relationships.
MI RETAIL CONFERENCE & EXPO 2010 45
MI Retail Conference & Expo
in associa on with
Tel: 01908 217100 Email: info@monacor.co.uk monacor.co.uk
A crucial player in the audio industry. Monacor has begun making serious inroads into the UK’s MI trade, combining German quality and global value... ince being formed in 1964, Monacor has become a major force in several markets, including PA technology, stage and DJ equipment and car audio set-ups. The Monacor story began in Bremen, Germany and has gone on to see the firm established as a global manufacturer. Few European technology companies can match its range of products and still enjoy a reputation as a successful MI company, which is just one of the reasons why Monacor has developed the reputation it has.
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“I would like to see the ‘loyalty’ aspect reappearing in the industry.” Neil Clayton Sales & marketing manager, Monacor
How broad would you say your brand’s reach is? With three different own-name brands (Monacor, IMG Stageline and Car Power) we manage to find ourselves in a wide range of uniquely different markets. Each brand, therefore, has a different reach, with the Monacor brand proving popular with business to business and the IMG Stageline brand operating very successfully within the end-user, consumer market. What distinguishes you from your competitors? Monacor has always made every effort to bring a huge choice of quality products to the market at affordable prices. Being a German company, the emphasis on quality and value for money has always been our number one priority. We believe that we have something for everyone, offering the best possible quality for every budget.
www.mi-pro.co.uk
This is what we believe distinguishes us from our competitors. Is business up or down on last year? Neither to be honest, business is about on par with last year, which, considering this year’s financial crisis, means that we have to be pleased with the way things are going overall. I think having such a diverse range of products has allowed us to balance drops in certain areas with gains in others. What are your projections for 2010/11? As the markets hopefully start to stabilise and consumer confidence starts to build again, we hope to continue with our growth strategy. The one thing we all learned from this last year is that nothing can be taken for granted and everyone is a lot more careful with how and where they spend their money. Being a fairly unknown brand, and offering high quality products at a reasonable price, this is something we hope will help us grow further in the UK marketplace. What do you see as the most significant changes in retail in recent years? The power of the web has obviously continued to grow year on year, with more and more price comparison tools appearing, making it easier for the end-user to find the so called ‘best deal’. This has seen the force of the consumer causing margins to be squeezed for both retailers and suppliers alike. This is an area where the retailers and suppliers need to devlop their relationships and work together to sustain an acceptable margin for all.
If there was one thing you could change in the MI industry, what would it be? I would like to see the ‘loyalty’ aspect reappearing in the industry. This applies to both suppliers and retailers. It seems nowadays that there is very little loyalty left in the industry and this is a sad truth of modern times. How do you see the relationship between supply and retail? As mentioned above, the relationship between supply and retail seems to have become stretched, with increased competition requiring suppliers to look for more dealers. This in turn results in dealers having to squeeze margins, which ultimately drives down the price. I believe we have to work closer together in order to maintain a fair marketplace for all. Have you seen any significant impact from the global credit crunch and subsequent recession? There is no doubt that our industry has been hit hard by the credit crunch, along with other industries. For us, however, it has opened up many people’s eyes, who are now looking for genuine value for money products. This has meant more and more companies looking at alternative products, which has helped Monacor grow, despite the relative downturn in our industry. What are you hoping to achieve at the MI Retail Conference & Expo? For us, it’s all about making people aware of who we are and what we can offer. With over 5,000 products in our range, we believe we can offer a genuine, affordable, quality alternative, which allows dealers to maintain a healthy profit. We really do have something for everybody.
MI RETAIL CONFERENCE & EXPO 2010 47
Hand Made to be Hand Played Natal's Classic Series revisits the original fibreglass designs that made the company hugely popular in the '60s and '70s. Legendary groups such as Santana, The Rolling Stones and Led Zeppelin could regularly be seen on stage using Natal percussion, favoured for their superior volume, unique style and great sound. So faithful is the process of re-creating the Tumbas, Congas, Quintos and Bongos of the Classic series that it even involves using the original shell moulds â&#x20AC;&#x201C; now that's authenticity for you.
