Guitar Stores See The Slowdown, But Don't Fret
seattle.bizjournals.com
Don't fret
Jay Boone has seen a lot since opening Emerald City Guitars in Seattle's Pioneer Square in the summer of 1996.
His business has seen the dot-com bust, and the aftermath of the 9/11 attacks that turned Seattle's popular, historic tourist area into a ghost town.
And before that, there was the World Trade Organization riot in 1999, when Boone feared his small shop would be looted. Luckily, it wasn't.
Now he's navigating what is likely the worst recession since the Great Depression, looking for new ways to connect buyers to some of his vintage instruments that range in price from a few hundred dollars to six figures.
Emerald City Guitar has four employees, including owner Boone. The company had gross sales of just over $1 million in 2008, Boone said.
Boone caters to a niche clientele of professional and amateur musicians. Still, like many retailers, Boone said he saw sales tank in late 2008. And this year, sales have been slow. But he has strategically tweaked his staff, and has put more emphasis on using the internet for a targeted approach to reach potential customers.
Prior to the recession, Boone, who also appraises instruments, said there was a vintage guitar bubble much like the housing bubble. As prices rose, more and more old instruments started coming on the market as people brought out their old guitars that had been stored away and dusted them off in hopes of cashing in.
But the recession has taken a bite out of business, although Boone said that sales have picked up in the last few months.
"I have definitely seen business pick up," said Boone, sitting in his showroom in a chair next to a curved lime-green sectional that looks like it could be for sale in a vintage furniture store.
"I am more optimistic now."
That doesn't mean the shop hasn't had to adjust. Boone laid off one worker, hiring a replacement with more sales experience. He also has been more selective about where he places advertising. He still buys ads in trade publications, but he also registered as a dealer and is listing his inventory on Gbase.com, a website dedicated to used and vintage musical equipment.
The Gbase.com listing was a smart move. And Boone said he also plans to revamp the store's website, uploading short video clips showing himself with his vintage guitars. About 60 percent of his sales come from the internet, with inquiries coming in from all around the country as well as from Europe and other parts of the world.
The shop is tucked away on a side street in the shadow of the Alaskan Way Viaduct and away from the main summertime bustle of Pioneer Square's busiest streets. But the shop is most definitely on the map, especially among vintage guitar aficionados.
Past clients have included Eric Clapton; the great Joe Strummer of The Clash once came in. A picture of ZZ Top guitarist Billy Gibbons' visit adorns one of the shop's walls.
Among Boone's customers are many local working musicians, famous or not. And customers also include many middle-aged guys who have long wanted to own a vintage Gibson or other prized guitar, but until now, could not afford one.
On a recent weekday morning, Emmet McCusker entered the shop like a man on a mission. He gazed at instruments, which hang from any available space on the walls like the trophies they are.
McCusker's eyes stopped on a vintage instrument made by Tacoma Guitars. Soon he was sitting on the green sectional, strumming away.
"I love this guitar. This plays like butter. It's beautiful," said McCusker, who was visiting Seattle from Vancouver Island, where he is an engineering and transportation superintendent for a small town.
McCusker had just completed the Ride to Conquer Cancer from Vancouver, British Columbia, to Seattle and said the highlight of his stay was his visit to this shop.
The beauty of Emerald City Guitars, said McCusker, is that the stock is "lean and mean." The shop offers a wide selection of guitars and amps, but does not carry a large number of instruments, choosing instead to focus on the best guitars in the best shape.
"Even in a downturn, people will buy quality," McCusker said.
Don't fret
Jay Boone has seen a lot since opening Emerald City Guitars in Seattle's Pioneer Square in the summer of 1996.
His business has seen the dot-com bust, and the aftermath of the 9/11 attacks that turned Seattle's popular, historic tourist area into a ghost town.
And before that, there was the World Trade Organization riot in 1999, when Boone feared his small shop would be looted. Luckily, it wasn't.
Now he's navigating what is likely the worst recession since the Great Depression, looking for new ways to connect buyers to some of his vintage instruments that range in price from a few hundred dollars to six figures.
Emerald City Guitar has four employees, including owner Boone. The company had gross sales of just over $1 million in 2008, Boone said.
Boone caters to a niche clientele of professional and amateur musicians. Still, like many retailers, Boone said he saw sales tank in late 2008. And this year, sales have been slow. But he has strategically tweaked his staff, and has put more emphasis on using the internet for a targeted approach to reach potential customers.
Prior to the recession, Boone, who also appraises instruments, said there was a vintage guitar bubble much like the housing bubble. As prices rose, more and more old instruments started coming on the market as people brought out their old guitars that had been stored away and dusted them off in hopes of cashing in.
But the recession has taken a bite out of business, although Boone said that sales have picked up in the last few months.
"I have definitely seen business pick up," said Boone, sitting in his showroom in a chair next to a curved lime-green sectional that looks like it could be for sale in a vintage furniture store.
"I am more optimistic now."
That doesn't mean the shop hasn't had to adjust. Boone laid off one worker, hiring a replacement with more sales experience. He also has been more selective about where he places advertising. He still buys ads in trade publications, but he also registered as a dealer and is listing his inventory on Gbase.com, a website dedicated to used and vintage musical equipment.
The Gbase.com listing was a smart move. And Boone said he also plans to revamp the store's website, uploading short video clips showing himself with his vintage guitars. About 60 percent of his sales come from the internet, with inquiries coming in from all around the country as well as from Europe and other parts of the world.
The shop is tucked away on a side street in the shadow of the Alaskan Way Viaduct and away from the main summertime bustle of Pioneer Square's busiest streets. But the shop is most definitely on the map, especially among vintage guitar aficionados.
Past clients have included Eric Clapton; the great Joe Strummer of The Clash once came in. A picture of ZZ Top guitarist Billy Gibbons' visit adorns one of the shop's walls.
Among Boone's customers are many local working musicians, famous or not. And customers also include many middle-aged guys who have long wanted to own a vintage Gibson or other prized guitar, but until now, could not afford one.
On a recent weekday morning, Emmet McCusker entered the shop like a man on a mission. He gazed at instruments, which hang from any available space on the walls like the trophies they are.
McCusker's eyes stopped on a vintage instrument made by Tacoma Guitars. Soon he was sitting on the green sectional, strumming away.
"I love this guitar. This plays like butter. It's beautiful," said McCusker, who was visiting Seattle from Vancouver Island, where he is an engineering and transportation superintendent for a small town.
McCusker had just completed the Ride to Conquer Cancer from Vancouver, British Columbia, to Seattle and said the highlight of his stay was his visit to this shop.
The beauty of Emerald City Guitars, said McCusker, is that the stock is "lean and mean." The shop offers a wide selection of guitars and amps, but does not carry a large number of instruments, choosing instead to focus on the best guitars in the best shape.
"Even in a downturn, people will buy quality," McCusker said.
Labels: Guitar News Daily, Guitar Stores
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