Re-Tales

You may have heard that many hi-fi companies—manufacturers, distributors, and dealers—have done very well during the pandemic years. Some reported their best years in business—ever. With COVID-19 forcing people to stay at home, people sought diversion through home entertainment, including music. The industry benefited.

Finding fresh approaches to doing business isn't easy, especially in the current climate. But now it's becoming essential. Audio manufacturers, distributors, and dealers must figure out how to attract new customers while continuing to provide service for existing customers. Neither thing is easily accomplished in an era of change. But failure isn't an option. People with something to sell must connect with customers, and vice versa. Access is key.

As I noted in previous Re-Tales columns, audio dealerships that stick to outmoded models after the world has changed may find themselves in danger of extinction. Such conflict between old and new has been with us since the beginning of time, or at least since the internet became ubiquitous. But the pandemic and its economic stresses and stimuli have accelerated the pace of change. So, how are dealers, um, dealing?

A few audio retailers have recently closed their doors due to pandemic-related hardship or retirement—Lyric Hi-Fi in NYC is a landmark case. So it's refreshing to hear about a longstanding bricks-and-mortar dealer- ship that has avoided that fate: House of Stereo in Jacksonville, Florida.

As the pandemic abates and reopening progresses, times are still uncertain. Industries worldwide continue to be obstructed. Parts and materials costs have risen sharply. Shipping rates, and shipping demand, have spiked. The recent Suez Canal blockage didn't help. All this has led to widespread supply-chain difficulties.

The audio business is not immune. Disruption and delays have troubled manufacturers, distributors, dealers, and customers for several months.

To borrow Lyric Hi-Fi owner Leonard Bellezza's words from last month's Re-Tales, the traditional audiophile customer base "is graying."

That doesn't mean the future is bleak—not necessarily. Many in the industry have hope for hi-fi's future. For that potential future to be realized, however, audio dealers must adapt. Interest in better sound seems to be rising. Consider vinyl's resurgence; regardless of your views on vinyl's ultimate fidelity, it's a big step up from the earlier fashion for MP3s and cheap earbuds. (There's good news on that front, too: Those earbuds morphed into Beats headphones, then Beats into good-quality headphones.

New York's Lyric Hi-Fi & Video is one of high-end audio's longest-standing and most legendary institutions. In a recent telephone conversation, Leonard Bellezza, Lyric's owner and president, confirmed what many in this industry have long heard rumored: Lyric is closing.