Audionut, I'd watch out. I've heard this type of confidence from many of my customers and watched them go down in flames.
First, I don't believe the internet will destroy hi-end. Where ever there is money (perhaps too much) and passion there will be a market place for products servicing this passion. But, the landscape is changing, and the retailer that ignores this will die. I work in the retail and manufacturing industry for household products, and I've seen it.
Think about all the changes that are occurring right now:
First, internet dealers are coming up to speed on the retail learning curve and the internet curve (this is still new to everyone so there is lots to learn). Sure there are some dopes out there (and crooks too), but they will be weeded out. The others will learn and become strong.
Second, the volume of direct-to-consumer sales will increase. It's always been there, but the internet will make it much easier and more efficient. Frankly, from a consumer perspective this is great. Not only will it be less expensive, but it will improve the customer-manufacturer relationship. And, it will eliminate some of the barriers to market entry (e.g. distributors, minimum marketing investments, etc.), enabling hot designers to go out on their own and build a business over time.
Third, the used equipment market will capture a larger portion of the consumer turns and upgrades. Again, the internet and sites like this make it easier than the days when we used to check out sources like AudioMart. Think about the percentage of your upgrades that have been via used equipment just from this site. As this site grows, so will the market of used equipment sold outside of retailers.
Net, times are changing. Add the HT influence, and I'd think that some smart retailers with good strategic marketing would be able to take advantage of the changes, change how they do business and make a good business while better servicing their clients (but, I'll bet that the profit margins decline - survival of the fittest).
Enjoy the music.
First, I don't believe the internet will destroy hi-end. Where ever there is money (perhaps too much) and passion there will be a market place for products servicing this passion. But, the landscape is changing, and the retailer that ignores this will die. I work in the retail and manufacturing industry for household products, and I've seen it.
Think about all the changes that are occurring right now:
First, internet dealers are coming up to speed on the retail learning curve and the internet curve (this is still new to everyone so there is lots to learn). Sure there are some dopes out there (and crooks too), but they will be weeded out. The others will learn and become strong.
Second, the volume of direct-to-consumer sales will increase. It's always been there, but the internet will make it much easier and more efficient. Frankly, from a consumer perspective this is great. Not only will it be less expensive, but it will improve the customer-manufacturer relationship. And, it will eliminate some of the barriers to market entry (e.g. distributors, minimum marketing investments, etc.), enabling hot designers to go out on their own and build a business over time.
Third, the used equipment market will capture a larger portion of the consumer turns and upgrades. Again, the internet and sites like this make it easier than the days when we used to check out sources like AudioMart. Think about the percentage of your upgrades that have been via used equipment just from this site. As this site grows, so will the market of used equipment sold outside of retailers.
Net, times are changing. Add the HT influence, and I'd think that some smart retailers with good strategic marketing would be able to take advantage of the changes, change how they do business and make a good business while better servicing their clients (but, I'll bet that the profit margins decline - survival of the fittest).
Enjoy the music.