Companies in this industry sell new musical instruments, sheet music, and related supplies from physical retail locations; some also offer musical instrument repair, rental, and music instruction. Major companies include Guitar Center and Sam Ash Music (both based in the US), as well as Shumamura Music and Yamano Music (both based in Japan), and Musikhaus Thomann (Germany).
Consumer income and changes in musical tastes drive demand for musical instruments. The profitability of individual companies depends on effective merchandising. Large companies have economies of scale in purchasing and marketing. Small companies can compete effectively by specializing in personalized service or high-end instruments. The US industry is concentrated: the 20 largest companies account for about half of industry revenue.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major products include guitars, pianos, sound equipment, parts and accessories, and school music products, such as wind instruments. Other sources of revenue include repairs, equipment leasing, and sheet music.