For more information about the Classic Series and other Natal products visit www.nataldrums.com
MI Retail Conference & Expo
in associa on with
Tel: 01908 272605 Email: cglover@marshallamps.com nataldrums.com
British percussion brand Natal has been the hot topic of conversation within the music industry recently, Marshall quite rightly indulges in some tub thumping... ne of the major talking points since Musikmesse has been the purchase of the British percussion brand Natal by Marshall. The benefits of this alliance for Natal cannot be overstated, due to the sheer power and experience that the amp giant possesses. With new products already being released and with updates to its lines currently ongoing, Natal has got straight down to business of elevating its status as a global brand. This percussion specialist has been around a lot longer than most realise and until now, was not able to fulfill its potential due to financial restraints. It’s still early days, but there is a great deal of optimism emanating from all concerned with the brand, and with the way things are looking, there are certainly reasons to be.
integrated into Marshall’s company structure but with additional drum specialist staff. Natal has access to Marshall’s manufacturing facility in the UK. We have already confirmed that Natal will increase manufacture in this country and this would not be possible without this integration.
How big do you think the challenge will be to establish Natal as a global brand? I think it’s fairly safe to say that Marshall has quite good experience in creating global branding. This, coupled with the fact that Natal is already a much-respected brand, albeit smaller than Marshall of course – at the moment, gives us a huge advantage. The response from Marshall’s distributors and UK retailers has been extremely positive. The press has also really seen the potential for this unique opportunity.
What distinguishes you from your competitors? Natal has many advantages over its competitors. Some we have already mentioned – such as the UK production facility, a brand name respected for its quality for over 40 years and long established partnerships with manufacturers, such as our Thailand factory, who will continue to make Natal products such as the Spirit series. Natal Spirit is already a very well established conga and bongo range in UK drum stores.
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“We see continued growth for Natal – due to worldwide sales increases with Marhall’s distributor network.” Craig Glover Global sales & marketing manager, Natal
How long do you think it will be before Natal is effectively a standalone brand – ie not relying on Marshall investment? Natal is a standalone brand. I guess what you are asking is how long before Natal makes a profit? Natal production and marketing is
www.mi-pro.co.uk
How broad would you say the brand’s reach is? Currently, sales are concentrated on Natal’s core business of Afro Cuban and hand percussion. October will see the launch of our range of snare drums with a focus on our UK assembled American Ash stave shell snares – which of course are a natural progression for a company that has made stave shell congas for nearly 20 years. There are many other products in development at the moment, too.
Is business up or down on last year for the brand? With the new structure in place, Natal sales will be way higher than they were last year. What are your projections for 2010/11? There is no doubt that the world market has suffered with the global
financial crisis, however we see continued growth for Natal – partly due to worldwide sales increases with Marshall’s distributor network and a higher advertising profile. What do you see as the most significant changes in retail in recent years? Retail has ‘grown up’ a lot in the recent years, it has had to. I think we are still seeing a state of flux with retailers, though, but this will continue for some time yet. If there was one thing you could change in the MI industry, what would it be? Stopping aggressive discounting. The US has MAP, which is a controversial subject, but in theory does help to maintain dealer margins. How do you see the relationship between supply and retail? This relationship is critical and both Natal and Marshall are active in working and supporting our retailers. What are you hoping to achieve at the MI Retail Conference & Expo? The conference is a perfect opportunity to meet retailers who are already working with Natal, to strengthen our joint co-operation and also to keep them up to date with the huge increases in Natal sales that we will now be able to create with them. Also, we will be available to discuss possibilities with new dealers as well.
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in associa on with
Tel: 0845 500 2500 Email: ian@sonic-distribu on.com sonic-distribu on.com
In the short time Sonic has been operating, it has established itself as a force in mic manufacturing and scooped the best names in the studio product market... s distributor for several market leading brands in both the high-end and general MI markets, Sonic Distribution has an impressive range of products. With a headquarters located in Hitchin, Hertfordshire, this supplier is finding itself in the ascendancy, despite the recent financial turmoil.
