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How many customers do you REALLY have?

  • 1.  How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-15-2022 22:21

    As I was setting up to send out reminder emails recently, out of curiosity I took a look at my customer database see how many active vs inactive customers I actually have. I was shocked to discover that only about 20% of the customers in my database are currently listed as active. I keep pretty good notes on everyone so I took a look at about 20% of the inactive customers to find out why they are listed as inactive. In other words, I wanted to find out what, if anything, I might be doing wrong to no longer have those customers. After several hours going through about 20% of the inactive customers I saw a pretty consistent pattern showing up, so I didn't go further. Here are the results, and some comments about them.

     : 12% - The piano just never gets tuned unless absolutely necessary. It's rarely played and unless they suddenly need it for a party, or their teacher says they're not coming back until it's tuned, they don't care.

    : 12% - Customer never responds to reminders. This is frequently the result of new piano 1st free tunings provided for people that already have a tech. Or, they eventually wind up falling in to the previous category. Many times it's simply because the customer is just too busy to respond and they forget, or they never see the reminder in the first place. As a rule I send reminder emails to every customer about twice a year. If I get no reply in two, sometimes three years if I really want the customer, I make them inactive. I don't want to pester them if they've moved on. Then again, sometimes, after four, five or even more years it dawns on them that their piano needs service and they contact me, almost always with apologies.

    : 12% - Customer has moved far away. Most of the time they tell me and I am able to help them find a new tech in their new location.

    : 11% - I'm no longer willing to make the drive. They are too far away by Los Angeles standards. This is a travel experience issue, mostly. For example, a 20 mile drive to the west side that once upon a time used to take half an hour or so can nowadays frequently mean a 2-1/2 to 3 hour round trip. Charging more, or scheduling multiple tunings in the same area is not the answer. I'm just no longer willing to spend that much time in 5mph traffic. Customers that I have explained this to always understand and are grateful for my referral to a tech closer to them.

    : 7% - I don't like the customer and don't want to provide service to them. 

    : 5% - I was only substituting for another tech. In other words, it was never my customer.

    : 5% - They were renting and the piano was returned.

    : 5% - The customer is too difficult to contact. Only access is an assistant that changes out frequently, with a new and now unknown email address and/or phone number, or a management company that isn't able, or willing to coordinate with the customer.

    : 4% - The customer is too difficult to schedule. They want hours, or days, that I am not available, or continually cancel and reschedule due to forgotten plans or emergencies.

    : 3% - I don't like the piano, or the home is just filthy. Customer may be fine but I get shivers at the thought of going back.

    : 3% - I'm told I'm too expensive

    : 3% - Customer has a spinet. Due to lower back problems that come with age, I am no longer able to service these instruments so I recommend them to a younger tech in their area.

    : 2% - Unable to convert the person to a paying customer. Sometimes this was a first time appointment that got cancelled at the last minute and the customer would not respond to reschedule. Sometimes this was a potential customer that wound up only wanting advice or, ultimately, was just price shopping.

    : 2% - Customer sold the piano.

    : 2% - Customer requested that I do not send reminders. Promised they would call when tuning was wanted. And most of them actually do. But because they do not get reminders they are categorically inactive customers.

    : 2% - Piano is no longer serviceable without many problems and customer won't invest in repairs or replace.

    : 2% - Customer died.

    : 2% - Customer wants my services but due to health, family emergencies, divorce etc., can no longer afford it.

    : 1% - Warranty service call. Usually the customer already has a tech and I was brought in because that tech could not take care of the problem. This 1% is the number of warranty calls I take where I was unable to take advantage of the previous techs failure and convert them into an active customer.

    : 1% - Business closed.

    : 1% - Customer told me they found another tech.

    : 1% - Not their piano. Paid for tuning for a friend, or relative. That person then usually winds up in the It's Never Tuned category.

    : 1% - Referred to another tech as I was not qualified to do required repairs.

