8 hours Ago By David Richards
They still have Hi Fi in their name, now the big CE retailer JB Hi Fi is back attracting audio suppliers to their new marketplace, who have traditionally sold their goods via the specialist audio channel, the only problem is that the new range of audio products is only being sold online. The move to range speakers, amps, CD players and premium streaming devices could help grow the market for “affordable premium” claim analysts with the possibility that products that have a good sell through record in the marketplace ending up being ranged in JB Hi Fi stores. Recently StereoNet ran their annual audio show in Victoria with the bulk of the exhibitors ranging high end audio which is why the audience was the traditional “audiophile” who were being given the opportunity to experience new $80K + speakers and $50,000 amps.
ChannelNews was at the StereoNet show where several specialist dealers admitted that they were struggling to attract a younger audience “Who have grown up believing that Sonos is a premium audio product”. “It’s not” said one dealer. “We have a market out there that don’t know what affordable premium Hi Fi is ” said Bruce Thierbach who spent over 20 years at JB Hi Fi.
One specialist dealer from Victoria said “The young audience know where a JB Hi Fi store is, but they don’t know how to find us or what constitutes premium audio. We don’t have the money or the experience to reach this younger audience who are our future audience” they said. “Most of the audience don’t know where a premium audio dealer is located and their partners don’t want the big two channel audio from the past, that we are still selling”.
They claimed. “What they want is stylish Wi Fi based audio that looks smart and fits into an apartment, duplex or beach house. They are into minimalism not big ”.
“The JB Hi Fi marketplace offerings are just one piece of the puzzle. But I am not sure yet if it is right for the industry,” said Thierbach. Another specialist dealer who doesn’t want to be named claimed “JB Hi Fi has the right audience a big audience but not the right products, we need to see more premium products listed that eventually get ranged in their stores “.
An investigation by ChannelNews reveals that several audio suppliers who have been approached by JB HI Fi to range products in the new JB marketplace, are now considering the offer to range products with many now evaluating the costs involved with suppliers also responsible for shipping the goods and managing the returns. Currently Advance Audio is selling a pair of KEF LS60 Wireless Hifi Speakers for $9,100, also ranged are KEF bookshelf speakers for $2,300 along with $2,500 KEF subwoofers. Also ranged on the site are $499 WIMM amps, and streaming products along with $1,267 Airpulse speakers and $1,899 Aperion Bravus speakers.
Currently JB Hi Fi is attracting over 20 million visitors a month to their web site with this set to surge to over 30 million during the peak Black Friday and end of Year peak buying period. Several people in the premium audio market that is currently under pressure due to falling sales believe that the JB Hi Fi move to range premium audio products will allow suppliers to expose their products to a wider audience while helping them to grow revenue from a new retail stream. “The only downside is that a premium audio product has to be heard or listened to before a purchase is done, this is a problem with the JB Hi Fi marketplace” said a supplier who is concerned that a move to the marketplace could alienate his traditional dealer relationship.
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