Music Store Company

Introduction to Topic

Nowadays business competition is increasingly intensified especially music instrument market. The application of IT systems and an advertisement via Social media channel is absolutely necessary for providing and reaching the target groups directly. Moreover, it can increase the consumers and the market share in the future.
Music Store is one of company that use the application of IT system and advertisement via social media for making the benefit of their company. It is an effective way for the company for expanding and increasing consumers. Moreover, Music store’s consumers have increased continually since using IT system’s application and advertising on social media. This may be because technologies have become a part of life and it is important for people to connect with others and using internet update information.

Objectives of the study

1. To study the application of IT system in Music Store Company.
2. To study the advantage and disadvantage when use IT system and Social media for advertising.
3. To compare between the traditional management and improve management by using IT system.

History of Music Store

Source: Music Store Company profile

In 2007 Music Store had changed manager. The ex – owner resigned the business and his son got a promotion to a manager for replacing his father. After he was promoted, he changed the company’s vision from “ Able to disturb around Thailand” to “He wants to disturb to end users by my own”. There is a difference between the old and new vision. This is because his father did not use IT system to organize information. When the retail shop opened, there is a lot of information to organize. It was difficult for him to handle and organize it without technology. When his son was promoted to manager, he can handle and organize the information well with technology because he graduated the bachelor’s degree in Telecommunication Engineer. So he changed the vision of the company. He uses IT system to organize information from many retail that change every time and analyze information so he could take better respond to his customers. IT system can do more than analyze information he use it to communicate with his suppliers and his customers that make him to close them. He uses the technology as CCTV to security in his store that can reduce damage from losing store. He uses internet like marketing channel which he can increase their sales.

Key Activity

SEO : Search Engine Optimization
Search Engine Optimization is a way to make the Music store’s website appear in a good position via Search Engine by the word "Music Store". It found that the website is only the music instrument shop in Thailand that appear on the first page of search result in second order, which will increase awareness worldwide target group and chances sale products because Google is the website that people around the world use to find information.
Email Marketing
Email Marketing is the method used for informing news , promotion or new instrument to the members or customers who have been known by email. Its help increases the chance for sale by sending news to customers who have already filled out or order information in the past. This channel is fast, convenient, save money and reasonably efficiently. It also can check the percentage of consumers who read the email after received it. The company also has local and international email for consumers who live in Thailand and oversea. As follows,
Local Email: moc.liamg|angnabagem_erotscisum#moc.liamg|angnabagem_erotscisum
International Email: moc.liamg|pr.gniy#moc.liamg|pr.gniy, moc.liamtoh|pr_gniy#moc.liamtoh|pr_gniy
Update Website (reconstructed) and (under constructed) are main channel for order, find product information and use decision to purchase. Our websites have been classified product according type and brand that make it easy to choose the product/ for choosing the product easily. It also contains product details such as color, material, price, brand and product description in English to support international customers. Along with related product in order to offer alternative decision, Ranking best seller and Web board to communicate, consulting , advice or answer questions. Communicate through Web board rarely popular but it also has little active. Due mostly we use Facebook fan page to communicate more than Web board. Nevertheless, Web board can be build credibility that customers have really purchase and received product exactly. These things build credibility our store. In addition, Website will have always update and improve when new products come into store.
Social Media
Main objective is create widest network fan page create awareness to target group and customer service channel both before and after sale. Our store would have introduced interesting product to stimulate customer interest. There are also, Image, video, product review, contact number include link to main website, So that customer can view and purchase more product. Web page usually use for conversation. We will answer all customer questions to ensure that customers will find answers certainly, courage to ask in next time and page are always update.
Fan page: 16,853 Like 7,041 Like 2,780 Like 15,014 Like
PDK TRADING LTD., PART is variety musical instrument trader company include Thai instrument, International instrument, Folk instrument. It also has amplifier, Parts of instrument, Music practice room and repair all musical instrument. PDK TRADING LTD., PART was established in 1974 for retail and wholesale trade both domestic and international. Classified store by type of sales as follows,
• Sin Thong Music: For propose of wholesale shop for music instrument
• Music Store: For propose of retail shop for music instrument, show room, and for internet customer
• Vee music: For propose of musical school and music instrument shop room.
In the past, the company use POS (Point of Sale) method to sell the product. Sale staffs get a customer service mission to recommend products to consumers directly and consumers pay over the counter in the shop. So the shop can reach only small consumers who live in the province and nearby province only. Then PDK TRADING LTD., PART need to build musical instrument website for creating awareness even more. Addition customers will also get the convenience from the system. Can view picture each product and check the price. If customer interest, they are able to order online. Moreover, customers who are looking for information, knowledge sharing or opinion can post questions or comment via Web board. The web board requires customer’s register and log in first for protecting intruder and benefit for consumers who use the service through the website directly.
1. In case of customer lives in the suburb and the product is small, the company will send by postal. The customers need to pay the shipping cost based on weight and size. In case consumers order the large items, the delivery are based on the agreement.
2. In case of customer lives in the Bangkok can receive product at shop by themselves but the company also has a delivery service for consumers. (If the product is a guitar, the company will ship only logical post, To prevent damage and malfunction guitar with a minimum fee of 200 Baht per 1 unit)