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“Our job doesn’t stop when the product leaves the warehouse.” James Young Managing director, Sonic Distribution
www.mi-pro.co.uk
What brands do you carry? Apogee, Waves, sE Electronics and Rupert Neve Designs. What distinguishes you from your contributors? We are a very focused distributor, supplying solutions for all hi tech recording applications from four of the number one brands in the industry in each sector. sE is the UK’s biggest selling condenser mic brand, Waves is the top selling software plugin line in the world, Apogee is the world’s leading converter brand, and Rupert Neve is directly associated with the founding of the recording industry. What is unique, aside from the prestige of the brands we carry, is that they traverse both the ultra high-end sector and MI. Thus we have market-leading brands, coupled with best selling MI products such as the sE Reflexion Filter, the Apogee Duet and Waves Native power pack. No other distributor can offer such a range of high-tech best sellers combined with a high level of service. Our demo facilities for training bear this out, with a bespoke Andy Munro designed recording studio, capable of seating 30 people – the centerpiece of our HQ.
Is business up or down on last year? Our business is up just over 20 per cent on 2009, despite an obviously ailing retail sector. We put this down to a combination of factors: 1. When the recession began at the tail end of 2008, when other competitors reduced spending on advertising and sales support, we were aggressively expanding and increasing our brand visibility. 2. sE Electronics is a flagship line in the MI sector and has been the number one selling brand in the UK now for several years. 3. Apogee released the GiO and the One in 2009, which in addition to the growing sales of the Duet and the Ensemble have ensured this brand has also bucked the downward trend of the market. Today there are few areas in which retailers can be positive they’ll increase their sales and do good business; we are one of the few that can make this happen. What are your projections for 2010/11? We’ll continue to expand the sE line with five new products in the MI sector and the addition of three new sE Rupert Neve high-end products later this year. We expect a further increase of 20 per cent in 2010/11 What do you see as the most significant changes in retail in recent years? Retailers that specialise in hi tech or which have added this to an already existing MI portfolio are more professional in the way they present these products to market. Store displays, staff training and product knowledge are significantly better than they were ten years ago. Customers are hugely reliant on good technical advice to make a considered purchase.
If there were one thing you could change in the MI industry, what would it be? Lowest common denominator selling practice. There are still those that believe the only way they can compete is to be the cheapest and this forces other dealers, which provide much needed support, to work on lower margins than are comfortable. With retail generally depressed, the irony is that at a time when margin becomes even more important for the survival of small businesses, it is often the smaller retailers that believe they have to cut prices to survive. Due to the high level of support we offer our dealers, this factor is greatly reduced. How do you see the relationship between supply and retail? We’ve worked for years to focus as much energy as possible on our retail partners and we have a reputation for helping retailers sell our products rather than us selling to them. This is key in any long-term relationship. Every branch we supply in the UK gets seen by us at least once in six weeks. Our job doesn’t stop when the product leaves the warehouse.
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in associa on with
Tel: 01273 440442 Email: strings@stringsandthings.co.uk stringsandthings.co.uk
A stalwart of the UK scene for over 30 years now, Strings & Things has based its business on top notch products – and forging meaningful relationships... prime example of doing exactly what its name suggests, Strings & Things is a distributor of strings… and things. Things being all kinds of accessories, stands and other items that make up a crucial area of a retailer’s stocking needs. On top of that, of course, is the famous Music Man brand of guitars and basses, which has recently been fortified by the introduction of the Sterling range of Music Man licensed instruments. Add a touch of Dunlop effects and LR Baggs transducers and you have an MI powerhouse.
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“Dealers that survive do so with an even greater focus on the bottom line.” Nick Clubb Strings & Things
What brands do you carry? We are the exclusive UK distributor for Ernie Ball strings and accessories, Musicman instruments, Sterling by Musicman instruments, Hercules stands, Kirlin cables, Carol microphones and XCG stands. We have our own manufacturing facility in Wales, producing extensive ranges of strings, straps and other accessories for the Ambassador, Concertiste, Granite, Guitarman, Innovation, Klondyke, Monopole, and Picato brands. We also distribute Jim Dunlop (incl MXR, Way Huge and Herco), D’Addario strings, Elixir and LR Baggs. What distinguishes you from your competitors? Our staff, excellent stock holding, next-day delivery, flexible returns procedures and an accounts team that works with customers, particularly in this economic climate. We have an extensive range of products and strive to provide dealers with a one-stop shop that allows them to make a healthy margin.