    : 1% - Believe it or not, there are parts of Los Angeles that I just feel unsafe going to.

     Seeing how this information fell together I'd like to believe that I'm basically doing OK in the customer relations department, so please try to refrain from offering suggestions. Yes, there are likely customers in several of those categories that I have failed. I can't please everyone. And that's OK because all of us are always on the lookout for new customers for all the reasons stated above, and more. There will always be customer turnover. Customers disappear and new customers take their place. That's the nature of what we're doing. Still, statistically I found it a little disconcerting that only 20% of my customer database is comprised of active customers. On the other hand, I've been doing this for a bit over 20 years so my total customer database is a decent size, and if I had to actually deal with too much more than about 20% of my total customer database I would be overworked. So, the main reason I'm posting this here is to find out if my situation is unique or rather common. What percentage of your customer database is actually active?



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    Geoff Sykes, RPT
    Los Angeles CA
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  • 2.  RE: How many customers do you REALLY have?

    Posted 09-15-2022 22:55

    You don't mention it, but it seems to me that since 2020 the pandemic has slowed down or stopped a lot of what people would normally do.

    Elderly or infirm customers would tend to keep to themselves and not want anyone coming into the house. Well, I felt that way myself.

    What seems like it should have been the end of the pandemic seems to be blurred by Omicron's extreme contagiousness and the way that people can get it more than once. The new booster which is partly aimed at Omicron might finally change some of this, but only time will tell.






  • 3.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-15-2022 23:58
    Susan --

    I agree that Covid has slowed us all down. I'm sure I'm not alone in being forced into waiting things out and then doing what I could to slowly ramp things back up. I wasn't concerned so much about slowness as I was about overall repeat business vs non-repeat business. The pandemic started about 2-1/2  years ago, and I have dealt with my reminders and other customer contact to accommodate that. So far none of my customers that were active at the beginning of the pandemic have been moved to inactive. Some are, indeed, not replying to my reminders and may eventually wind up in the inactive category. But because everyone was affected by the pandemic in different ways I plan on giving them some extended time before I make that decision. Like you say, they may just still be playing it safe.

    ------------------------------
    Geoff Sykes, RPT
    Los Angeles CA
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  • 4.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-16-2022 01:53
    I think there are a couple of other factors that could be impacting one or more of your categories. 
    I've found that over the years people have become less maintenance oriented. A lot of people's tech (yes, pianos are technology) is basically throw away. A lot of people don't keep heirlooms anymore, and much of what is in their homes will be out for bulk pickup within 5 years. We buy expensive technology that simply can't be repaired even to replacing batteries.
    Covid disrupted our patterns long enough that people fall out of habits and routines and that can include getting the piano tuned. I'm getting less inquiries than I did pre covid.

    ------------------------------
    Steven Rosenthal RPT
    Honolulu HI
    (808) 521-7129
    ------------------------------



  • 5.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-16-2022 04:13
    Covid, in my situation, actually brought on a ton of business, at least in Hawaii. The governor closed down everything in March of 2020, and told all people working in office buildings to stay home and work remote. Except that starting two months later, in May, he allowed for in person piano lessons, as long as everyone was masked, and cleaned the keys, I figured if piano teachers were allowed to go to homes, so were piano tuners. I averaged about 30 pre-scheduled appointments, but people were coming out of the woodwork to get their pianos tuned. 

    The reason was, people stayed home to work, and three things happened. One, they were not spending money on commuting and eating lunch out every day. Two, instead of spending 2 or 3 hours commuting to and from work, they were able to spend that time at home. Which brings me to number three. When they took a break at work, they stood around the water cooler. But when they took a break at home, they played the piano. 

    As a result, from March of 2020 until I sold my business in July of 2021, I had my best year ever, income wise. I was scheduling customer 3 - 6 weeks out. 

    I know this is not what happened to many of you, but this was my situation. 

