Inside Track: Deal or No Deal?

Nigel Ng of Advance Audio explains the tough challenges that specialist hi-fi retailers face in 2025…
Insiders often say that the audio industry has gone backwards. Once one of the richest and most exciting retail experiences, shopping for hi-fi in an actual physical store now seems, for many, to be at best an obsession with discounts, and at worst a waste of time. Not like the olden days… Just a few decades ago, a couple would hear about the wonders of hi-fi from a friend and start talking about upgrading their old tabletop radio.
Like refrigerators, washing machines and televisions, stereo systems were seen as a fine feat of engineering designed to enhance people’s lives, which of course they are. So in ‘date night’ fashion, this couple would visit a dealer together to bring the luxury of musical bliss into their homes. Their retail experience would involve pleasant and respectful social interaction and a voyage of discovery into the equipment that they might buy. The venue would treat them as precious guests and take them slowly through a curated process that ensured they’d end up with a hi-fi system they would treasure.
CLICK BAIT
So why has this changed? One reason is the onward march of technology. There are now many decent-sounding audio products that are smaller, sleeker, and cheaper than separate hi-fi. They certainly don’t sound as magical as a dedicated system, but they are still good enough to shrink the specialist market. Many people who still understand the importance of real hi-fi do not plan hi-fi nights with their spouse, mainly due to the internet.
It’s now so easy to browse products from home online, choose a product without seeing it, touching it, or hearing it – and then shop around on price before any retailer can build a rapport with the customer. Since price is a straightforward metric, people use it as a filter – but it narrows people’s perception of value down to just that, sucking out air from the bigger picture.
In addition to encouraging people to price-shop for a product they think they want, the online world now dispenses education. Blogs, YouTube channels and forums are filled with folks with all sorts of agendas who praise or condemn products in no uncertain terms. I believe that home research is a good thing, but only as a first step to get the ball rolling.
Unlike going into a hi-fi retailer and talking to an expert, there is no meaningful feedback, no back-and-forth of one mind to another, and no personal, bespoke solution. Nor is there the ability to touch and feel the product in the flesh, so to speak. This ‘brave new world’ is demotivating specialist dealers. The very things that make shopping in-store better than shopping online – and which even make paying full price worthwhile—are being suffocated and worn down.
If a prospective purchaser believes that all the value in the transaction comes from the product itself, then by definition, they see no value in your showroom, your staff, your advice, your service, your support, and/or your proximity. All the capital, time, effort, and the genuine love and care you put into those things start to feel like a waste. And so begins the era where a person can walk through the doors of a hi-fi dealer, look over at the welcome desk, and see three people in uniform looking at phones or computer screens while ignoring them.
Sadly, this can even be from dealers who once ran brilliant showrooms and put countless hi-fi systems into people’s loving homes. Also, the wonder and magic of high-performing systems become hidden. Very few people are aware of how incredible a well-matched separates hi-fi system can sound anymore. For example, when most people see a speaker, they expect it to sound decent. As long as it’s had good reviews, then that’s okay, assuming the price is right. They go to whatever retailer is within driving distance and has it listed online at the cheapest price. They give it a quick listen, and as long as it’s okay on the short piece of music they play, they buy it. All done and dusted then, but people are potentially missing out.
UP-SELLING
This process is typical for those who treat buying a speaker as if solving a problem. Others who want richer, more exciting experiences – connoisseurs, if you will – do this too, but only because they don’t know there’s an alternative. I’ve seen it a hundred times. A newcomer will enter our showroom to get a cable for an existing system they bought from a high-volume retailer. As we chatted with them, we found out that they really love music. We’ll take them into our listening rooms so they can have some fun during their visit. They’re visibly shocked to discover how much better hi-fi can get, and end up upgrading their whole system to something ten times the budget or more.
Simply put, these people had the budget and the desire for something more – they didn’t know such performance existed. Circling back, what we have in the industry today is that the experience-driven and interpersonal world of hi-fi has morphed into something fast, loose, and shallow. What was once a rich, exciting experience has atrophied because people can shop on price and feel as though they have enough guidance from forums and reviews before setting foot in a retailer.
For this reason, price—in all its shallow glory—has become the primary concern for consumers, and in doing so, it has suffocated much of what makes brick-and-mortar specialists so great. Dealers struggle to maintain the emotional drive to train, develop, and maintain great service standards, as well as the revenue to afford excellent service people and consultants. Many consumers who would love to enjoy their music in full, vivid colour stick with ordinary speakers because they don’t know that dedicated systems make a big difference.