www.mi-pro.co.uk
Is business up or down on last year? Up. What are your projections for 2010/11? In addition to the continued growth of our existing brands, we are working on new products at our manufacturing facility and are also venturing into new areas of the MI industry. What do you see as the most significant changes in retail in recent years? The internet and the subsequent need for retailers to balance e-commerce with their bricks and mortar sales. They must make the customer’s buying experience pleasurable and worthwhile. Anyone can buy any product online. For retailers, getting a customer through their door to make a purchase and then getting them to return for future purchases remains one of their key goals. If there was one thing you could change in the MI industry, what would it be? Trashing prices as there is only one winner. All products have a value and desperate selling can de-value a quality product overnight. In many instances, the product and related price points never recover. Many dealers then walk away from stocking the item as it is financially non-viable for them. How do you see the relationship between supply and retail? Pretty healthy in most instances. Dealers come in all shapes and sizes with varying requirements. Some
operate highly complex inventory management systems, while others are more manual. Either way, we as a distributor need to accommodate them all. IT is a massive driving force in this business, like so many others and we recognise this. However, we will not become some soulless, faceless entity at the end of a mouse click and will always retain the human element. Have you seen any significant impact from the global credit crunch and subsequent recession? The loss of many dealers has been tough to witness. We have worked relentlessly with many of these dealers trying to help them, but inevitably many have ceased trading. Those that remain do so with an even greater focus on bottom line profits. That focus naturally manifests itself as a challenge for us to achieve the best possible price structures and terms. It can be an extremely difficult thing to administer, especially when we are facing tougher payment regimes from our suppliers, increased logistics costs and highly unstable foreign exchange rates. What are you hoping to achieve at the MI Retail Conference & Expo? Make some new friends, meet some old ones and find out what makes them tick. We need to understand fully what our dealers’ needs and expectations are and consequently, what their customers’ needs are. As a distributor, we cannot be complacent. We have to protect what we have and develop what we do not.
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in associa on with
Tel: 01525 217111 Email: enquiries@studiomaster.com studiomaster.com
Now under new ownership, Studiomaster continues its mission to be the one-stop shop for all things audio, for both the end user and the retailer... riginally formed in 1976 by a group of guys disappointed with the choice of highpowered amps in the UK, Studiomaster now provides products in a variety of audio related areas, including mixing consoles, installation and several amplification categories. Having not long ago gone into new ownership, Studiomaster is using the MI Retail Conference & Expo to re-establish its position in the MI market and develop new relationships with the plethora of dealers present.
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“We need to stop discounting for discount’s sake.” Callum Talbot UK sales manager, Studiomaster
How broad would you say your brand’s reach is? We believe that we cover most aspects of the working everyday musician for live sound, studio and installation. In the coming months, we also hope to reach out and cover more price points with products for all levels of end user, from the beginner to the professional. We are constantly looking for ways to improve and reach out without diluting the quality of our products. What distinguishes you from your competitors? The personal touch. We have excellent,
knowledgeable and polite staff that are able to help any customer. We also offer next day, free delivery on any order – no minimum is needed. The quality of our products is very good and when there is a problem we achieve, I believe, a fast turnaround on repairs. People are now getting comfortable with the fact that we are here to stay, particularly with Soundking supporting us. Is business up or down on last year? Business is up on last year, but it is a slow, steady growth. We do not expect to be pulling up trees, but we are confident in our ability to keep expanding at a reasonable rate. We now have three commissioned agents working for us, which has allowed us to reach customers that previously we were unable to get to. What are your projections for 2010/11? Projections are to keep a steady ship and ride the very rough waters that we as a country will be sailing into in the coming months. We have a raft of new products in the pipeline, which will take Studiomaster to another level and back to where we believe the brand should be. What do you see as the most significant changes in retail in recent years? Discounting and the internet. Okay, that’s two changes. We need to stop the stupid act of discounting for discount’s sake.
