3/29/2016 5:19:33 PM
Long time car audio brand Clarion announced it will no longer sell products through aftermarket brick and motor retail store fronts and will target distribution strictly through on line vendors Crutchfield, Sonic Electronics and Amazon.
The company announcement came with the bold prediction, “Clarion believes the rest of the industry will likely follow suit sooner than later.” “
In an email PR release the company stated “ move to align itself better with this trend, Clarion Corporation of America will now exclusively market its automotive aftermarket products through three of the leading online retailers which include Amazon, Crutchfield and Sonic Electronix,”
The company further stated in the release “…any company in the retail space can tell you, for the last several years, sales have shifted heavily from brick and mortar retailers to online sites such as Amazon. The driving force behind that is the consumers themselves who are looking for convenience, selection, and competitive pricing.”
While the trend is undeniable, it comes with risk. It will remain to be seen how local retailers that provide installation, tech support and product recommendation are going to react. It is also untested waters for a brand to determine how local dealers factor in the consumer demand cycle and if three exclusive on line partners can drive sales and product awareness.
It will also be interesting to see how this new models affects price points, specifically will the new model drive product sales down to entry and mid-level at the expense of Clarions higher end products.
Timing and migration details are still pending and are expected to be released shortly.