August 15, 2010
VOLUME 27, NO.08

THE MAGAZINE FOR MUSICAL INSTRUMENT AND SOUND PRODUCT MERCHANDISERS

 
 
America The Beautiful

   
 

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PHOTO GALLERIES
Music & Sound Awards
INSIDE NAMM 2011


Table of Contents
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FEATURE
Class is in Session
We feature many of the new, hot companies that exhibited at NAMM in January.

Gibson
Indictments Likely

Gibson Guitar is expected to face charges due to alleged illegal wood imports.

NRF Talks Jobs,
Jobs and More Jobs

The key to retailers' success for 2011 is, you guessed it, jobs. But a lot more was discussed at the 100th NRF Annual Convention.

It’s a Record!
We give you a huge review of last month’s NAMM show. Were retailers and manufacturers optimistic for the rest of this year?
MSR Exclusive Interview
Zildjian and Vic Firth have teamed up to form a percussion powerhouse. We met with Craigie Zildjian and Vic Firth at NAMM to give you all of the details about the merger.
Music Group's Master Plan
We get an exclusive look at the future of The Music Group, parent of Behringer, Bugera and more. We get an exclusive look at product launches, as well!

Knock it Off With the Knockoffs!
Counterfeit products are killing the MI industry. But one company is fighting back big time. We’ll tell you how badly knockoffs could affect the industry if left unchecked.

Music & Sound Award Nominees
We release the full list of nominees for Music & Sound Awards. See if your favorite product, person or company is nominated.

Taylor-Made For Europe
Taylor Guitars will sell all of its products directly to dealers in Europe beginning on Jan. 1. Find out why the big change was made and where Taylor’s European headquarters will be. We interview Brian Swerdfeger about it first.

We Cover it All!
For the second time, we honor instruments that get zero or little press...

A ‘Super’ Party on Kent Island
Experience PRS loaded up on celebrities, new products and much more. Get the full scoop...

‘Father of RMM’ Passes
Karl Bruhn, a tireless music industry devotee, mentored many and made awareness of health and wellness together a lifelong initiative.
Don’t ‘Skip’ this Story!
Skip’s Music Celebrates 30th Anniversary of its Special Event

I Just Wanna Bang
on the Drums All Day

Your One-Stop Shop For The Holidays!
Heathcare Provision Could
Be a Nightmare

America the Beautiful

Not Doubting Thomas
Mendello Retires, Thomas Named Fender CEO

Music City Myster
y

-The Latest, Industry, Dealers, People and Product Buzz and Showcases.

COLUMNS
NAMM in Photos
A lot happened at NAMM in January to say the least. We capture plenty of it within our three-page NAMM photo collage.
The Music & Sound
Independent Retailer

We cover the sad passing of two prominent retailers and another named the "Citizen of the Year."
Music & Sound Award
Dealer Winners

Our list of dealer winners for the 25th Music & Sound Awards.
Music & Sound Award Manufacturer Winners
Our list of manufacturer winners. And, this time, we got them to provide comments on the victories.
Five Minutes With
Learn tons about Yamaha with Takuya (Tak) Nakata, president of the company's USA division.
MI Spy
Spy took a long flight from the cold of New York to the less cold, but quite windy, San Francisco.
Appraisal Scene Investigation
Rebecca Apodaca takes another look at the legendary guitar builder R.C. Allen.
Sales Guru
Unfortunately, Gene Fresco couldn't attend NAMM for health reasons. But he does have great information about a topic he hasn't covered before. He will help you get into your own head and make you believe. Believe what? Gene will tell you.
Business & Marketing
Carl Mandelbaum will present tips on how to develop your Web site.
Veddatorial
Dan Vedda did attend NAMM. He has a lot of thoughts to share about the show.


FORMIDABLE FEMALES

Sharon Hennessey: Loves our industry, you will find out. She'll also tell you why she ultimately decided to join The Music People! And yes, she will definitely fill you in on her goals as a new NAMM board member.
Carla Alger: Being in the music industry is definitely the most exciting opportunity Carla Alger, chief financial officer at Two Old Hippies, has ever had. Find out why.
Dawn Werk
:Dawn Werk, Alpha Books’ director of marketing, heads a group that is responsible for 450 non-fiction books. Now that’s a lot! Music is a small, but very important, part of that catalog.
Sonia Vallis: Sonia Vallis might be an only child, but she grew up with a sibling that has now become like another child to her.-
Catherine Polk

Cyndi Fritz
Janet Deering
Kathy How
Sarah Heil
Sue Avant

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  America the Beautiful
Companies That Still Manufacture in America
  By Brian Berk
 
[August 2010 - Page 3]
 

“Because of [many] great relationships, and efficient manufacturing, we produce large quantities of all our products in the U.S., while still remaining competitive. We are able to control all our own manufacturing processes (such as inventory, quality control and efficiency) better with our administration working at the same location as our production.” —Travis Thieman, String Swing

Question No. 2: Do you see a strong desire by your customers to have products made in USA? (Please elaborate on answer).