We are supposed to be in business to make profit. I can’t tell you what price to sell the goods at, but I should be able to make it difficult for those who are not singing from the same hymn sheet. Okay, the forum is open – please step up and get on the soap box. How do you see the relationship between supply and retail? The relationship between the supplier and retailer seems to be getting more fragmented. We both need each other, but when you read the comments from retailers and distributors, (on the MI Pro website) on the cases such as Sound Control and Reverb, you can see there is a growing resentment between the two. Both sides have to work together and tackle the problems. I hope that is where Studiomaster wins, as we try to support the dealer whenever and however we can. Have you seen any significant impact from the global credit crunch and subsequent recession? Definitely. We are seeing retailers struggle and it’s not getting any easier, but those who choose to fight are looking at their past and realising that they have to change the way they have worked and choose new directions for the business. We have to be pro-active and start looking at different ways to approach the future. Our industry is going to have to change in order to survive and grow, which means thinking outside the box on what we thought was the way to do business. What are you hoping to achieve at the MI Retail Conference & Expo? To meet forward thinking retailers with an eye on what is going on and a plan of attack – and a new iPod.
www.mi-pro.co.uk
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Tel: 01937 841122 Email: info@tanglewoodguitars.co.uk tanglewoodguitars.co.uk
Despite only being a young company in the acoustic sector, Tanglewood Guitars has quickly become a leading brand, and one not to forget its retailers... s the UK’s best selling acoustic brand, Tanglewood has certainly done well to achieve this status having been around for less than twenty years. Tanglewood’s mission statement is to produce products that blend traditional design with modern methods, as well as offering huge support to independent retailers. With hundreds of instruments available from this brand in several differing styles, sounds and price points, there seems to be a whole host of reasons why Tanglewood is top of its market.
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“We position ourselves as a friend to the independent retailer.” Tony Flatt Tanglewood Guitars
How broad would you say your brand’s reach is? We aim to offer customers a comprehensive selection of stringed instruments at competitive prices. From a £1,500 Masterdesign electroacoustic by Sanden, through to a £29.95 ukulele outfit, we try to cater for all genres and offer superior choice and profit opportunities. With over 300 instruments in the general line-up, Tanglewood is usually the first port of call for most successful retailers and we’re very proud to be in that position. Most dealers are amazed that we now offer over 60 models of lefthanded instruments in all the popular shapes and styles, and have an enviable 90 per cent in-stock ratio. Having more niche instruments in our product portfolio than most of our peers carry as an entire collection emphasises the direction and motivation we have in continuing to be Britain’s bestselling acoustic guitar brand long into the future. What distinguishes Tanglewood from its competitors? We aim to always operate with integrity and humility, and recognise and remember that the support and
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sales of the English, Scottish, Welsh and Irish dealers made Tanglewood Guitars the global brand it is today. Therefore, we must always act responsibly and carefully, focusing on maintaining the infrastructure and profitability of our loyal domestic customer base. Is business up or down on last year? Although we are lucky that our business is up and continues to increase year-on-year, we know it is an expansion through market share gains rather than the volume of sales across the MI market, driven by retailers replacing less profitable brands with more profitable lines in a battle for survival. What are your projections for 2010/11? We would say that through 2010/11, there will be major pressure on manufacturers’ pricing, as raw material suppliers scramble to keep figures up despite drops in volume, which inevitably will put pressure on pricing to the customer. Currency disadvantages to importers are growing and the combination of these factors as a net effect will undoubtedly be noticeable in retail prices over the next 18 months. As an industry, the most professional and creative of supplier companies will work together with their retailer base to get through every test the economy presents. Those who don’t adapt or don’t respond probably won’t be on the 2012 MI census. What do you see as the most significant changes in retail in recent years? We despair that the internet has been seen as a legitimate platform to sell across historic territories and
regional boundaries, to the detriment of traditional showrooms, professional MI retailers and genuine salesmanship and endeavor. If you could, what would you change in the MI industry? Encourage dealers to view internet and ebay as efficient and powerful marketing and information tools, not as replacements for the time served and constantly marginalised retail salespeople, who provide such a worthwhile service in their local MI community. We would like to still be serving a network of MI retail stores in the UK in 50 years time. How do you see the relationship between supply and retail? Tanglewood Guitars was built through the loyalty and hard work of the UK and Irish dealers, we never forget that and will always maintain that legacy. Have you seen any significant impacts from the recession? We see our retailer friends hurting every day and try our best to create new opportunities for them to make money. It’s that simple. What are you hoping to achieve at the MI Retail Conference & Expo? We position ourselves as a friend to the independent retailer and if there is a single business attending which isn’t aware of how we could enhance store profitability and we have the opportunity to show what we do and what we stand for as a company, then it will be seen as a great success.