    Wim





  • 6.  RE: How many customers do you REALLY have?

    Posted 09-16-2022 08:52
    I also got a significant new influx of tunings during Covid due to zoom lessons. In many cases, this was the first time the teachers had an opportunity to hear the student's piano! Many were 1/4-1/2 step off - making teaching difficult.

    Time will tell if these new clients turn into return clients...

    Ron Koval

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    Ron Koval
    CHICAGO IL
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  • 7.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-16-2022 04:58
    Geoff. Interesting statistics. But believe it or not, in general, your business, and probably all of our business, are just about the same. Maybe not as detailed as yours, but all business have the same pattern of regular customers, and those that leave for a variety of reasons, including moving away, forming other loyalties, or getting rid of the item that needed repaired.

    I know you didn’t want suggestions, but there is one thing I’ve done to retain some customers. I send a post card to all my customers, who are not prescheduled, on the anniversary of their last tuning for 5 years. The reason I send a post card is because its a physical reminder to get the piano tuned. I see it on their piano, or on the refrigerator, when they do call me.

    I would like to recommend you send it to Scott Cole, our new Journal editor. I think it will make a great article for the Journal.

    Wim

    Sent from my iPhone




  • 8.  RE: How many customers do you REALLY have?

    Posted 09-16-2022 19:41
    Like Wim and Ron the last couple of years through COVID  have been very busy for the same reasons they listed. We were never locked down here, only a mask requirement in most places. I couldn't believe all the moaning and complaining about just wearing a mask 🤨. Big deal.

    ------------------------------
    "That Tuning Guy"
    Scott Kerns
    Lincoln, Nebraska
    www.thattuningguy.com
    PianoMeter, TuneLab & OnlyPure user
    ------------------------------



  • 9.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-16-2022 20:02
    Wim --

    >  I send a post card to all my customers, who are not prescheduled, on the anniversary of their last tuning for 5 years.

    Ya know, that's a really great idea! Give that little nudge to people that have just forgotten or gotten used to what they have. Thanks!

    Covid brought me a handful of people that invested one tuning, frequently with pitch raise, because they were bored and, well, there's that piano that's been sitting untouched in the other room for years, so why not? Six months later, when they receive my reminder, they tell me things like since the stay at home mandate has lifted and they can go out again they've lost interest. They promise to call me should the golf course ever be closed for six months again. Another handful of bored Covid related customers dragged in POS objects from their garage, or their neighbor's (garage), or off the street or CraigsList, in the hope that they could be easily repaired and made playable again. It was to laugh. 


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    Geoff Sykes, RPT
    Los Angeles CA
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  • 10.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-16-2022 22:41
    Add to all the above that during covid people were getting "free money" from the government. In many cases they really didn't need it so it was just a free basket of loot to spend anywhere. I suspect that helped turn some attention towards the "neglected" piano during that time. Now the freebie is gone and it's back to normal...(just an additional idea).

    Peter Grey Piano Doctor

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    Peter Grey
    Stratham NH
    (603) 686-2395
    pianodoctor57@gmail.com
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  • 11.  RE: How many customers do you REALLY have?

    Posted 09-17-2022 10:02

    One question no one is asking is --- at age 76 and being somewhat infirm, how many customers do I REALLY want?

    Sending some to my assistant, and I'm really glad he's there. Tuning for concerts truly makes my day, so I definitely shall continue with them as long as I can, and I'll keep tuning for old customers, especially musicians, as they ask me. A lot of them were locked down for quite awhile, like me.

    But new customers? It would have to be someone really remarkable.






  • 12.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 11:17
    Susan --

    > One question no one is asking is --- at age 76 and being somewhat infirm, how many customers do I REALLY want?

    At 73, I hear ya. Covid gave me the opportunity to cut my business down to a comfortable level, gracefully. I've no plans to fully retire but my comment about not being able to comfortably handle more than about 20% of my existing customer database is based on the number of service calls I'm now willing to make, and the hours I'm willing to work, without wearing myself out and missing out on other things. 


