Consumer Behavior

Pandemic drives growth for online music retailer

Photo by istock.com

February 2, 2021

The need to chill, relax and de-stress is a major factor in why one online music retailer enjoyed robust record growth in 2020.

Sweetwater, an online music instrument and gear retailer based in America's heartland, reached key milestones last year as the global pandemic hit hard as 1.5 million people tapped the retailer's site for healing and relaxation purposes, according to a press release.

The 1.5 million unique customers with musical equipment purchases in 2020 was up from just under 1 million in 2019. The influx of customers helped propel the company to cross $1 billion in revenue in 2020.

"While we are proud of these company milestones, what we are really celebrating is the resilience, determination and success of independent musicians, churches and podcast producers everywhere, many of whom went out on a limb to invest in a new reality rather than fold their tents," Chuck Surack, Sweetwater founder and CEO, said in the release. "During such a difficult year, knowing that our customers, manufacturers and employees trust us and can continue to rely on us as a stable and growing influence in the music and audio retail space is something for which we are incredibly grateful."

Sweetwater added over 400 new jobs, increasing employee headcount by nearly 30%. It also opened a 480,000-square-foot distribution center a few weeks before the COVID-19 lockdown caused a massive spike in demand for audio equipment and instruments. That facility, which is nearly four times the size of the previous one, was expanded over the summer with the addition of 50,000 square feet to house even more inventory.

"Our hope is that these unprecedented times have propelled people into their dreams even more and that our products and services can help provide a sense of comfort and joy when they need it most. If we were able to help people in their time of need, then we are fulfilling our mission as a company," said Surack.

Sweetwater was founded in 1979 and grew from operating out of the back of Chuck's hand-me-down VW microbus to the largest online retailer of musical instruments and pro audio equipment in the United States with nearly 2,000 employees.