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in associa on with
Tel: 08451 302511 Email: info@tascam.co.uk tascam-europe.com
When it comes to home recording, the first name on everyone’s lips is Tascam, but the company’s products go an awful lot further afield than that... ascam has been creating products for high-end audio pros right down to creative beginners for over three decades. Representing the music and audio division of the mighty Japanese Teac corporation, Tascam has become renowned for its ability to provide quality gear to a huge range of audio enthusiasts, as well as its reputation for introducing a number of technological ‘firsts’. Tascam was the first to bring affordable but quality recording equipment to the general market in the shape of the famous Portastudio and continues to innovate today. Most big MI manufacturers are award winners, but having an Oscar to its name is prestigious indeed. Tascam’s MMR-8 digital audio dubber was used in the Lord of the Rings trilogy and this works as an example of how wide the company’s scope really is. With a new range of portable recorders available, Tascam is ensuring its reputation is maintained in as many areas as possible.
T “Targets were achieved last year, in the main due to MI.” Tony Gravel Division manager, Tascam
How broad would you say your brand’s reach is? With a foot in MI, pro audio and contractor markets, we have a wide portfolio of products servicing musicians, broadcast TV and radio operators, installation companies and medical services. What distinguishes you from your competitors? Tascam quietly and professionally gets on with what it’s done for over 30 years – supplying innovative, well-built products. Possessing brand respectability and a high profile, we’re capable of developing and implementing products underpinned by a culture of high performance and continuous improvement. Is business up or down on last year? Absolutely flat. Targets for last year were achieved, in the main due to MI, and a raft of new products released during the year. Pro audio and installation was soft and continues to be a challenge as budgets are cut and ‘mend and make do’ is the order of the day. What are your projections for 2010/11? Realistic forecasts in current market conditions are essential for investors and staff if we are to ride out the times we find ourselves in. Our head office has strategic goals and the subsidiaries are performing to the best of their abilities and expect accordingly.
www.mi-pro.co.uk
What do you see as the most significant changes in retail in recent years? Online retail has led to a review of business opportunities by almost all our retail partners. It’s not just the key players that have benefited from this commercial shift, but savvy independents are also complementing income streams from local catchment. If there was one thing you could change in the MI industry, what would it be? In an ideal world, the introduction of MAP, a minimum advertised price policy that aims to alleviate brand degradation, protect stocking dealers from unfair competition and ensure that everyone has the opportunity to make money. How do you see the relationship between supply and retail? We’re committed to delivering on our customer service and technology driven supply, moving forward into more financially robust times. It’s a two-way street, of course, and I believe most retailers appreciate supply organisation and operational procedures and the challenging route to market demands that technology is promising. Have you seen any significant impact from the global recession? It has put a spotlight on operational procedures and costs and has meant an entirely different approach to day-to-day function, resulting in fresh fiscal thinking and an inevitably increased workload. What are you hoping to achieve at the MI Retail Conference & Expo? Networking and capitalising on face-to-face contact and uncovering growth opportunities.
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seriously hot musical instruments
ď ˛ www.roland.co.uk
MI Retail Conference & Expo
in associa on with
Tel: 01792 702701 Email: sales@roland.co.uk roland.co.uk
Roland has built its reputation on innovation and thinking outside the box. When times get tough, it’s worth keeping an eye on what Roland is up to... s sponsors of the inaugural MI Retail Conference & Expo After Show Party, Roland UK will be responsible for more than a few sore heads the morning after. As one of the major MI heavyweights, Roland needs no real introduction, offering everything from V-drums to organs and everything in between.