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    Geoff Sykes, RPT
    Los Angeles CA
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  • 13.  RE: How many customers do you REALLY have?

    Posted 09-17-2022 10:04
    So over the 2 1/2 years of covid, some of us have seen business increase, and some have seen a decrease.  I've been concerned about the continuing decrease in new piano sales, at least in the US, where numbers for 2021 (which I could post) show a continuing downward trend.  Does anyone have an estimate, or numbers available, relating piano sales to our piano servicing business?  Regards, Norman

    ------------------------------
    Norman Brickman
    Potomac Piano Service
    Potomac, Maryland
    potomacpiano@verizon.net
    https://potomacpiano.com
    (301) 983.9321
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  • 14.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 10:19
    Norman.

    It’s not the number of new sales we should be concerned about. Since pianos started being made, I would guess that 75% - 85% are still around. Not being played and not being serviced on a regular basis, but sitting in living rooms, back rooms, etc, collecting dust, until somebody says, “hey, let’s get it tuned because we have a party tomorrow” or “the grand kids want to take lessons”. When you put all of those pianos together, there is lots of work for us out there.

    Wim.

    Sent from my iPhone




  • 15.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 11:06
    Norman --

    A piano can last anywhere from 60, 80, 100 plus years if adequately cared for. If they stopped making pianos today there would still be enough work out there to keep piano technicians busy for many generations. Yes, piano sales are low. Who knows exactly why. I keep thinking that one of the reasons might be that the market is simply saturated. There are already enough pianos out there, in homes, that more simply aren't needed. Dealers may be hurting but piano techs should not be worried.

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    Geoff Sykes, RPT
    Los Angeles CA
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  • 16.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 12:46
    Geoff.

    That’s my point, too. The used piano market is huge. Either through family sales or just being passed down from one family member to another. But the reason used piano prices are so low is because there are too many of them. All of them needing our help.

    Sent from my iPhone




  • 17.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 12:50
    How many car manufacturers would be left if cars lasted 80-100 years!

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    Larry Messerly, RPT
    Bringing Harmony to Homes
    www.lacrossepianotuning.com
    ljmesserly@gmail.com
    928-899-7292
    ------------------------------



  • 18.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 20:31

    Hi Norman,

    Nothing scientific by any means, but the older a piano is, the more work it needs. The desire of people to fix up grandma's piano definitely adds quite a bit to my paycheck, though I admit there are some days where I'd rather be working on brand new pianos. In a way, the decreasing number of new piano sales means an increase in business for us. At least that's how I see it. 

    By the way, during the last few weeks I've had at least two spinet clients want to spend we'll over $600 to get their spinet fixed up and tuned for the first time in decades, despite my trying to convince them a new piano would serve their needs better. But in the end they made their decision, so I smiled and made sure my bids were high enough to ensure I was paid adequately for my time. Both clients were very happy because I was able to help them keep a piece of family history going just a little longer. 



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    Benjamin Sanchez, RPT
    Piano Technician / Artisan
    (256) 947-9999
    www.professional-piano-services.com
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  • 19.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 20:38

    Sorry Geoff, I tried to reply to this yesterday but apparently it got lost in cyberspace. Since moving, I've lost my California client database so can't provide accurate numbers, and my Alabama business is still too young to do so. But, here's what I remember about my CA business. 

    It was very similar to what you report. I think my active clients made up 25-30% of my total clients. My inactive clients were about the same break down as you wrote, I think. 

    As much as I hate inactivating a client, I try to remind myself that it's for the best. It allows me to focus on my good clients and ultimately provide a much better service because I have a much narrower focus in my business. I believe someone once told me that's part of working on the business, not just in the business. 



