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My Favorite Guitars Remaining Inventory


Salfromchatham

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Join Date: May 2009

Location: Naples, Florida

Posts: 303

icon1.gifTo clarify:

We are no longer a Gibson dealer. Their Five-Star dealer program restrictions were very limiting -- including not allowing us to even list our own inventory on our own website at any pricing, among other things). Their bigger "Internet" dealers are able to list their guitars but not the Five Star group. So after trying them, we've decided to move on and just continue to focus on Martin. We have the few remaining new Gibson guitars listed at actual prices on our site only because we're not subject to any restrictions at this point. smile.gif

 

From AGF

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In addition to their rules and regulations, I have heard from store owners the amount of stock you have to commit to is very high. Most smaller stores simply cannot afford it. Best story I ever heard though was about Martin. My favorite little music store was interested in becoming an authorized Martin dealer. The store owner told me Martin actually sent somebody out to his store. The guy apparently walked in, took one look around at the place and then just walked out shaking his head.

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Two dealers in our area have dropped Gibson acoustics from their line also. After multi decade relationships too. The marketing department is a very top down group. Does not allow for regional differences…….demands to carry large inventories of Epiphone electric guitars as a condition to sell acoustics was too much for our one local store. Annual demands for raises increased inventory was also back breaking for this smaller store. I believe the days of the Brick and mortar stores carrying Gibson acoustics is coming to an end….sigh……..

 

I can actually see a time when Gibson Accoustics will be sold from GIBSON owned store, much like Apple sells computers now, or like Fender has it's own online store for purchase of their products…….. …Time will tell….

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The marketing department is a very top down group. Does not allow for regional differences…….demands to carry large inventories of Epiphone electric guitars as a condition to sell acoustics was too much for our one local store. Annual demands for raises increased inventory was also back breaking for this smaller store. I believe the days of the Brick and mortar stores carrying Gibson acoustics is coming to an end….sigh……..

 

 

 

 

Excuse my non-business background when I ask if 'increasing inventories' means they actually have to BUY more of them or do the shops'carry' them for Gibson until they sell?

 

 

Just curious... the guitar salesman always look so 'sweaty'...

 

 

 

BluesKing777.

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BK….if you sell 100 guitars one year…the next year you have to sell 110, then next year 121…etc….for a small store with limited floor space it is a big challenge. There were other demands that just do not work in a store that is in an old building with multiple rooms like this store…..

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I can actually see a time when Gibson Accoustics will be sold from GIBSON owned store,…….. …Time will tell….

 

 

 

 

 

 

 

 

 

 

 

 

 

A short time ago Ted from LA Guitars mentioned that the old Hollywood CBS record building is going to be remodeled into a "Gibson" store[confused]

 

 

 

 

 

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If I were Guild, even more especially now that Ren is there, I'd figure out a plan (by talking to some of these rejected shops about what works best for them)and I'd rake these guys in if I could. I know the Cali plant doesn't have product but I'd at least try and line up some ducks. What foolishness to make it harder (as opposed to easier) for someone trying to actually help you by selling your product. Regardless of numbers it just isn't smart. Makes me wonder just what the five stars stands for?

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Excuse my non-business background when I ask if 'increasing inventories' means they actually have to BUY more of them or do the shops'carry' them for Gibson until they sell?

 

 

 

BluesKing777.

 

From what I gather Gibson does not want to hear that you have X number of unsold guitars. You still have to buy your quota for the year. I also gather than under the tax laws, stores can no longer deduct unsold inventory.

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Excuse my non-business background when I ask if 'increasing inventories' means they actually have to BUY more of them or do the shops'carry' them for Gibson until they sell?

 

 

Just curious... the guitar salesman always look so 'sweaty'...

 

 

 

BluesKing777.

 

BK77, Yes. The retail store hast to actually 'buy' them. They have to pay Gibson for them once they receive them, or within a few weeks. They do NOT get to carry them 'on consignment' , which would mean the retailer would not have paid for them, or own them. They are only putting them up on the wall, providing sales and service support, getting a small fee and not tying their own money up in inventory.

So - if you want to open a store - you need a large amount of cash to 'invest' in that venture. To pay for the building (or commit to paying rent for maybe 5 years), paying for fixtures, and having cash in the bank for monthly utilities and payroll. THEN comes the actual hit - you have to buy inventory. Whether it's out on the shelf or in the back. Enough colors, sizes and styles to generate foot traffic. If you succeed, and carefully grow - you can keep making a small profit to pay yourself. If you do not succeed - and go out of business - your loss comes out of your pocket. Obviously, if you have good credit (have been successful at this before) a bank will loan you money. But that means you pay them interest before you pay yourself. Not for the faint of heart.

I would guess Gibson performs an analysis similar to what a bank does when you apply for a loan. They do not want thousands of their guitars showing up as "Going out of business" items across the country. Aside from the image it creates - the lower prices would seriously undercut how much Gibson can charge their retailers.

OWF made a great point - it might make a lot of sense for Gibson to follow the Apple model.

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I've spoken to several owners/managers of small guitar shops and Gibsons were either not carried or were soon to be no more. Martin, on the hand, was in several shops and with enough models to make an educated decision if interested.

 

I agree that Guild should seriously consider how to engage these shops. If my local shop had Guilds to play and compare, if they meet their prior standards, I'd likely become a happy Guild man. Losing the ability to check out models in-store could seriously hurt the Gibson brand. I already know plenty of people who are on the fence or outright dismiss Gibson due to their GC experiences -- experiences I've had also.

