Would you like to buy a new guitar directly from the factory?

[Blunote]

They probably see a few solid brick & mortar dealers who stock Heritage (most of whom also sell by internet), some other dealers that focus on internet only sales, and a lot of DINOs (Dealers In Name Only) who are happy to order a guitar for a customer that asks, but don't actively promote the brand. DINOs provide little value, and the Internet-only dealers aren't doing anything Heritage cannot do themselves - and more profitably.

The brick & mortar dealers that keep Heritage Guitars on the racks add more value by generating new customers who might have wandered into the shop looking for a different brand, or who are initially introduced to the value of the Heritage product by on-site staff. That's how I became a Heritage devotee.

[PunkKitty]

They probably see a few solid brick & mortar dealers who stock Heritage (most of whom also sell by internet), some other dealers that focus on internet only sales, and a lot of DINOs (Dealers In Name Only) who are happy to order a guitar for a customer that asks, but don't actively promote the brand. DINOs provide little value, and the Internet-only dealers aren't doing anything Heritage cannot do themselves - and more profitably.

 

The brick & mortar dealers that keep Heritage Guitars on the racks add more value by generating new customers who might have wandered into the shop looking for a different brand, or who are initially introduced to the value of the Heritage product by on-site staff. That's how I became a Heritage devotee.

 

 

Heritage also has to work on building brand recognition. As much as I love Marv, Ren, Jim, and the rest, they really weren't good at marketing the brand itself. They relied on dealers and the HOC to do the work. Now, with new owners, they are working on brand recognition by recruiting new artists, advertising, etc. There is much work to be done.

[deytookerjaabs]

Great decision IMO.

 

 

People who oversimplify this to a "dealer versus company" thing I don't think realize how cut throat the merchants are these days. This is FAR better than having some goobers who call themselves "dealers" only selling online. Places like "Music Store Live" list their unsold inventory (after a mere few months or less) as "Used" online while telling the consumer "don't worry, you'll still get the warranty, wink wink" at bargain basement prices, possibly cost or less. I hate that stuff.

 

I say Heritage cut THOSE middle men out, work a deal with true brick and mortars while continuing to sell through an enhanced website. If people want to try the guitar they know where to go, if they don't, Heritage gets their fair slice of the pie.

 

Hopefully the website carries a STRICT return policy so we don't see a market with a bunch of "I didn't like it" open box guitars. No defect....no return. Otherwise, go to a dealer.

 

Personally, I'm not much for the dealer model as a whole but I know it's necessary, but I really think online-only dealers should be strictly for the mass produced stuff.

[HANGAR18]

My wife and I toured the PRS factory last summer. For my birthday. Could not believe that we had not been before. Its only 20 miles from the house. Anyway, by the end of the tour, she was convinced that the only thing to do was to buy me PRS while we were at the factory. Turns out you can't. Have to go through a dealer, except during the annual PRS experience, when they have special editions and dealers on site.

I think PRS missed an opportunity. I would think the same would apply for Heritage. But offering a discount for an on line sale, I don't see how the dealers would be very happy about that. I hope this works out for them.

Actually, was encouraged when I saw the email and it mentioned the on line store. I was hoping for more than the admittedly nice t-shirt.

 

See you at the PRS Experience later this year. hahahaha

[HANGAR18]

Question: The non-guitar tourist people who are on vacation or traveling through the K-zoo area, and upon seeing the rack of local spots of interest fliers in their local hotel lobby, decide to go for a tour of the Heritage guitar factory. They've never heard of Heritage guitar before but while they are there, they decide to visit the gift shop and being loaded up with tourist money in their pocket, they decide to make an impulsive purchase of a guitar because they either think it will be a good investment for its future value 30 years from now or they have a grandkid who they think would like to have one of these guitars. Are we expecting that these tourists should be re-routed through the dealer network in order to buy a Heritage guitar? Poof! There goes your impulse buy out the window.

 

Just to play Devil's advocate, I think Heritage dealers ought to be focusing on building relationships with their customers in order to build customer loyalty to the individual dealer, which in turn will lead to multiple purchases over time. Dealers aren't in the business of catering to tourists who visit the factory and want to buy an expensive souvenir. I don't see how there is a conflict in the factory selling guitars directly to the general public. People who would never in a million years run across a Heritage dealer could get their foot in the door to the brand while at the factory. That first guitar bought at the factory will almost guarantee that all subsequent guitar purchases will be done through a dealer if they are serious about guitars.

 

"Dealers" really don't have a lot to complain about if they are doing their job as "salespeople", especially if they operate their dealership out of their residence as a hobbyist and don't have the same overhead as a normal dealer who sells guitars full time out of a brick & mortar store as their chosen career in life.

[Gitfiddler]

To remain competitive in today's global economy, businesses need to take advantage of every legitimate market to sell their product and increase brand awareness. That requires developing as many points of sale as possible...including brick and mortar dealers, online dealers, advertisements in guitar-centric media and factory-direct sales.

 

I don't believe anyone interested in the long term success of Heritage would argue against such a broad-based marketing strategy. However, maybe the communication of their strategic plan could have been front-loaded with the loyal Heritage dealers. I've seen many brilliant business plans fall due to poor communication.