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    Benjamin Sanchez, RPT
    Piano Technician / Artisan
    (256) 947-9999
    www.professional-piano-services.com
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  • 20.  RE: How many customers do you REALLY have?

    Posted 09-17-2022 22:16
    Thanks all for the follow-up comments.  Yes, as I implied, I worry.  I am glad, and agree, that the used market is encouraging.  Here's to our continued success in servicing it!  Maybe down the road we'll have a more detailed sales and service thread here on the future, complete with an estimate of a time line.  Regards, Norman

    ------------------------------
    Norman Brickman
    Potomac Piano Service
    Potomac, Maryland
    potomacpiano@verizon.net
    https://potomacpiano.com
    (301) 983.9321
    ------------------------------



  • 21.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 22:53
    Norman, one thing we can expect in the future is that electronics will be a ubiquitous component. Steinway reported that 50% of their sales in 2021 were equipped with the very sophisticated "Spirio" system. At the PTG convention David Reed from Kawai gave a class on hybrid pianos. I believe that Kawai sales in the US were also about the same with one form or another of electronic enhancement and that in Europe that number was much much higher. I think leading the way are the so-called silent pianos but I expect we will see more hybrids with traditional actions and no strings at all in addition to the various types of "players". 
    It will take a decade or two but servicing the electronics or at least knowing how to work around them will become a standard practice.
    Meanwhile as indicated above, there is a huge store of pianos banked in people's homes, thanks partly because they are so dang hard to move. Some of them are quite worthwhile in terms of their quality. So it's not so much a shortage of instruments but a matter of how interested the public is in musical practice. Perhaps we should invest more in promoting a general interest in piano playing and the maintenance side will take care of itself.

    ------------------------------
    Steven Rosenthal RPT
    Honolulu HI
    (808) 521-7129
    ------------------------------



  • 22.  RE: How many customers do you REALLY have?

    Posted 09-18-2022 11:14

    Something about electronics: it seems that the product cycles keep speeding up. Another thing: replacement parts and instructions for servicing the electronic devices seem a very low priority, as in, practically non-existent. The people designing and selling sophisticated electronic devices are far more interested in selling new kinds than in how long the older ones will keep working.

    So, here we have an acoustic Steinway grand which can with some effort last 100 years, fully serviceable and high quality, and in it is an electronic device which will be lucky if it lasts 10 or 15, or if replacement parts are available for it, or if anyone has learned how to fix it -- or has any desire to work on it.

    Looking at the state of the world and manufacturing of very high end electronics, the different components for sophisticated devices are made in many different places, and are brought to be put together in many stages. But now the supply chains are shattered, and a lot of the countries which joined together to make something like an iPhone (i.e. the US and China) are disentangling themselves from joint ventures as fast as they can, moving manufacturing of things like high-end chips back to the US while friendsourcing parts and manufacturing. In the long run, making things close to home, not outsourcing to a country which is notorious for stealing technology, will do us good. But the transition may be kind of rocky. And I'm really glad that my pianos do not plug in and that my television does not "phone home" five times a second. Or at all.

    So, I suspect that while at the moment everything, but everything, is chockful of digital fancypants stuff and apps and software, and possibly some of it like Tik Tok may be sending individual data back to the Chinese communists, this is probably not going to last too many more years.






  • 23.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-17-2022 23:01
    I think it's important to point out that the percentage of active customers a tech has relative to the percentage of inactive customers will decrease as their database grows larger. If a tech has been in the business for a very long time their overall customer database could be huge. 20% of a huge database could be overwhelming. That is to say, as we continue our business we hope that the percentage of active customers actually decreases while the number of overall customers, active and inactive, continues to grow. I would think that once we achieve an active customer base that keeps us as busy as we are able, or want to be then we have reached an equilibrium where we acquire new customers at the same rate we lose old ones. When we are starting out, until we reach that equilibrium we have to actively hustle for more and more new customers. Even after we achieve that equilibrium we must not assume that new customers arriving to replace the old ones will just magically appear. That work may become easier but it still requires attention.