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“Music retail seems to have one foot in the bricks and mortar model and one in the online space.” Peter Heath Sales director, Roland UK
How broad would you say your brand’s reach is? Broad. Roland Corporation is approaching its 40th anniversary and over the years has diversified into many areas of the music industry. The core Roland brand is obviously the most well known, spanning most musical areas. The Boss brand caters to guitarists, Atelier for organists and Rodgers deals with commercial organ installations. Cakewalk by Roland develops a range of hardware and software for computer-based musicians and we’re also active in the pro audio and pro video sectors, which kind of completes the circle. What distinguishes you from your competitors? Most obviously the products we make. We’re not in a commodity market where the products are broadly similar – these are musical instruments that inspire people to achieve their musical ambitions. There’s a remarkable heritage at Roland – there are a handful of brands that can truly claim to have made a significant cultural impact in music and we’re proud that Roland is among them. The next would be our people. There’s definitely a ‘Roland’ person who wants to contribute to the company culture. We’re not afraid to try
www.mi-pro.co.uk
things either – Roland Planets, piano concessions business, Planet X and Foresta stores all arose from our tendency to experiment. Is business up or down on last year? Business is down compared to last year – it hasn’t been easy and doesn’t look like becoming easier any time soon. What are your projections for 2010/11? None of us are out of the woods yet, but we’ve got ambitious plans for 2010 and beyond. With more products scheduled for this year and a really strong line-up for NAMM 2011, early signs are encouraging. What do you see as the most significant changes in retail in recent years? Music retail seems to have one foot in the ‘bricks and mortar’ model and one foot in the online space. There are products that do well online, while others need to be demo’d in store by trained staff. The internet isn’t going anywhere and people will become more comfortable buying online, so those who don’t embrace it, risk losing customers. We should listen to our customers and accept that many buy online. The standard of marketing on dealer websites is vital here.
If there was one thing you could change in the MI industry, what would it be? Ideally, there would be a fair and level playing field for online and offline sales within Europe. It would be great to get the balance right. How do you see the relationship between supply and retail? The traditional balance between supplier and retailer is changing – it feels like there’s better mutual understanding and more flexibility. Have you seen any significant impact from the global credit crunch and subsequent recession? Exchange rates have caused headaches and the recession has impacted the UK industry, as Sound Control and Reverb will testify. Music is part of the leisure industry – we sell products that people don’t ultimately need in the way that you need food, clothes or a fridge. It means we have to work harder and make every conversation count, from answering phones at HQ to those on the frontline in the stores. What are you hoping to achieve at the MI Retail Conference & Expo? Simple: meet with our retail partners, network with like-minded people, share ideas and have a bloody good party in the evening.
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Tel: 01202 696963 Email: info@intermusic.com intermusic.com
It is the only acoustic piano supplier at the MI Retail Conference & Expo, but there is a lot more for dealers to take advantage of from Intermusic... tarting off as solely an acoustic piano distributor back in 1986, Intermusic became a leader in this field before it branched out into other areas of MI in 1992. Based in Poole, Dorset, Intermusic now deals with various other instruments including brass, woodwind and guitars and was an MIA award winner in the Best Supplier category in 2007. As well as providing OEM offers to dealers, which gives retailers the opportunity to brand an instrument in their own way, this supplier will also be launching its new website, in order to attract further additions to its already extensive dealer network.
