Bowers & Wilkins CEO resigns, restructuring expert appointed

[GSOphile]

Until the smoke clears, it's all speculation. B&W is a big player in a cottage industry that is having difficulty attracting new enthusiasts. It could turn in a number of directions.

[aardvarkbark]

Originally Posted by damacman

I think he is referring more to compromise as being a function of cost cutting...

Oh, I'm quite certain that that is what he is referring to. So will an 802D3 manufactured today be different than an 802D3 manufactured last year?

Many manufacturers across all industries are experiencing decline in earnings today. Are they all making 'compromises' in materials used and quality of construction?

I personally believe that B&W will eject misguided costly pursuits that were outside their core and return to their roots, with no compromise to what brought them to the dance in the first place.

[aardvarkbark]

Originally Posted by GSOphile

... B&W is a big player in a cottage industry that is having difficulty attracting new enthusiasts...

kids today...

If you're sharing on facebook the latest contribution by Justin Beiber to the arts, you're not inclined to be a season ticket holder at your local symphony nor be aware of how music really sounds, so will have no interest in faithful reproduction of it while inhabiting your parent's basement with a network of on-line 'friends' playing video games.

I gotta think that high-end audio revenue is driven by mostly 50+ males who are financially 'comfortable' and persistently pursuing 'something better'.

I know I continue to make a sizable financial contribution to the segment!

[doggiehowser]

Full disclosure - I’m in a small HiFi business and while there will always be people who don’t care about high fidelity (my missus included - even tho she has better ears than me), I’m often encouraged by many young people getting in the hobby.

One of the best moments I had was when a dad came in to get a system for his son. It wasn’t an expensive system compared to those here but it’s a good first step. Rotel amp. Bowers speaker and a way to stream music. I saw the son playing Dire Straits that was his dad’s music. And I heard the dad check out Gessafelstein [emoji28] from the son’s collection.

In another instance, a kid came in with a turntable he picked up for virtually nothing from a thrift store. I tested the speed control with a phone app and because it was a direct drive, speed was still pretty much spot on. He had been working part time jobs and saved up for a good cartridge - in this case, a Micro Line Audio Technica - not the cheapest - but we were blown away by how good that sounded. It’s nice to see that kind of enthusiasm in kids.

Sorry for going off topic a little. But I just think that if Bowers concentrated on doing what they did best, they might fare better. Sometimes over expansion kills the business.

I’m not saying that Formation is a bad product. It actually delivers good sound. But I’m not sure there is that large a market to cater for in the price point they are looking at. From memory, I think Oppo’s dabble into wireless speakers and multi room audio probably hastened its demise too.

[PeterMusic]

Originally Posted by doggiehowser

Sorry for going off topic a little. But I just think that if Bowers concentrated on doing what they did best, they might fare better. Sometimes over expansion kills the business.

I’m not saying that Formation is a bad product. It actually delivers good sound. But I’m not sure there is that large a market to cater for in the price point they are looking at. From memory, I think Oppo’s dabble into wireless speakers and multi room audio probably hastened its demise too.

Exactly. While there are plenty of tales of decline due to too much reliance on spreadsheets, I can't think if a company with B&W's stature that has sacrificed quality/specs on its core products during a restructuring. It would be more economical to exit the business than destroy the fundamental value proposition. The 800s are still going to be great, the 700s really good, the 600s good on a budget...

Now the Formation line, that's a ripe target for an MBA

[mepstein10]

Originally Posted by doggiehowser

Full disclosure - I’m in a small HiFi business and while there will always be people who don’t care about high fidelity (my missus included - even tho she has better ears than me), I’m often encouraged by many young people getting in the hobby.

One of the best moments I had was when a dad came in to get a system for his son. It wasn’t an expensive system compared to those here but it’s a good first step. Rotel amp. Bowers speaker and a way to stream music. I saw the son playing Dire Straits that was his dad’s music. And I heard the dad check out Gessafelstein [emoji28] from the son’s collection.

In another instance, a kid came in with a turntable he picked up for virtually nothing from a thrift store. I tested the speed control with a phone app and because it was a direct drive, speed was still pretty much spot on. He had been working part time jobs and saved up for a good cartridge - in this case, a Micro Line Audio Technica - not the cheapest - but we were blown away by how good that sounded. It’s nice to see that kind of enthusiasm in kids.

Sorry for going off topic a little. But I just think that if Bowers concentrated on doing what they did best, they might fare better. Sometimes over expansion kills the business.

I’m not saying that Formation is a bad product. It actually delivers good sound. But I’m not sure there is that large a market to cater for in the price point they are looking at. From memory, I think Oppo’s dabble into wireless speakers and multi room audio probably hastened its demise too.

This is encouraging. Everything goes full circle.

I think the younger generation is switching over to more tactile approach to music - Vinyl, FM, things that are not streaming or played out of phones. I think being connected 24/7 at work is driving them to approach a technology from a simpler time if only to capture some of that magic.

[miner]

....plus, in my case, the Customer Service is non-existent on their website. Numerous attempts have gone unanswered. Not like Bowers of old.

[Kal Rubinson]

New product announcements next week.

[4music]

Perfect time for a new 800 series. I am really looking forward.

Originally Posted by Kal Rubinson

New product announcements next week.

[Kal Rubinson]

Not 800 series this time.