VALUE ADDED
So, what can bring this back around? One thing would be for the industry to realise what is happening and then agree to adhere to rules about published pricing. Yes, every dealer would then have to invest capital, attention and emotion into getting customers through merit, rather than having lower numbers. After all, if retailers cannot offer quality service, expertise, and knowledge, the only thing left to offer a punter is a lower price. But it could breathe life back into what was once an industry with culture and humanity.
The other thing is for the hi-fi dealers of the world to stand up against the urge to be resentful, grouchy, and fatigued… and instead run optimistic, energetic, cultured operations. A great dealer is, of course, partly a retail store, but also partly a full-service dealership, an experience centre, a consultancy, and even a social meet-up space. It’s a place where a person can set the world aside and focus their attention on their interest in music, electronics, technology, home design, and or other related topics. They can ask questions, learn, and have a complete solution carefully designed just for them. They can see and hear multiple products before they decide. And then they can source everything they need — and look forward to a long-term relationship of service, support, and rapport.
What about big-name retailers who are clearly succeeding in today’s environment? Well, they tap into this challenging marketing environment by playing by the new rules. They hire mostly younger folks who are passionate about technology, and give them narrow roles on fast-paced sales floors. These personnel are often trained through trial and error; they have to know a little bit about all the different departments. They know how to answer questions they’ve been asked before, so their expertise is limited to the questions everyday people already know to ask. Think of it like an echo chamber of sorts.
Conversely, specialist dealership staff will be trained by brand reps who know their products inside and out. They’ll also have experience going much deeper in conversations about hi-fi, critically listening to audio equipment of all kinds, guiding clients through troubleshooting and setup, and often even in installation and repair.
That’s important because audio reproduction is delicate. It’s easy to go from poor sound – think default speakers in TVS or cheap computer speakers – to good sound – think popular wireless speakers or soundbars. But to go from good sound to great sound – where the music starts to feel real when you close your eyes, as if the artist is actually in front of you – is more challenging. The electronics must process delicate signals with minimal loss. Materials must exhibit near-ideal properties for their role. Cabinets must resist vibration, and drivers must faithfully track the music signal.
It’s not up to the music lover to dedicate attention to learning these nuances. It’s up to the consultant, who asks the client only for a vision, a taste in music, and a budget and then designs a bespoke solution for them. This allows a person to focus their daily attention on their own expertise and still reap the benefits of understanding hi-fi.
All this said, I’ll be the first to admit that a person may fall on either side of this debate. When the typewriter repairman saw computers with word processors coming over the horizon, he’d have been wise to adapt. If technology can get to a point where a product can deliver all of the perceptible quality of music in a neat, small, convenient and cheap package, then dedicated hi-fi will go the way of the dinosaurs. Paying more for a friendly consultant may not make sense in that world.
MATERIAL WORLD
On this note, I offer a call to action. That world isn’t here yet, and when it is, then I hope we all find social and cultural experiences elsewhere – because they’re crucial to our wellbeing. Statistics suggest people are suffering from psychological ailments at alarming rates. Notably, this suffering is happening in places where resources are abundant and life is easier on average than at any other point in human history. Meanwhile, you don’t have to look far to see how technologies of convenience and entertainment rob us of much-needed social interactions and vivid, tangible, real-world experiences.
This is a personal phenomenon, of course. But should business not be a personal enterprise? Wouldn’t it be a step away from those dire statistics for a person to appreciate the adventure of shopping for hi-fi? To have a real experience in the physical world, where you savour the process of discovering and acquiring a marvellous piece of engineering, and you establish a genuine relationship with those who dedicate their lives to purveying them? When they walk through that door, do they want the dealer and their team to clamour over each other, eager to offer passion and service to this newcomer?
Not only do I believe that a great hi-fi dealer can find and maintain a strong market share, but I also think that society itself is hungry for a world where business is conducted in this way. So next time you want to purchase something complex, costly, and well-merited, then consider doing so in a physical location, one known for great service, or one in your own neighbourhood. Vote for that world with your dollars, and make it an adventure!
Support your local hi-fi store

Nigel Ng
Having started in the industry at the young age of 14, Nigel has had experience across almost all sectors of the AV industry, nationally and internationally. As Managing Director of Sydney’s Audio Connection, his outlook on life is that “he just wants to do cool stuff with good people”, and “a high tide raises all ships.”
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