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“The industry was in decline from 2006, but we have steadily increased our sales and profitability ever since.” Richard Webb Chairman, Intermusic
What brands do you carry? Our range of pianos includes: C Bechstein, Bechstein Academy, W Hoffmann, Zimmermann, Petrof, Pearl River, Ritmüller, Steinbach, Waldstein, Bentley, Challen, Welmar, Marshall & Rose, Knight, Wilh. Steinmann, Gbr Niendorf, Offenbach, Woodchester and Neumann. Examples of the guitars available from us are Pearl River, Shine, Greg Bennett, Samick, Silvertone and Kiss. Pearl River, Amati and Bentley
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represent our brass and woodwind offering. We also distribute Bentley and Ringway, which deal in digital pianos and drums. Intermusic also stocks Knight & Pearl River strings and Discattiati piano stools. What distinguishes Intermusic from its competitors? We take a keen interest in the profitability of our dealers and sell at direct import prices, which means that dealers can buy at ex-factory prices without the hassle of importing. We have a strong market share in supplying own brand goods to our dealers and we franchise product. Is business up or down on last year? Well up. What are your projections for 2010/11? Strong growth. What do you see as the most significant changes in retail in recent years? The rise of internet trading has resulted in fewer, more professional dealers. The successful ones have narrowed their range of stock and are concentrating on fewer wellknown brands. OEM suppliers, such as Intermusic, supply many high-quality own-brand instruments across their range to dealers. Our European supplier, C Bechstein, is showing the way with centres in all major cities. These feature pianos made in its German factories (C Bechstein, Bechstein Academy and Zimmermann) and W Hoffmann in the Czech Republic. The brands are clearly marketed under the C Bechstein banner in a similar way to BMW (Mini) and Mercedes (Smart Car), in
showrooms of a similar standard to top luxury car brands. I know of no other piano factory that has increased sales in 2009. If there was one thing you could change in the MI industry, what would it be? I would like to see minimum advertised prices on the internet. How do you see the relationship between supply and retail? A mutually profitable partnership. Have you seen any significant impacts from the global credit crunch and subsequent recession? The music industry was in decline from 2006, but we have steadily increased our sales and profitability ever since, through working with well-funded dealers. Vulnerable companies have disappeared. What are you hoping to achieve at the MI Retail Conference & Expo? Inform dealers of our radical and innovative new marketing plans.
www.mi-pro.co.uk
in associa on with
ESSENTIAL INFORMATION RUNNING ORDER 10:30 - 11.00 Registration and coffee (Brewery foyer and Porter Tun) 11.00 - 13.00 Conference (Porter Tun – for details of conference running order, see page 4) 13.00 - 14.00 Buffet lunch (Queen Charlotte) 13.00 - 18.00 MI Expo (King George III) 14.00 - 18.00 Cash bar opens (Queen Charlotte) 18.00 After Show Party sponsored by Roland (Parker McMillan – across the road from The Brewery) The After Show Party, sponsored by Roland, takes place at the Parker McMillan bar, directly opposite The Brewery. It starts at 18:00, as soon as the Expo closes. Free drinks will be available for a limited period.
Your Conference & Expo passes automatically gain you free entry to the After Show Party. Entertainment will be provided by The Fabulous Beatles, who will be onstage from about 20:00. Venue contact details MI Retail Conference & Expo The Brewery Chiswell Street (near The Barbican) London EC1Y 4SD Tel: 020 7638 8811 thebrewery.co.uk After Show Party (sponsored by Roland) Parker McMillan 47 Chiswell Street London EC1Y 4SB Tel: 020 7256 5883 parkermcmillan.co.uk
HOW TO GET THERE Visitors travelling by train or tube can exit at Barbican and follow Beech Street on to Chiswell Street. Alternatively, getting off at Moorgate is an option. Head on to City Road and then turn left on to Chiswell Street. The venue is also around 15 minutes walk away from both Bank and Liverpool Street stations. Chiswell Street is situated on the B100 in Central London, which runs perpendicular to the A501 (City Road) and the A1 (Goswell Road.) The postcode is EC1Y 4SD.
PARKING Finsbury Square Underground, Finsbury, London EC2A 1AD Number of spaces: 258 Distance away: 0.13 miles 1 Hour £6.00 1 To 2 Hours £12.00 2 To 3 Hours £18.00 3 To 4 Hours £24.00 4 To 5 Hours £30.00 5 To 24 Hours £36.00 Motorcycle per day £4.00
www.mi-pro.co.uk
Aldersgate Street Car Park, 158-170 Aldersgate Street, London EC1A 4HY Number of spaces: 670 Distance away: 0.05 miles 2 Hours £6.00 2 To 4 Hours £12.00 4 To 6 Hours £18.00 6 To 9 Hours £24.00 9 To 24 Hours£30.00 Motorcycle per day £4.00
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