AGENDA

▪ Market Analysis
▪ Competitive Analysis
▪ Company Analysis
MARKET
ANALYSIS
MACRO TRENDS
MACRO TRENDS

 53% increase in digital streaming in 2017 from $2.2 billion in 2016 to $3.4 billion in
2017

 Total music consumption up 12.5%

 Audio/video on demand streaming up 43%

 Audio-only demand streams up 58.7%

 BRAND LOYALTY

• If consumers are satisfied with their current drum set, and the vendor they purchase from, it is
a challenge for consumers to branch out and try a new brand
• Brand loyalty derives from a customer identifying their own values within the brand
• Consumers are more likely to choose a brand that is well known (it is assumed as reputable)
• Brand loyalists make up 37 percent of the population -Forbes
CHALLENGES

 High cost of manufacturing

 Intense competition (greater interest in virtual musical instruments leading

vendors)

 Increase in digital music producing using software such as Protools etc.

 Rapid advances in technology and frequent changes in consumer preferences

 Longevity of drums
TARGET MARKET ID & CUSTOMER PROFILE

 Music enthusiasts

 18-24 year old male

 Listens to punk metal music.

 Relatively small market in the

customized drum line due to it being
so niche.

 SJC promotes for anyone of any age

getting a customized kit made for
them
POTENTIAL SEGMENTS OF DRUM BUYERS

 Different Segments:
 Educational (School of rock)
 Beginner players
 Intermediate
 Professional
 Hobbyist players
SOCIAL MEDIA

 Target customer social media usage:

 Facebook: Longer Videos to explain & describe products and services

 Instagram: Showcase most visually appealing kits & snares, short videos

 Twitter: Shorter posts with pictures

Facebook Instagram
KELLER SHELLS
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MARKET SUMMARY

 Sleepy Market
 Medium-High risk purchase
 Drum players begin playing between ages 7-12
 Brand loyal customers
 Electronic music is growing/it's cost effective
 Global percussion instruments market 2015-2020 ($ billions) market size and
forecast the global percussion instruments market is expected to grow slowly
COMPETITIVE
ANALYSIS
PERCEPTUAL MAP
Higher Quality
SJC Custom Drums
PorkPie
Pearl Mapex Ludwig
Gretsch Sonor DW

PDP
Tama
Lower Priced Higher Priced
Yamaha

Lower Quality
PERCEPTUAL MAP
Highly Customizable
SJC Custom Drums
Mapex

Pearl
Sonor
DW
Ludwig
Small Product Line PDP Large Product Line
Gretsch Yamaha
Tama

PorkPie

Standard
STRATEGIC SQUARE

G
M r
T
a P e
a D Offensive
Defensive Pearl Ludwig p D t
m W s
e P
a c
x
h

SJC Custom Pork Pie

Flanking Yamaha Sonor Guerrilla
Drums Percussion
OTHER CUSTOM DRUM COMPANIES:

 Ebenor Percussion  GMS

 Hammer Custom Drum  Noble & Cooley Drum Co

 Exeter Drum works  Outlaw Drums

 Derby City Custom Drums  Precision Drum, Co

 Riddim Custom Drums  C & C Drum, Co

 "The best reason to play drums"

 Wholesale distributor of drums, percussion musical instruments and flutes for the United
States made in China and Taiwan

 Shells: Maple, birch, African mahogany, gum, and composite shells

 Large variety of drum lines/ options including Music City Custom line

 Pearl Drummer Forum

 4 piece set ranges from $400 to $6000 on Sweetwater

• "The most famous name on drums"
• Wide product range to target new, experienced and professional drummers
• Maple, Mahogany and Acrylic shells
• Wide range of price points to meet every drummer's need
• $299-$3350
 Midrange to expensive product to target experienced and professional drummers
while also attracting the younger just getting started in a band drummer

 Focus in three categories of products: Marching instruments, microphone stands,

and drums (& accessories)

 Shells: Maple, Walnut, Spruce, Bubinga, Birch, Poplar

 4 piece drum sets on Sweetwater start at $400 and go all the way up to $3000
 Started in 1972 in Santa Monica, CA as a drummer's
school.