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    Geoff Sykes, RPT
    Los Angeles CA
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  • 24.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-18-2022 01:49
    There are two things I want to mention as part of this thread regarding old and new customers. They are not related but still important to know. 

    One, regarding the number of new clients. In my opinion we will never run out of new clients. After all, the population keeps growing and some of those people want pianos. There has also been a concern about not enough people wanting to go into music. That might also be false. I don't know what the latest figures are, but a couple of years ago I read in a reputable magazine that enrollment at university music departments across the country are at an all time high. Schools were turning away music students, and/or making adjustments in scheduling. And, of course, hiring more faculty to teach them. Maybe not all of them, but I'm confident that most of those students will eventually buy a piano after graduating, if not for themselves, but for their kids.  

    The second thing I want to say is for those of you who have been in the business for a while, but for some reason, the phone just isn't ringing as much as it should be. This is what I did about 25 years ago. As I mentioned in an earlier post, I send out a postcard (not email), to my customers for 5 years in the anniversary month of the last tuning. But there was a period of time when business was slow. I had my wife call all the customers that I hadn't tune for over 10 years with the excuse that we were cleaning out our data base. She would ask if they still had the piano. If they did, if they were using another tuner. If not, would they like to set up an appointment. While some said they didn't have another tuner, but no we didn't need to schedule an appointment because (no one plays, it sounds OK, etc), she did schedule quite a few appointments. What was interesting, though, was when she told those who didn't want to get their piano tuned that she would remove their name from the data base, some of them pleaded, "no please don't remove me from the data base". We didn't know whether it was because they were afraid it would effect their credit score, or whatever, we thought it was funny that they still wanted to be in my data base.  

    Anyway, a very interesting thread. Thanks, Geoff, for doing all the research.   

    Wim





  • 25.  RE: How many customers do you REALLY have?

    Registered Piano Technician
    Posted 09-18-2022 21:30
    Susan, you make some good points, I've been hired to remove the player parts from old (20 years) systems that used floppy disks. 
    At the same time, we have to remember that this isn't our first time to the rodeo. Player pianos were the original home entertainment systems at the turn of the last century. Being first, their advent was a huge boon to the industry. Players drove piano manufacturing to a half million units per year in the US during in the first quarter century, productivity never to be seen again. That era was every bit as much a tech boom as the first quarter of this century and the bottom of the player piano market fell out in 1925, collapsed in fact; by then recorded music, movies, and most significantly radio eclipsed interest in player pianos. Home life had changed by then in historic proportions. So had our way of "hearing the world" but that is a different topic.
    I was surprised that Steinway would invest so much resources into a player system but apparently they knew what they were doing. And they are being used on the concert stage, we saw an intriguing example of that at the convention last month. I've been tuning for concerts on other forms of hybrids for the last 20 years. So for the short term (at least the next 20 years) we should be prepared. Also, even though the first big wave of player pianos ended 100 years ago, there are still plenty of them around.

    ------------------------------
    Steven Rosenthal RPT
    Honolulu HI
    (808) 521-7129
    ------------------------------



  • 26.  RE: How many customers do you REALLY have?

    Posted 09-20-2022 16:42

    Steven, your comments on the Hybrid Piano form of digital pianos were of interest to me. I'm going to start a new thread on the Hybrid Piano -- with some follow-up on them.

    Susan – I agree about electronics dragging the piano into the modern world's issues of supply chains, short life times, maintenance issues, and more. In the case of Spirio customers, with its price tag, I have a hunch that the people who can afford to purchase the piano may not care! But I agree with your overall message of how things are headed.


    Regards, Norman



    ------------------------------
    Norman Brickman
    Potomac Piano Service
    Potomac, Maryland
    potomacpiano@verizon.net
    https://potomacpiano.com
    (301) 983.9321
    ------------------------------