“We see customers less concerned about country of origin and more concerned with the quality, look, feel, price value and sonic performance of the products they want, and this is why we maintain top-class manufacturing around the world. We see more acceptance than ever before of a wide variety of products from a wide variety of sources. However, personal customer desires sometimes dictate a personal preference for U.S.-made instruments.” —Rossi

“We find that our customers are eager to purchase USA-made products, even at a higher price in some cases. Many of our conversations with our U.S. retailers involve the discussion of jobs lost in their communities to other countries, and not just Asia.”
—Mangan

“Sadly, I think everyone has become immune to the call of ‘made in the USA.’ People talk a good game, but, for example, when it comes down to paying $8 more for a MAG-lite made in the U.S. or buying the “Mag light” made in China, it’s hard for people to pony up. I do, but that’s because I know what it takes to make things in the U.S. Unfortunately, it’s the same people running down to Wal-Mart for everyday low prices, buying cheap China-made goods, that are unemployed after their U.S. factory shuts its doors and lays off its workers. Fortunately, many of our customers around the world do recognize that the products made in the U.S. are typically of better quality and are willing to pay more for them—to a point. We plan on continuing to supply them.”
—Gray

“Part of the ‘Make it Here’ initiative has been to look at making some or all of our cables in our New York factory. The lean initiative has freed up about 20 to 25 percent of our floor space and we are looking for more things to make here. We circulated a consumer questionnaire to 200,000 subscribers of a leading guitar magazine. More than 3,000 responded. This questionnaire gave no indication as to what company was asking the questions. When asked ‘On a scale of one to five, how important is made in the USA in your decision to purchase?’ about 60 percent said it was very important or somewhat important, and only 12 percent said it was not very important or not important at all! Obviously, made in the USA is far more important to the consumer than it is to our B2B customers.”
—D’Addario

“Yes. I think that aspiring players around the world still consider North American-made instruments superior compared to Asian or European-made products in general. Quality issues, number pressures and distribution errors that some established U.S. manufacturers have been having recently may have diminished this perception to a degree, though.”
—Wolf

“Yes, we often hear from our customers that they want the made-in-the-USA moniker. Our products are built with metal and wood, not plastic. The combination of a Northern California-built instrument, with a quality look and feel, all at a very good price has kept our sales growing even in the bad economy. Also, we export 60 to 70 percent of our instruments, so it would seem that customers in other countries also appreciate the U.S.-built products.”
—Smith

“I am occasionally asked if I use U.S.-made parts. I wish it were asked more frequently. It does seem to me from talking to hundreds of customers and business owners each month that the overall attitude is beginning to turn back toward purchasing more U.S.-made products, supporting U.S. manufacturing and the desire to get away from a consumption-/service-based economy. Sheptone is only one small company, but I hope that my attitude toward American business is increasingly shared by others, both consumers and producers, and we can once again be the country that manufactures the world’s best and most innovative products.”
—Jeff Shepherd

“I’m not sure I’d call it a ‘strong desire.’ I think we’d all like to see more manufacturing done in the U.S. across the board. But just because something is made in the United States, that doesn’t automatically make it better. When you have a good quality product to begin with, and it’s made in the U.S., it’s considered a bonus. And it’s not just blind allegiance to our country. Even customers outside the U.S. consider it a bonus.”
—Krevens

“Yes. Individual buyers and musicians do desire and appreciate the quality, dependability and longevity that only comes from buying non-mass-produced, U.S.-made gear. We see it for retailers, too. Here it becomes more difficult, however, when the draw of higher perceived revenue per square foot factoring is compared with the more long-term profitability of better-quality, U.S.-made products that may carry a higher upfront investment.”
—Cooper

“Although many of our customers really insist on our higher-end Nazareth-made Martin instruments, we have had a very successful operation in west-central Mexico for nearly 20 years. In initiating this facility, we made a commitment to our Nazareth employees that we would not sacrifice U.S. jobs to Mexico, and we have held true to that. In fact, both locations have grown and thrived together. Our Mexico plant has produced products of very high and consistent quality. It wouldn’t work any other way. Our customers expect that from us.”
—Boak

“Customers prefer U.S.-made Lampifier microphones for the faster delivery and better quality control. But there are other less obvious reasons for their preference of U.S. made. There is a sense of pride that customers gain from knowing that an innovative product such as Lampifier microphones are made in the U.S. and priced within reach of the average musician. Our greatest regret with respect to manufacturing is that we are unable to purchase some of the parts domestically because they are not manufactured in the USA.”
—Osbourne

“These days, there is a desire to see goods being manufactured in the U.S. regardless of the industry. But honestly, some dealers, in a desire for the cheapest price, will change their tune about the origin of a manufacturer at the drop of a hat. However, many dealers do want U.S.-made products and certainly high-end users want the best sounding and most reliable products, often from the U.S. The made-in-the-USA philosophy is a source of pride and drives us to make better products.”
—Heil

