Musical Instrument & Supply Stores NAICS 459140

Jul 28, 2025 - Guitar Center Launches AI Shopping Tool

• Large retailer Guitar Center has launched a new AI shopping assistant on the store floor, according to Retail Tech Innovation Hub. The AI-powered assistant, called Rig Advisor, is available in locations in the US. The mobile-based tool, which is accessed via a QR code, allows customers to find and compare products available in stock at that specific store location. Customers can also search for gear inspired by specific songs and artists. According to Guitar Center Gabe Dalporto, “Rig Advisor is like having a professional gear consultant in the palm of your hand, delivering lightning fast answers as you explore our music stores. It will turn our stores into tech powered music hubs where creativity, curiosity, and inspiration lead the way.”
• Consumer sentiment, an indicator of discretionary spending, increased slightly in July 2025, rising to 61.8 in preliminary July data from 60.7 in June, according to a report in the Wall Street Journal. The consumer sentiment index from the University of Michigan hit a recent peak in December of 74, buoyed following the presidential election, but dropped to 52.2 in April 2025 as consumers expressed uncertainty about tariff effects and rising inflation. In July, respondents’ inflation expectations for the coming year were an anticipated price increase of 4.4%, which was tracking higher than in January, when respondents expected prices to grow by 3.9%. However, July’s inflation expectation results were lower than June’s, when respondents expected a 5% price increase for the coming year. The index serves as a predictor of consumer spending as it indicates consumers’ perception of their financial prospects and the broader economy.

• The US musical instrument and supplies stores industry is projected to grow at a 0.62% CAGR from 2025 to 2029, slower than the overall economy's projected growth, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The retail and wholesale sectors are driven by consumer spending, along with expenditure by businesses and government. Retail spending could soften with the growth of spending on consumer services. A factor that may limit consumer spending is higher tariffs on consumer goods. In 2025 and into the forecast period, real disposable income may be supported by continuing nominal wage growth, lower inflation rates, and higher employment levels. Lower inflation supports a moderate increase of real disposable income by about 2% in 2025 and 1.9% in 2026. Real income could suffer if prices rise due to tariff implementation.
• Musical instrument retailers are preparing for higher instrument prices and other adverse impacts from new tariffs imposed by the Trump administration, according to a statement from the National Association of Music Merchants (NAMM) in Synthtopia. NAMM CEO John Mlynczak said that the new tariffs will increase the prices of musical instruments, which are often imported or made with imported parts. The NAMM has called for “universal exemptions from punitive tariffs for all musical products and accessories that are used by musicians worldwide.” US tariffs have targeted imports from China, Canada, and Mexico, among others. In particular, tariffs on entry-level musical instruments imported from China would disproportionally affect young musicians, students, and school music programs. According to the National Retail Federation, “Like many other industries, musical product trade is also highly interconnected in North America, with decades of successful trade and partnerships between Mexico and Canada that have allowed us to compete globally.”