Gibson Dumping Guitars?

Just_Guild

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So this came up on the Jazz Guitar Forum, regarding Gibson's financial situation, the large amount of guitars they are "dumping off" on Chicago Music Exchange. Kind of a feeding frenzy over there, but I think the bigger issue is the financial situation of Gibson Brands, FMIC, Guitar Center, etc. Looks like Gibson is trying to raise cash, fast. Some good deals I'm sure, but I'm interested in comments on the state of the musical instrument business. I am not a Gibson fan, but at the same time, I do not want to see us lose another great USA company.

http://www.jazzguitar.be/forum/sale/62649-gibson-dumping-their-inventory.html
 

GAD

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I'm sure if they raise the price of their Historic Les Pauls from $8,500 to $22,500 everything will be fine.
 

dreadnut

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Gibson has been in trouble for a long time; their acoustics have been crappy for several years, based on what I've seen and played at several different music stores.

Garland wrote a great article on the financial aspects of Gibson's woes; what he didn't address was the loss of customer loyalty due to the cheapening of the instruments and inattention to quality. Their problems are not only fiscal, they're also losing the confidence of their customer base.

I looked at these ads and $3-5K doesn't seem like much of a "dumping" price to me.
 

dapmdave

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Check Stratosphere. They have tons of 2015 Gibsons that have been "parted out", but must have been acquired directly from Gibson. I count the 2015 debacle at Gibson as the beginning of the end for them.

I have read that Gibson's business has been leaning away from guitars and towards consumer electronics for years.
 

twocorgis

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Their brand has an insane amount of leverage. Most companies in similar straits in other industries would have been out of business years ago, and I can't explain that at all.
 

Just_Guild

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Check Stratosphere. They have tons of 2015 Gibsons that have been "parted out", but must have been acquired directly from Gibson. I count the 2015 debacle at Gibson as the beginning of the end for them.

I have read that Gibson's business has been leaning away from guitars and towards consumer electronics for years.

Gibson has been in trouble for a long time; their acoustics have been crappy for several years, based on what I've seen and played at several different music stores.

Garland wrote a great article on the financial aspects of Gibson's woes; what he didn't address was the loss of customer loyalty due to the cheapening of the instruments and inattention to quality. Their problems are not only fiscal, they're also losing the confidence of their customer base.

I looked at these ads and $3-5K doesn't seem like much of a "dumping" price to me.

i agree about the pricing, many really nice guitars available for much less money, both new and used. But reading through the forum thread there, many people seem to gobbling them up at that price. And many of the comments say they are, for the most part, first rate guitars. I guess a bargain is in the eye of the beholder! Lol.
 

Just_Guild

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Their brand has an insane amount of leverage. Most companies in similar straits in other industries would have been out of business years ago, and I can't explain that at all.

Thats a real good point Sandy.

I could say something similar about Martin, at the risking seeming offensive, apologies in advance. Been through the Factory many times, really nothing particularly special about their guitars. In fact, as my neighbors cousin has said (he's a production head at Martin) if it wasn't for guitar center, Martin would be out of business. But they do a great job selling a name, a brand and a mystique. No small feat.
 

Default

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I picked up a 2015 Les Paul Special with the robotuners and the brass nut. With a graphtech replacement nut and a set of hipshot tuners, it's what it should have been - a pretty decent $650 American build solidbody.
 

JohnW63

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If you think about it, the bulk of any of the big three brands is sold through Guitar Center. Gibson, Martin, Taylor are all hoping not to lose that outlet for thousands of their guitars. Then , of course, Fender is selling a lot of electrics through them. So, call it the Big 4. I haven't followed the Gibson story enough to know what is going on with them.
 

fronobulax

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Garland wrote a great article on the financial aspects of Gibson's woes; what he didn't address was the loss of customer loyalty due to the cheapening of the instruments and inattention to quality.

Garland is entertaining and knowledgeable. I'm going to have to watch what he is writing, especially since he plays bass.

But my intended veer is "customer loyalty". My impression from LTG is that most people here are very loyal to the Guild brand but that they very rarely buy a new instrument. That loyalty certainly helps Guild indirectly because when people talk about and are seen playing the brand, it does increase the demand for new instruments, but Guild can't take that to the bank.

So, is my impression selective and incorrect? Is there a guitar brand with customer loyalty and/or enough product diversity that the loyal customers will buy a new instrument, at a retail outlet, at least once every three years? (Three is arbitrary so if a different number changes the answer just say so).
 

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When l was building coffee vending machines for RMI, our biggesst competition were our old machines. You could get a usable forty years of service out of one of the mechanical jobs. Same with a Les Paul.
 

GAD

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Hang out on the Les Paul forums for a while to see brand loyalty. Some of those guys have 10 Historic Les Pauls.
 

twocorgis

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Thats a real good point Sandy.

I could say something similar about Martin, at the risking seeming offensive, apologies in advance. Been through the Factory many times, really nothing particularly special about their guitars. In fact, as my neighbors cousin has said (he's a production head at Martin) if it wasn't for guitar center, Martin would be out of business. But they do a great job selling a name, a brand and a mystique. No small feat.


Not sure about that at all AJ. Some of the very best guitars I've ever played are Martins, including my own D18 David Crosby. All manufacturers (even Guild) make some clinkers, but Gibson just does it at a much higher rate, especially amongst their acoustics.
 

Default

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Sandy, you aren't playing entry level Martins or Taylors. Neither am l.

We're spoiled lil brats!
 

walrus

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But my intended veer is "customer loyalty". My impression from LTG is that most people here are very loyal to the Guild brand but that they very rarely buy a new instrument. That loyalty certainly helps Guild indirectly because when people talk about and are seen playing the brand, it does increase the demand for new instruments, but Guild can't take that to the bank.

So, is my impression selective and incorrect? Is there a guitar brand with customer loyalty and/or enough product diversity that the loyal customers will buy a new instrument, at a retail outlet, at least once every three years? (Three is arbitrary so if a different number changes the answer just say so).

Two things - first, I think there are LTGer's buying new Guilds, but perhaps not in the numbers Guild would like. But I think frono's second point is correct - if someone sees a Guild being played, it may translate into a sale - although again not as much as Guild would like.

My answer to the second question is "PRS". I am on their forum as well, there are lots of people buying multiple PRS guitars. They have numerous "price points", a wide variety of woods and finishes, continually offer newly designed models, and IMHO, have very high quality.

How many "versions" of the same Les Paul are there? My apologies, but even Guild is "re-issuing" the same models they had before. If you want to attract new customers, you need to offer different and new models - as frono said "loyalty" only goes so far - you also need brand new customers.

walrus
 

adorshki

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How many "versions" of the same Les Paul are there? My apologies, but even Guild is "re-issuing" the same models they had before. If you want to attract new customers, you need to offer different and new models - as frono said "loyalty" only goes so far - you also need brand new customers.

OK then we need a guitar with a built-in upgradable smart phone, that does Rockstar one better by playing itself from the dizzying quantities of iTunes available for download.
And you need an electric version as well.
 

Opsimath

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OK then we need a guitar with a built-in upgradable smart phone, that does Rockstar one better by playing itself from the dizzying quantities of iTunes available for download.
And you need an electric version as well.

I think you're on to something. When will it go to market?
 
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