 Have a dealer in every state except North Dakota

 Shells: Maple, Birch, Cherry, Oak, Mahogany, Stainless

Steel, Aluminum, Bronze

 A 4-piece drum set on Sweetwater range from $1,200-

$5,470
 A progressive drum brand created to provide drums pedals and
hardware that feature boutique-inspired, player-friendly features
and best-in-class build-quality to more drummers around the
globe

 Work with students, players, and educators, universities, music

institutions, professional players and working drummers

 Made from birch and maple shells

 4 piece set on Sweetwater goes for $480 to $650

• Company with pride in its American roots and ability to deliver
"The Great Gretsch Sound"

• Good variety of kits and snares, all focused on their unique

sound

• Maple and gum shells

• Website features education section with clinics, private lessons

and master classes/camps with their clinicians, many of which
are famous drummers

• Gretsch Drums Renown 4-piece Shell Pack $1399 on

Sweetwater
 Motto: #playmore

 Offer pro to entry level shell packs with different

configuration and finish options

 Maple, walnut, birch, poplar shells

 Mapex MyDenity

 $799-$2,050

 Offer instore clinics with musicians all over US

• Go-to company for musicians of all skill levels that want to quality, affordable
instrument to express their love of music

• Large product line of all instruments, specialty in Piano

• Sell both acoustic and electronic drums

• Focus on education through Yamaha Music School Program

• Shells: Maple, Birch, Oak, Aluminum, Stainless Steel, Brass

• Yamaha Tour Custom 4-Piece kit $1299.99 on Sweetwater

• The headquarter is located in Bad Berleburg-Aue, Germany
• Made from beech and birch shells
• They mainly do their sales directly from the dealer and little to none online sales
• Take a scientific approach to improving percussion instruments
• They only have one 4-piece drum kit on Sweetwater and it goes for $480
 "Dig the Pig". Hand made by an American. This world has two kinds of people: the
ones who already own Pork Pie Drums and the ones who are about to buy them
 Maple, oak, maple oak, red oak, patina brass, American black walnut, cherry,
African mahogany, birch, maple mahogany shells
 Focus exclusively on drums with four different types of drum lines
 The USA custom line
 Little squealer line
 The new hip pig line
 Acrylic drums

 4 piece set somewhere between $1,000 and $1200 on Sweetwater

COMPETITIVE SUMMARY

 There is a highly competitive market with many competitors employing similar tactics to
try to gain customers
 Pearl and Mapex have released new customizable drum lines
 Marketing messages of American made, and hand-crafted products
 Educational programs and youth kits to try to capture consumers early

 Larger companies offer clinics and master classes featuring their famous endorsees to
draw in consumers

 While there are many other drum companies that focus on handmade, custom products,
none of them are large enough to pose a direct threat
COMPANY
ANALYSIS
MISSION/VISION

 Our passion is to create products that are as unique as the drummers that play
them.
 We craft high-quality drums based on your unique needs. From the sound, look
and feel that you require, we manufacture your dream into reality.
 We are proud to have a collaborative culture and willingness to push the limits. We
value every step of the process and strive to give you a seamless experience from
the moment you contact us through your years of playing.
 We have a large product mix of custom, pro, and mid-level kits, snares and
hardware for every type of player.
 Whether you're just starting out, hustling and playing local shows, or headlining
arenas around the world, we take pride in treating all our drummers with the
same exceptional service and will always go the extra mile.
SEGMENTS SERVED

 18 – 50 years old
 Mostly males
 Some females
 Married and Unmarried
 National and International
 Beginners up to professionals
 Live sound and recording
 Country musicians, pop, punk, metal, alternative, rock
 Drum enthusiasts and frequent drummers
 Generally not as sensitive to price
 Prefer custom to mass produced
 Do not mind waiting a little longer for quality
 S.W.O.T.

Strengths
-Strong social media presence
-Unique high quality products
-Visually appealing website
-Positive brand image
Weaknesses
-Small niche market
-More expensive then competitiors
-Little paid advertising

Opportunities Threats
-New advertising campaigns -Cost of paid ads
-New products -Market changes
-Obtaining a larger market share -Electronic drums
COMPANY RESOURCES

 Paid advertising budget: $1500 to $2000 per month

 All drums are made and shipped in house

 All artisans and staff are located in house at their Southbridge, MA facility

 Participate in Make a Wish Foundation

 Reputable testimonies from well-known artists

CURRENT PROMOTIONS

 Promote brand through different social media outlets

 Facebook, Instagram, Twitter

 Hashtags to link pictures and posts to brand

 Rely on word of mouth through existing customers

UNIQUENESS

 Crafting high-quality drums based on customers unique needs

 "Our passion is to create products that are as unique as the drummers that play them"

 Offer a large product mix of custom, pro, and mid-level kits, snares and hardware for
every type of drum player

 Unique packaging system, offering personalized specialty notes that can be added to
shipping order

 "Let's talk drums!" Interactive section of website encouraging customers / music

enthusiasts to speak out with any questions/comments about drums
CONCLUSION

 Mission and vision are focused and clear, should be easily accessible on any
platform (Website & Social media)
 Appealing to a wide range of segments will lead to obtaining more market share
 Resources are limited (budget & employees) , and must be allocated in the best
ways possible
 Consistently showcasing products & promoting deals will encourage growth
 This is what makes SJC stand out as a company. Being consistently unique keeps
up brand image, and provides options satisfy any customer's desires.