The Karaoke SoftShop
Top Rated Karaoke Software

Is Karaoke Dying Or In Market Decline Mode?

Anything that doesn't fit in another category.
Post Reply
The Lone Ranger
Posts: 615
Joined: Mon Jun 17, 2013 9:19 am
Location: CALIFORNIA

Is Karaoke Dying Or In Market Decline Mode?

Post by The Lone Ranger » Wed Nov 08, 2017 4:37 pm

8) I have seen quite a few posts about is Karaoke Dying? While I don't think it is dying it is not the business most hosts who have been around awhile remember. In the past there were fewer venues having karaoke night and fewer hosts supplying the karaoke service for the venues. Things have changed dramatically in the last few years and I wanted to find out if a study had been done with hard data, and not just the local opinions of hosts. After all hosts have a good knowledge of their own backyard and not so much the big picture of hosting nationally.

I came upon this study and I'm putting the link on here it is the newest information I could find and makes projections as to segments of the karaoke industry up until 2022. www.prweb.com/releases/2014/prweb9427899.htm

The take away I came with is that while karaoke is not dying it is not exactly the same as in the past. Every product or service has it's own market life cycle, the karaoke industry in this country at least has been in a steady decline mode since it's peak in 2003. Annual sales of karaoke equipment and software has plunged 80% since 2003 from 200 million gross sales to 40 million gross sales today.

The industry is in a "protracted decline" said music trade group NAMM aka National Assn. of Music Merchants.

Also the industry took a big hit when the economic meltdown came in 2008, for 5 years 5% of the industry contracted with a total loss of 25% of former business. Growth in the industry after the contraction has been at .01% while the general economy has averaged 2% growth, which means the lost ground was never made up and the industry as a whole is a smaller part of the economy than it was in it's heyday. The outlook isn't good since this type of growth can be expected until 2022, due to various forces that are beyond the control of the industry as a whole.



User avatar
wiseguy
Site Admin
Posts: 1817
Joined: Wed Aug 18, 2004 5:05 pm
Location: WV

Re: Is Karaoke Dying Or In Market Decline Mode?

Post by wiseguy » Thu Nov 09, 2017 7:20 pm

It would appear to me that the decline in the number of karaoke bars closely parallels the decline of bars in general. 20 years ago in my small hometown of about 10,000 residents, there were no fewer than 34 bars open 7 days a week. Now there are about 10. There's a similar situation in nearby cities. Karaoke remains one of the biggest entertainment attractions along with live bands.

The information in that report pretty much jives with what I have experienced personally. Stiffer DUI laws and stepped up enforcement has certainly cotributed to the decline of bars. Also, the decline in karaoke bars has coinsided with a marked increase in home karaoke systems. If you look at the inventory at a karaoke store like Ace Karaoke or the karaoke equipment sold on Amazon it is clear that they are focussing more and more on home users.

The Lone Ranger
Posts: 615
Joined: Mon Jun 17, 2013 9:19 am
Location: CALIFORNIA

Re: Is Karaoke Dying Or In Market Decline Mode?

Post by The Lone Ranger » Mon Nov 13, 2017 9:19 am

8) Believe it or not wiseguy I have seen host post that the number of bars has actually increased in SW Florida. That there has been a 75% increase in the number of bars with karaoke in that particular area. The trouble is while the number of bars and hosts have increased, the crowd that supports these establishments has not increased 75%. The wages of hosts are down from the old peaks, and all that is being done is, instead of a few packed venues, there are several venues averaging between 12 and 20 singers. Same pie only divided among more people, no real actual growth.

Post Reply