Reverb, a famous online market for music gear from Chicago, announced its intentions to launch a platform for purchasing and selling vinyl records and other standard music formats.
Ever since it was launched back in 2013, Reverb has grown into a popular website whereby musicians can purchase and sell everything from professional turntables to vintage amps. The company’s current goal is to also expand that same reach for those who are not musicians and look to profit from or collect albums which are hard to get. Reverb Chief Operating Officer, Dan Melnick, says that all the people working at the company are confident that Reverb is a brand in which musicians and also passionate music enthusiasts can relate. They are also looking into various ways in which their users can interact with the organization.
Currently, it’s free to list gear on Reverb which typically takes a 3.5% fee to any item that is sold. The company is expected to hit $429 million sales on its platform by the end of this year thereby bringing it $29 million in income when also including several additional optional features sellers can buy. The company also plans to begin rolling out Reverb LP later in 2017 after some private beta testing. Melnick added that Reverb LP is also expected to have a similar business model that includes flat fees for sellers. Melnick also added that Reverb LP is going to launch on the web but with an excellent and highly responsive mobile experience. On its inception, it won’t feature an app, but it will be implemented later on.
Melnick said that the primary goal of Reverb LP is to differentiate itself from its competitors with a customer team that pays close attention to the needs of its clients and a platform with vibrant images that focuses on the uniqueness of each vinyl record album art. Melnick also added that the company would help sellers identify which particular record pressings they own so that they can determine the pricing efficiently. Melnick and his team believe that the current offerings available are still in the older generation of marketplace approach and technology. The organization feels that there is a lot of room for a modern player.
Stephen Young, the owner of Record Wonderland, a modern music record store based in Roselle, expects to be a reseller on Reverb LP as most of his customers nowadays search for vinyl records in his store. Young also said that out of the thousands of various records available in his store, the rock genre sells the best at Record Wonderland. He also added that older collectors are typically inspired by nostalgia when acquiring vinyl records but the store also has young customers aged 16-18 who are fascinated by the thought of music that is tangible as they have grown up in the digital era.
According to Deloitte Global, vinyl records and other related accessories are projected to generate approximately $1billion in revenue worldwide in 2017 as it is driven mainly by the demands of the consumer for collectibles. The firm also went on top predict that the market for new vinyl is expected to see a 7th consecutive year of double-digit growth.
Reverb is a company that has approximately 150 employees and is currently being led by David Kalt. Besides its central office based in Chicago at Lakeview, it also has an office in Amsterdam and several employees in various countries such as Japan, Germany, United Kingdom, Australia, and France.