 

Russo is a three hour drive one way for me and while their Hummingbirds have nearly called my name in the past, if Alto Music ever gives them up or Imperial Music, now opening in New Paltz, sticks with Martin and Takamine, and continues to feel Gibson is too overbearing in their requirements, then the odds go in the favor of the brands I can put my hands on.

 

The more Gibsons in stores -- in five-star dealer stores where they are cared for properly -- the more likely everyone will admire and dream of Gibsons. Folks not like us, but who need more encouragement to think Gibson won't be saving their cash for Gibson if they only see them on the internet. They'll dream about the guitar they played at their local music store. And that's also where WE will dream, too. There's nothing like trying out a guitar in a store and driving home thinking about it and finding that you're still dreaming about it weeks later. That's the guitar you buy!

 

Even looking at the inventory at MFG, I couldn't get excited. Too many memories of paying good money for a Gibson that wasn't the 'one.' My J-200 and Sheryl Crow excepted -- and any Gibson made pre-69.

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BK77, Yes. The retail store hast to actually 'buy' them. They have to pay Gibson for them once they receive them, or within a few weeks. They do NOT get to carry them 'on consignment' , which would mean the retailer would not have paid for them, or own them. They are only putting them up on the wall, providing sales and service support, getting a small fee and not tying their own money up in inventory.

So - if you want to open a store - you need a large amount of cash to 'invest' in that venture. To pay for the building (or commit to paying rent for maybe 5 years), paying for fixtures, and having cash in the bank for monthly utilities and payroll. THEN comes the actual hit - you have to buy inventory. Whether it's out on the shelf or in the back. Enough colors, sizes and styles to generate foot traffic. If you succeed, and carefully grow - you can keep making a small profit to pay yourself. If you do not succeed - and go out of business - your loss comes out of your pocket. Obviously, if you have good credit (have been successful at this before) a bank will loan you money. But that means you pay them interest before you pay yourself. Not for the faint of heart.

I would guess Gibson performs an analysis similar to what a bank does when you apply for a loan. They do not want thousands of their guitars showing up as "Going out of business" items across the country. Aside from the image it creates - the lower prices would seriously undercut how much Gibson can charge their retailers.

OWF made a great point - it might make a lot of sense for Gibson to follow the Apple model.

 

Yes, this is just like my business. We have to carry ready inventory to show & install both. Also, with the limited stock many of the Manf. carry, in their warehoused, we couldn't survive with "just in time" inventory delivery. That's when the Manf. has enough around that the dealer or distributor (I have both) can just order and receive product in 1-3 business days or "just in time" for a project. Often I have had $400k out of pocket in inventory either from a line of credit with bank but mostly from my back pocket line of credit!!! When you're in business, & after over 30 yrs doing it, I've never known it any other way. You have to belly up to the bar and put up the house, 401k, all the money you have or may ever have, and do your best NOT TO LOSE IT. If you are so blessed to beat the odds & obstacles of business then the Gov. has it's hand out big time. That's why I get so angry when the Feds & State, that have NEVER had to create a damn thing themselves, are so heavy handed on businesses that are just trying to do right by their employees, family and their own retirement. I don't think, unless I was young, strong, and just a little bit dumb again [biggrin], that I'd go into business as a do over.

 

Aster

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At the same time, AcousticVibes in Tempe, AZ, just announced it's become an authorized Gibson acoustic dealer: http://www.acousticvibesmusic.com/ . If you live in or near metro-Phoenix, we now have an alternative to GC for Gibson acoustics. AcousticVibes has just expanded its store and is a great place to try out and compare various new guitars from quite a few of the best makers--Martin, Taylor, Santa Cruz, Collings, Lowden, and more. Gibson won't let them post their inventory on-line, which is even worse than Martin's MAP pricing policy, but until the guitar manufacturers become fully enlightened about the age of the internet, we're stuck with some silliness. At this point AV's sales staff is basically Jeff, the owner, so it's pretty easy to get to someone who really knows what he's talking about. How this fits into Gibson's overall marketing plan I don't know. But this is a nice turn of events for folks in my part of the country.

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That is a silly thing about the "no posting" on their websites. How the hell does MF, GC, Music 123, Sweetwater etc. show photo's, S/N's, selling price (sure it's MAP) on their websites??? It's okay about not showing any discounted prices but why limit only the 5 Star dealers only showing on the Gibson 5 Star Webpage? Also, Sam Ash is listed as a 5 Star and they show all the stuff on their site.

 

Gibson, what give's with this? I don't mind restrictions just so they are "ACROSS THE BOARD" and no fav. shown.

BTW, what is the diff. in someone that a dealer w/ Gibson's on the wall & the Gibson 5 star dealers anyway? I've seen more Gibson's in stores that aren't 5 Star than what many of them show they have on the Gibson 5 star page photo's.

 

Aster

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Gibson, what give's with this? I don't mind restrictions just so they are "ACROSS THE BOARD" and no fav. shown.

Double standards started appearing not long after Gibson jumped back in bed with Guitar Center in 2001. Many long time dealers felt forced to give up carrying Gibsons & never returned to the fold.

 

Right or wrong, at this point it would be quite out of character for Gibson to apply one marketing standard when crafting their agreements with dealers.

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MFG in Naples Florida is no longer a Gibson dealer. Here is their remaining acoustic inventory. The pricing is pretty darn favorable.

 

http://www.myfavoriteguitars.com/home.php?cat=46

 

Need a new Gibby? Need the Dylan? Need a cheap J15, J35,, J45 or L-00 1932 Reissue?

Thanks for the heads up Sal just picked up the sj200 dylan for less then a standard sj will post pics when I get her.

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