Guitar Center in Trouble?

[Dave Hicks]

I'm in Indiana.

I didn't want to speculate, I was very genuinely surprised when it closed.

Simply empty-nesting and downsizing, nothing to fear (they say):


Fort Wayne’s Guitar Center location closing | WANE 15

FORT WAYNE, Ind. (WANE) — Fort Wayne’s Guitar Center is closing.

The guitar retailer at 422 W. Coliseum Blvd. will close Jan. 30, according to signage on the building.

A news release from Guitar Center said the closure was due to an upcoming expiration of its lease. The release said Guitar Center was looking at its relocation options.

“With the lease expiring on our existing Fort Wayne location, we are closing that location and taking the opportunity to explore opportunities for a more modern space,” said Wayne Colwell, Guitar Center EVP. “We remain committed to serving the Fort Wayne community with all that Guitar Center has to offer and hope to announce a new store location later in 2021.”

A representative at the store told WANE 15 on Monday that they have not been told of any new locations in Fort Wayne but they’re hoping something comes up.

Guitar Center filed for bankruptcy in November. The 61-year-old musical instrument retailer is the largest in the country.

 

[Danb541]

The GC's in & around Portland, OR should go ahead and close since there's very little left inside to purchase.

Same with the GC store in Eugene, OR. Not much hanging on the walls.

 

[985plowboy]

I'm in Indiana.

I didn't want to speculate, I was very genuinely surprised when it closed.

“ That” guitar center closed.
Not all of the Guitar Center empire.
If they closed an underperforming location in effect they made all the others stronger.

 

[warrent]

Not sure which years you draw your numbers from but do you mean Fender had fewer profits before Fender was an international corporate conglomerate with a 3rd world cut rate labor force producing lower end guitars in huge quantities? No doubt. Printing paper funny money for a year or two with people binge buying instruments they otherwise wouldn't be able to afford doesn't really equate to long term success. I'd argue that they are working themselves into a precarious position. Guitar playing was trending downward, covid is just a bump stop on the ride down.

The 700 million was pre covid. I'm sure it's possible to always see the sky is falling but the reality is that prior to covid the fretted instrument market was increasing sales year over year, year in year out. The mix between acoustic and electric may change over time but sales were steadily increasing.
Guitar Centers problems like Gibson's are debt related they aren't related to demand from consumers. You can complain about GC all you want but you can't deny that 2 billion dollars in annual sales demonstrates substantial interest in consumers willing to shop at GC.
Sales for 2020 and 2021 will be all over the place with some winners (guitars) and some losers (band equipment, PA equipment) and how that resolves itself will be more up to the general worldwide economy than anything specific to the guitar industry.

 

[Whatizitman]

You know who else has their headquarters and flagship store in Ft. Wayne? Complete with arcade, hair salon, cafe and diner, and multiple performance venues? Just sayin'.

 

[Dave Hicks]

You know who else has their headquarters and flagship store in Ft. Wayne? Complete with arcade, hair salon, cafe and diner, and multiple performance venues? Just sayin'.

At one point there was a large Sweetwater billboard towering over the GC sign. Maybe just a coincidence?

D.H.

 

[Octorfunk]

Believe it or not I was actually attempting to avoid this thread being another "Imminent demise of GC," but apparently that's where these are destined to go.

I was simply wanting to share my surprise when I found out my local GC had closed.

 

[warrent]

You know who else has their headquarters and flagship store in Ft. Wayne? Complete with arcade, hair salon, cafe and diner, and multiple performance venues? Just sayin'.

Are you telling me that not only can I get a fine guitar and free candy but I can get my hair styled like this:

Wow, Guitar Center may indeed be doomed

 

[studio1087]

Milwaukee has three tiers of acoustic of acoustic racks in the acoustic room. Only the middle tier has guitars and they don't go all the way around the room. The synth room is 2/3 empty. They have about 12 amps (and they normally have 40+. There are 7 or 8 used electric guitars (they usually have about 30). I was stunned when I last went in the store. I've always been a GC supporter but I must admit it was very strange.

 

[Electric Warrior]

Are you telling me that not only can I get a fine guitar and free candy but I can get my hair styled like this:
View attachment 848855
Wow, Guitar Center may indeed be doomed

Man, my hair looks like that right now, don't be envious!

