Musical Instrument & Supply Stores NAICS 459140

Jan 21, 2026 - Slower Growth Expected

• Sales for the US musical instrument and supply stores industry are projected to grow at a CAGR of 1.08% between 2025 and 2029, according to an updated forecast from Inforum and the Interindustry Economic Research Fund, Inc. The expected growth rate is slower than the overall economy‘s anticipated growth. The report projects sluggish but positive economic growth in the coming years. Factors that continue to limit consumer spending are lower consumer sentiment levels, higher interest levels, and elevated price levels. Real disposable income is being limited by a slow rise of employment and higher consumption prices, with a projected increase of real disposable income of 1.8% in 2025 and 1.6% in 2026. The report noted that some shifts in consumer behavior persisted in 2025, including increased online shopping.
• While five services industries reported contraction in December, 11 industries reported growth, including the Retail Trade industry, according to an ISM Services PMI Report. Executives in the Retail Trade industry reported increases in business activity, new orders, employment, prices paid for materials and services, and inventories, along with decreases in new export orders, imports, and order backlogs in December. Other industries reporting growth during the period were Finance & Insurance; Accommodation & Food Services; Transportation & Warehousing; Arts, Entertainment & Recreation; Mining; Health Care & Social Assistance; Information; Wholesale Trade; Public Administration; and Utilities. Industries reporting contraction during the period include Management of Companies & Support Services; Professional, Scientific & Technical Services; Agriculture, Forestry, Fishing & Hunting; Educational Services; and Construction. Overall economic activity in the services sector continued to expand in December, registering 54.4%.

• According to the CNBC/NRF Retail Monitor, music stores posted gains in December 2025. Core retail sales rose 1.6% month over month and 3.5% year over year, reflecting results in line with the NRF retail forecast. The category of sporting goods, hobby, music, and book stores rose 3.5% month over month (seasonally adjusted) and up 5.1% year over year (unadjusted). Several other categories posting growth were clothing (6.1% year over year), and digital products (3.6% year over year). However, several industries contracted year over year including building and garden supply stores (down 5.3%), furniture and home furnishings stores (down 0.8%), and electronics and appliance stores (down 0.09%). The data, based on Affinity Solutions’ anonymized card transactions, highlights competitive pressures facing furniture retailers.
• According to a Guitar World report, Fender has raised prices by 5% to offset rising costs from tariffs, particularly on Chinese imports, which comprise 40% of its purchases. Despite a recent credit downgrade by Moody’s, S&P Global reports that Fender’s pricing strategy has been more effective than competitors who paused imports or avoided price hikes. However, the company faces a negative outlook due to weak consumer spending, cautious dealer inventory practices, and growing competition from the secondhand market. Broader industry data shows U.S. musical instrument exports fell 8.4% from January 2025 to July 2025, driven by trade policy uncertainty and reduced global demand. The developments highlight the vulnerability of musical instrument supply chains to geopolitical shifts and the importance of adaptive pricing strategies. Retailers must navigate cost pressures while maintaining consumer demand, especially for discretionary items like guitars, amid economic volatility and shifting global trade dynamics.