The economy...

I don't think economy has any impact on music. Its only leading us to post more here ! 8)

Has the economy affected your guitar/gear buying recently? Have you decided NOT to buy something that you had planned on buying due to the current economic situation?

I was kinda hoping that we might see some crazy sales or declines in prices but I haven't noticed any so far...

yes, i'm waiting for prices to drop

I don't think you'll see significant price drops for guitar related stuff in the short term. Those products are pretty far downstream in the cycle to be affected that quickly. Maybe if this continues another 6 months you might.

I quit buying myself guitars a while back. Hasn't really cut into my Christmas giving, I just got a travel guitar and tuner for my son. But if prices start falling, it encourages everyone to wait for prices to fall further, which cuts demand and drives prices down further, which eventually causes companies to fail, workers to lose their jobs, etc. Falling prices aren't as good a thing as they appear at first glance.

Also known as "Deflation".

I'm waiting for prices to drop, and I agree Cnev that it might be a little while before we see huge reductions in prices across the board, but I think we'll see some crazy sales in December.

I've noticed that the "exclusive" "limited time" "special once in a lifetime" sales from Music 123 and other online vendors seem to be hitting my email inbox very regularly lately.

I also see that Rickenbacker basses, which were back-ordered 6 to 12 months a couple years ago, are suddenly in stock at a number of places. It's doubtful that Rickenbacker stepped up production dramatically, so probably sales have slowed.

But there's really not much I'm waiting for.

I sold a bass amp recently; got $50 less than I was hoping for but honestly about what I expected. And it sold the same day I posted it on a bass forum, so no complaints.

Also, hadn't some gear prices gone up dramatically not long ago?

Also, hadn't some gear prices gone up dramatically not long ago?
Mainly attributed to currency exchange rate fluctuations.

I suspect it will -- after all, prices are falling because people aren't making purchases. Frankly, I worry about the small guitar shops. This could be hard on them.

I expect a lot more will shut down.

I dunno... I have a music school in Plainfield IL (we sell books, but not instruments). What I see and hear in our local market is mixed: I'm in the Guitar Center a little over a mile from my school about once a week, and they seem slow. But I hear the Mom & Pop shops in my area are actually up - I've heard figures as high as 17% above last year.

Part of that may be folks blowing smoke - I know the guy who says his sales are up the highest has cut his staff by about 1/3. But at my school, enrollment is a bit ahead of our best-case projections, which were made well before the financial meltdown.

I'm not sure what to make of this. My best guess is that people are re-arranging their priorities. I've gotten to be pretty active in a couple of local business groups, and most people are moaning about the economy. But some aren't... and it seems to me that the people who are doing ok (or at least are claiming to) are selling more than transitory experiences: you won't remember much about that dinner out two weeks from now, but if you're doing something to better yourself, or to make yourself feel good about how you spend your time, you're in a better position in this economy.

Personally, I'm in shopping mode. Not for new - I'm guessing the Christmas retail season is going to be pretty poor overall, and there will be some fire sales after New Year's. But I've been checking out a lot of used gear... because some people re-organizing their priorities are figuring music isn't that important to them, and I'm seeing bargains.

So you think the US economy's in bad shape? Not so long ago, the Pound stood at two dollars....now it's less than $1.50, and it's also at an all time low against the Euro. I've noticed a hike in prices over the last few months.

So if you hear about a small island in the North Sea slipping under the waves and see some search-and-rescue helicopters on the news, give me a wave - I'll be the tall feller wearing a red fleece top and hanging on for grim death to a white Telecaster!

:D :D :D

Vic

Mainly attributed to currency exchange rate fluctuations.

As Ric says, that's a big factor. Guitars and their component parts are made around the world and , like computer parts, the prices are now fluctuating even more than usual because of the varying exchange rates between the trading countries. Some costs and prices are actually going up, whilst others go down, but it's all very volatile and unpredictable.

Historically, when things get rough some entertainment areas (such as movies) apparently actually do better business as people look for escapist entertainment. Tough times are also traditionally associated with new creative energies in music. So, whilst I expect some music businesses to struggle or even fail, I don't think that we can automatically assume that we'll be getting better prices on the specific gear we might want. And the bottom line is that what I most need now isn't more gear it's better playing skills - and the cost of that is the same as it's always been - put more hours in. :wink:

So I'm not hanging out for bargains. But who knows where it will all be in twelve months time...

Chris

The bad economy has affected the number of gigs my duo is getting. Therefore I cannot help the economy get better by spending more money. So if you want the economy to get better, hire my duo so I can make more money, buy more stuff and pay them who can pay someone else who can pay someone else who can pay someone else who can pay you.

Easier said than done ;)

Insights and incites by Notes

I'm a bit embarassed to say that "bidnith" is booming...

Just finished a beer ad for Amsterdam Premium Light...with two more committed...all three going into syndication. I guess some businesses need to pull sales outta thin air...so they advertise all the more. I've gone from one every couple of months to one every couple of weeks.

Beats thumb twiddling, I guess! :lol:

Cat