Just an interesting point. A press release was issued yesterday, and it was anounced in a company wide meeting that all non Tweeter branded stores (Hillcrest HiFi, Sound Advice, Showcase, ect) will be changing their name to "Tweeter".

It is a shame to see these once proud names in the AV industry reduced to just another box moving quasi custom wart in the industry.

It sounds like you don't like the name Tweeter!
Sometimes by unifying a company's name will make things much easier, especially for a multi trillion dollars corporation as it is Tweeter.

It's a very competitive rough world out there and very often large companies have the need to restructure themselves in order to survive and stay afloat.

J. Bond

Or perhaps if they all wouldn't cut margins so much, that would help keep them afloat.
Just an idea!

How many of you shop at Wallmart?

It is a new market place folks and the current crop of consumers are interested in value not technology. Large discount retailers can make money in ways we small folks cannot. Their sheet price is often 20-30 per cent below ours and of course they only need to sell the box not make it work. Their invintory controls are really good --and so much better than mine.

In this world you either get QQQ's clientelle or your better be able to sell cheap and move volume.

I fail to see how Tweeter, Best Buy, Circuit City or any other large discount retailer is really a threat to a good custom shop. Most people cannot set up a Linksys router. Hide a surround receiver or try to mount a plasma and some installation firm will get a call.

Alan

Is Tweeter really a "discounter"? Not in my experience. Just look at their annual reports. They are not operating on 20% gross margin like Best Buy is. Last time I looked they were around 35%. I'll bet they are still over 30% and keep in mind that's with a lot of video (which drags margin down).

QQQ I could not agree more. It has been my 100% experience that mom and pop shops will drop their pants longggggg before Tweeter. Try stopping by a Tweeter and bargining about price. They will walk you to the discontiuned merchandise and ask what you want a deal on. I think there doing it right and selling a ton of labor at the same time!