“It’s not just a strong desire: It’s a real commitment by many of our dealers—and their customers—to help lift our country out of this mess we’ve been put into, by keeping Americans working and American-based commerce alive. It’s not just mere ‘pride in our country.’ It’s that small effort each one of us can make, to support, when we buy, to choose America. Sure, I realize I can’t buy an LCD monitor that ISN’T made in the Far East. That part of the American electronics industry and those American jobs vaporized years ago. We hear from dealers, end users, friends and family that, in this political climate of trade deficits, unemployment and a government bent on more taxes and printing money, they all would choose to stimulate the economy the tried and true way: Buy American. Sell American to build America.”
—Johnson

“Yes and no. Regarding our pro audio products, customers prefer to see made in the USA because it usually means ‘high quality.’ At the pro level, the stuff has to work all day every day and price isn’t the No. 1 consideration. Reliability and performance are. Although there are a few niche markets, like Whirlwind cables and U.S.-made guitars and amps, when price IS a strong consideration, people say they prefer made in U.S., but they won’t pay extra for it.”
—Young

“This is the $64,000 question. We do consistently hear from our customers and dealers that they appreciate the degree to which Auralex produces products domestically; this seems to be very important to them. Having said that, I believe most Americans want to support American businesses and workers, but, in a tight economy, some are watching their pennies so closely that they sometimes choose—simply based on price—a less-expensive product that may be made offshore. I think they know this is ‘wrong,’ both in terms of supporting the U.S. economy and quite often in terms of getting the best quality for their dollar, but they’re sometimes tempted by a lower price based on what they perceive to be ‘necessity’ in their current economic situation. Auralex works hard (but as gently as possible) to consistently deliver the message to the marketplace that our products are second to none, particularly in terms of longevity, and that our end users will continue to reap dividends from their Auralex products for many years to come.”
—Smith

“No, we believe that our customers want the best quality product regardless of where it is made.”
—Zildjian

“Our customers’ faces light up when they hear that the product they’re buying was made-in-the-USA. They seem to attach an additional value to our USA-made products. There’s a comfort in knowing that fact. I think it’s a combination of patriotism, trust and knowing that we’ve got our shoulders right under there to help our country’s economy. We also notice that customers have an understanding and willingness to pay a slight premium for products made locally, knowing that we stand behind the quality and that we are right next door if they need anything.”
—Baldemor

“Absolutely. Choosing a critical component like a speaker for a guitar amplifier or professional audio application is one of the most important decisions our OEM customers make. They come to us because they know we can design and manufacture a custom speaker for their application, or provide an off-the-shelf product to meet their needs, knowing the consistency, quality of the components and expertise employed during the manufacturing process are unrivaled.”
—Stein

“Our customers are increasingly motivated to purchase American-made products. Many have been burned doing business with foreign manufacturers, which are often unresponsive to their concerns and for which dealings are complicated by language barriers, time zone differences and oceans of distance, which increase shipping time and cost. A growing realization that the American economy has suffered greatly by the outsourcing of manufacturing jobs has increased the demand for products made-in-the-USA. Of course, people will act in their own economic self interest, so it’s essential that we deliver the highest quality products at a fair price.”
—Gorczycki

“Rane’s customers in America do have a strong desire to purchase products made in the USA. Most customers would say the preference for USA-manufactured products comes from their recognition that American companies pay living wages, are environmentally sensitive, and provide safe and healthy work environments for their employees. With Rane production in the USA, a customer’s communication with the factory is easy and without the barriers of distance, culture and language. Customers can get quick and direct answers to questions regarding such things as product availability, order status, payment status and credit allowances. And these answers come fast, if not real-time. Within hours, and not days.”
—George Sheppard

“I think our customers appreciate the fact that we are a made-in-the-USA brand, but we probably don’t hear it to the same extent as larger hardware and instrument brands in this industry. Nevertheless, we are proud we have contributed to the economy, provided jobs in our area and chosen to pass up a lot of cheaper development and manufacturing options in Asia to keep things here in the USA.”
—McGlynn

“Absolutely, especially the aftermarket demand for Weatherking Drumheads. We have operations in Taiwan and China for OEM-related drumheads, but all consumer demand comes from drumheads made in the USA.”
—Yerby

“Yes, customers want to support the U.S. manufacturers as much as possible, which is why we have brought the manufacturing of our practice pads and drumset mutes into our Newport, Maine, facility, as well. Customers have also embraced the numerous environmental programs we have implemented in our Maine plant, which many foreign manufacturers do not consider necessary. All customers are concerned with U.S. jobs, consistent high-quality products, product innovation and environmental challenges, all of which Vic Firth has built his business and reputation on since 1963.”
—Dyke

“Some customers have said that they buy our product instead of another solely because it is American made. They appreciate our contribution to America’s economy by buying from domestic suppliers, and providing jobs for the American workforce.”
—Thieman


[end]

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