in a slow used guitar market, Who is buying all of the New Guitars ?

[dbintegrity]

Just like the title asks..... Its a very soft market for used guitars these days. I'm stunned at how low some sellers go and then to add insult to injury, they still don't sell..... The manufacturers are pumping out guitars as fast as they can and lets face it some of these small shop Martin / Gibson competitors are in the 5K and up for standard sitka top and Indian rosewood... What gives ?
Are they building these guitars with Cocaine glue ? LOL I mean with so many awesome guitars available in mint or near new condition, why would someone pay double or even triple for a new one ? I see new guitars in the 6500-9K price range that used a seller would be lucky to see 3500-5K ?

[Rev Roy]

I keep seeing reports of a “soft” used guitar market. That hasn’t been my experience...at least when it comes to selling “excellent” condition highend models from the Big Three. Over the last few years I’ve sold a Martin D-28, D-18 and CEO-7, a Gibson J-45, a Taylor 812e 12-fret and, most recently, a V-Class Taylor 714ce. All were posted on Reverb and AGF and sold in 10-14 days for very fair prices.

What I have often seen are people posting used guitars for sale at ridiculously high prices...typically more than you would pay to get the same guitar new from one of our sponsor. Those are the guitars that sit unsold for a long time...

[AMW]

It's interesting, we've gotten flooded with clean consignments in the last couple months, yet the new guitars continue to sell. In some cases, we've been lucky to have completely unique pieces from well respected shops who have devoted fans... doesn't hurt if it's the only one available anywhere!

Buying and selling patterns for our customers seem pretty consistent right now with the way that they've been for the last couple years... but there is a definite "thin the herd" philosophy developing. We're pretty sure that used and consignment is going to continue to grow, while brand new purchases shrink somewhat. But in this generational shift in the (high end for us) guitar market, it's still unclear exactly how it's going to shake out.

We're still mostly selling our core brands at a depreciation of 20-30% off of new, when condition is good to great. Totally agree that some of the prices that private sellers have started to accept have been surprisingly low, given their initial investment... but it seems like, in many cases, time is of the essence and people are trying to finance another instrument that has caught their eye.

What is absolutely clear is that many of our customers enjoy the pursuit as much as the guitars themselves!

[Floridapicker]

One thought is maybe the non transferable warranty. Plus at least to me I like being the original owner of guitars. As far as the cocaine glue is concerned, I don't think there would be any left over 70's Martins or Gibsons.

[sdelsolray]

Yes, the market is soft for quality used guitars, but that only affects price, not necessarily the quantity or frequency of transactions.

As to new quality guitars, I don't have enough data to comment. I can say that mid-level boutique luthiers (e.g., Collings, SCGC, Lowden, Martin Custom Shop, etc.) are doing OK. Keep in mind that one high end acoustic guitar is not that expensive once you compare it to a new car, boat, overseas vacation, home remodel, etc. Moreover, one purchased, there is little expense in maintaining the hobby of playing it.

[pagedr]

Originally Posted by Rev Roy

What I have often seen are people posting used guitars for sale at ridiculously high prices...typically more than you would pay to get the same guitar new from one of our sponsor. Those are the guitars that sit unsold for a long time...

This is so accurate. It's crazy what I see some guitars listed for on Reverb, and the amount of guitars that have been sitting around for months or even years in some cases. And I'm not just talking about guitars that are maybe a couple hundred dollars too high, there are plenty that are well over a thousand dollars above what a savvy buyer would pay.

[jpd]

Originally Posted by dbintegrity

Just like the title asks..... Its a very soft market for used guitars these days. .....

So it is....sure are a lot of great acoustics out there! We are sooooo fortunate to be here at this time!

[dbintegrity]

what could be hurting a used sale from a private seller, out of state, is the risk involved... first that the condition is as described and secondly will it be a great sounding guitar or a dog ? ... am i buying from someone reputable or some guy who just got it back from being repaired and he’s looking to dump it? No doubt there have been some questionable sellers so buyers are on guard, but you have that in any market... I would think consignment in a well known shop such as AMW or a few others may just be worth the trouble of shipping and consigning it. I would think playing a guitar first in a shop has got to be the best advertisement ....

[Optofonik]

Anyone who wants the assurances of a warranty buys new. My first and only used purchase was rife with "challenges". I don't buy boutique guitars though.

[leew3]

In a way this has kept me from trying to sell any of mine. That and continually playing them and thinking 'wow, what a great guitar'! Hopefully the market will improve by the time my kids sell them all out of my estate!!

[Paddy1951]

Originally Posted by pagedr

This is so accurate. It's crazy what I see some guitars listed for on Reverb, and the amount of guitars that have been sitting around for months or even years in some cases. And I'm not just talking about guitars that are maybe a couple hundred dollars too high, there are plenty that are well over a thousand dollars above what a savvy buyer would pay.

I agree with this. I realize that there is the practice of the "asking price" but many sellers fail to grasp that a guitar will NOT likely sell for $200 less than the price on a new guitar. There may be the rare exception but the number of new guitars is tremendous and price/performance gets better continually.

[k_russell]

Me. I prefer to characterize from scratch.

I have no evidence, but I suspect baby boomers are accumulating toys for their retirement years.

Thinking this way:
I will get a new guitar, take good care of it, and my grandchildren can have it when I'm gone.

[Steve DeRosa]

According to our bass player's wife, he is...

According to my wife, I am...

Can't vouch for the accuracy of their assessments, but the guys at the local Sam Ash sure love us...

[Arch Stanton]

Originally Posted by Floridapicker

One thought is maybe the non transferable warranty. Plus at least to me I like being the original owner of guitars. As far as the cocaine glue is concerned, I don't think there would be any left over 70's Martins or Gibsons.

I agree. I'd rather be the original owner. Same for cars..., nothing like the "new smell" for each!

[SalFromChatham]

I have been swapping, buying and selling, new and used... for a decade. This year is the slowest I’ve seen it. I’m still trying to sell one of two excellent guitars. If I needed the money I’d drop price to the crazy levels dbintegrity references, but I don’t so I don’t.

Anywho maybe it’s a sign.