Market Overview

Global Market

In 2017 Music Trades estimated the global music products markets in 2015 to be $15.9 billion.

European Market for Musical Instruments and Equipment

The top 10 European retail markets for musical instruments and music equipment (including the UK) are worth approximately £5.0 billion and are undergoing a profound shift towards online retail.

* = Management estimate

The largest retailer serving the European musical instruments and equipment market is Thomann.de, based in Germany, with a 2019 reported turnover figure of approximately £847m. Other competitors in the European market include Musicstore.de (Germany), Bax Shop (Netherlands) and Woodbrass (France).

UK Market for Musical Instruments and Equipment

Music Trades estimated the UK market is growing at 2%, with a long-tail of small independent shops, pure play online retailers, general merchandisers and department stores. Management estimates c.35% of the UK market is already online as the sector experiences the channel shift away from physical stores.

The Board believes that the current dynamics of the UK competitive landscape post COVID-19, in particular the significant degree of fragmentation with no large or dominant retailers, presents a consolidation opportunity. Whilst acquisitions of retail businesses do not form a core part of the current strategy, opportunities are reviewed on an ad hoc basis.

Audio Visual Market

Management estimates the addressable European market at £2.7 billion.

Management estimates the UK addressable market at £400 million, and it to be currently dominated by high-street based retailers.