Retail Observer

RETAILOBSERVER.COM DECEMBER 2014 50 E very year, manufacturers and consumers descend upon Denver to learn about the latest innovations in custom electronics at the Custom Electronic Design and Installation Association (CEDIA) Expo. It was wireless multi-room audio—traditionally not a very custom category—that pervaded the show floor. More manufacturers showed wireless multi-room audio solutions than ever, with several new systems surfacing to compete with the trendy consumer-facing Sonos line. Why are these products becoming so popular? For one, they are less invasive than traditional multi-room audio solutions, which require integrators to run audio cable to every speaker in the home. This can be expensive in terms of labor costs, especially in a remodel scenario, not to mention inconvenient for the homeowner. But then again, wireless audio does have its tradeoffs. For one, it depends on the integrity of the home network and the bandwidth of an already crowded Internet spectrum. Interference and dropouts are part of the deal, though wireless audio is only getting better. With all the systems flooding the market, however, the electronics retailer is presented with a unique opportunity. General consumer interest in multi-room wireless audio is far greater than for custom, wired whole-house music. Introducing a homeowner to a wireless multi-room solution, with its convenience and dramatic lifestyle benefits, will make for a very happy customer—which means repeat business and referrals. For example, Denons' amazing new HEOS wireless multi-room audio system is relatively inexpensive when compared with a traditional whole-house audio system, doesn't require custom installation, doesn't necessitate punching holes in the drywall, and is plug-and-play. Additionally, for most consumers, this is a fairly new product category, meaning the retailer doesn't face the hurdle of selling the customer something he or she already owns. With higher-end solutions, like Definitive Technology's Wireless Collection, there is also increased opportunity for margin. The industrial design on this collection is nothing short of immaculate with crisp, clean, and precise lines and machined aluminum accents—and the sound quality is equal to the system's looks. The smaller Definitive Technology W7 goes for $399, the W9 for $699, and the W Studio Sound Bar for $1,299, which comes with an included subwoofer for instant low- frequency energy. LG, Polk, Harman Kardon, Bose, and others either bowed or introduced new features to their own wireless multi-room audio solutions at CEDIA, including bonuses like the ability to stream high-resolution audio. Even mount manufacturers like Sanus are getting in on the wireless game, with the latter premiering its new Sonos speaker stands for $99 a pair, which brings us around to the issue of attachment sales for wireless multi-room audio products. While the retailer won't make any money on speaker cable with these systems for obvious reasons, in addition to accessories like speaker stands, he or she will be presented with the opportunity to upgrade the client's home networking equipment now that streaming media has become the de facto format of choice. A robust wireless home network will help ensure that customers get the very best wireless quality, whether it is for video or audio, and therefore a better experience with reduced interference and fewer bandwidth issues. As 4K Ultra HD streaming comes online, this is an even more significant consideration for the high-tech home. Better home network equipment, like simple dual-band wireless and/or gigabit routers for instance, can make all the difference in the world and is an easy sell for consumers who know how unpleasant it is to look at a spinning wheel while waiting for a high- resolution movie to download. Whatever your stance is on multi-room wireless audio—whether you love the sound or prefer a wired system—it's clear that, for the mass consumer, this is the future of home audio. By seizing the opportunity, your business can only stand to benefit from the trend by increased awareness in the category, margins on some of the higher-end systems, attachment sales, and ultimately, referrals and repeat business. Plus, if you get customers into your store looking for wireless multi-room audio, who's to say they won't also spring for that new 4K Ultra HD TV. Carpe Diem! RO Jim Ristow Consumer Electronics Trends Jim Ristow is the executive vice president of consumer electronics for BrandSource, helping to establish it as one of the largest and most influential CE merchandising groups in the United States. WHOLE-HOUSE WIRELESS AUDIO: NO STRINGS ATTACHED

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