 

[bigbean]

My point in that example was that GC are neither too big to fail nor too culturally entrenched not to be overcome by market forces; I wasn't saying GC and Blockbuster operate on the same business model or that they're subject to the exact same impacts. Figured that was obvious.

It is obvious.

They were set up as a category killer operation.

Things changed.

 

[LesTele]

I know I know, everyone has been saying this for years, and I'm not joining the chorus.

BUT...

I live in the 2nd largest city in my state, and I was very surprised to see that our GC closed a couple weeks ago.

I'm sure that means nothing for the franchise in general, but it did make me stop and think; if a city of 300,000+ can't keep it open...

It also feels like their used inventory is way down as well, at least electric guitars.

Has anyone else seen their local GC close up shop recently?

The one in Richmond Virginia also appears to be hanging on by a thread...

 

[archetype]

“ That” guitar center closed.
Not all of the Guitar Center empire.
If they closed an underperforming location in effect they made all the others stronger.

Underperformance wasn't the stated reason for closing. The lease was due for renewal and they opted not to do so and pursue reopening in a different location. If the business can't cover the lease rate, or the lease holder bumps up the rate beyond what the business can cover, the business looks for another location. Relocating takes a long time(!) and you have to get the locaton right. Been there and done that.

 

[HotRodSteve]

They should be doing fine, heck, I bought a guitar from them in 2013, what more do they expect from us?

 

[archetype]

Simply empty-nesting and downsizing, nothing to fear (they say):

Fort Wayne’s Guitar Center location closing | WANE 15

FORT WAYNE, Ind. (WANE) — Fort Wayne’s Guitar Center is closing.

The guitar retailer at 422 W. Coliseum Blvd. will close Jan. 30, according to signage on the building.

A news release from Guitar Center said the closure was due to an upcoming expiration of its lease. The release said Guitar Center was looking at its relocation options.

“With the lease expiring on our existing Fort Wayne location, we are closing that location and taking the opportunity to explore opportunities for a more modern space,” said Wayne Colwell, Guitar Center EVP. “We remain committed to serving the Fort Wayne community with all that Guitar Center has to offer and hope to announce a new store location later in 2021.”

A representative at the store told WANE 15 on Monday that they have not been told of any new locations in Fort Wayne but they’re hoping something comes up.

Guitar Center filed for bankruptcy in November. The 61-year-old musical instrument retailer is the largest in the country.

Ok, THAT's why the Ft. Wayne store wasn't listed as an Indiana store on the GC site. It's gone from there.

That announcement was from January 2021. It's not surprising that they haven't reopened in a different location, yet. For those who've never found, leased, built out, stocked, and opened a retail store... it takes a LONG time to do right. Do it rong and you might as well not do it at all.

 

[VillainSean]

I was in the GC store at Lancaster, PA, yesterday.

I bought some strings (they had plenty), but noticed the "wall" of electric guitars was 3/4 empty.

And, no basses to speak of...

The acoustic room was 1/2 full... mostly a few expensive Taylor's, even less lower priced Martin's and maybe 8-10 Yamaha's, 4-5 used guitars and a few other odds and ends acoustics.

I didn't get into the other rooms; but generally the place looked pretty empty.

Same in the 4 Seattle area stores...

 

[Harbinger77]

Just checked out the Boston location adjacent to Fenway and there was plenty of inventory.

 

[Geo]

The two in Nashville seem to be doing fine although rarely go there. I did go to the closer one a few weeks back
to use a gift card and a 15% off coupon. They had lots of inventory but odd time so not many folks in there
as school wasn't out and it wasn't Saturday. Guitar Center is re-structuring apparently after the latest bankruptcy
deal. Trouble wise seems they had that for at least a decade.

 

[Tele-beeb]

I can’t add much... but...
I wanted to just enter my local GC and buy a Keeley Dark Side.
I would have had to stand in a stupid line
forget that
I went around corner and bought a new DD-200 at mom/pop.
I would have rather had the Dark Side, but I ain’t standing in some stupid line to spend money.

 

[BamaSurf]

Guitar Center in Mobile is damn near bare.....
Just got back from a one week long road trip covering 1600 miles...spent a week in KCMO...all the car lots I drove by hardly had any cars....
The guitar center in Springfield has closed or moved..