Over last several years, Musical instruments Market continue growth. Affluent parent often give their children play music since them was young. Children and youth interest music a lot more therefore music school open to serve demand. Include several education institution have increase opened musical teach course. Marketing and distribution is still mainly focus on Point of Sale. Most customers will find information from website and then come to store trying interest musical instrument search for sound, design and quality equipment to meet need and then decide purchase. There is also music school and music teacher are product introduction.
For advertising product, The company is sponsor music contest, Join trade show and other channels to create awareness as follows,
• Famous instrument magazine are advertisement a full-page amount 1-2 pages. We will select magazine published fortnightly, monthly. Make it possible to send news fast, modern, through eyes of consumer so many times because reader per issue high number, no other advertisement handicap can create awareness outstanding and individuality resulted more eye-catching. Advertising on this channel can select specific target group and important, Magazine is credibility media. As follows THE GUITAR MAG, GUITARIST, OVERDRIVE, GUITAR AFFECTION, THE GUITAR UKULELE.
• Advertise on public website and web board of company are the major sponsor. We will choose advertise on music and musical instrument website can communicate information to target group. There are people who love music. As follows, (as Main sponsor) , (as Main sponsor),,,,,,
• Own website and web page company. As follows,,,,
• Our store is the famous radio program supporter that popular with teenager who like listen music and entertainment. We will choose advertisement duration with people most listen. This channel can be broadcasting coverage area very extensive because today audience listen from FM wave and can listen via Internet channel. Audience get more opportunity as follows, Virgin HitZ 95.5: Primetime 8:00AM to 10:00AM, EFM: 94.00: chae-yan-yen 4:00PM to 6:00PM
• Our store is major sponsor TV show about music and support instrument for drama famous makes audience view actors, Singers, Musicians Used musical instruments cause of awareness, Learn make audiences want to used according famous person and makes it more reliable. As follows, Chanel V: Kon-doo-pen-yai, CHT Chanel: Duck live show (as main supporter), Hormone the series (Support for musical instrument)
• Support film location and musical instruments for GTH movies, which produced several famous movies.
• Bill board advertising in shopping center are place a lot of traffic people. Audiences can view distance and remember it. As follows, 1 Bill Board at Siam Square Size 10 x 7sq.m., 1 Bill Board at Future park Rungsit , 1 Bill Board at Mega Bangna , 1 Bill Board at Central Pinklao.
• Product review website via Youtube. Such review playing guitar. We will Strum Guitar to audience in different song. Make audience get sound and various feature musical instrument. Because stimulation target audience wants it, video review easier to see than text will help decide correctly. As follows,,,
• Customers who are actor, singer and many celebrity guests help to make company image look better, Can be build credibility, attracted attention of teenagers and Promote our Store simultaneously. As follows, Pae Arrak, Arm Chair, ford Sobchai, Rose Sirintip, Tik Chero and other.
Picture 1 : Customer of music store shop

Key Resource

Thai manufacturing, aboard manufacturing, Trading company.
Musical instrument trade business requires a lot of investment in order to purchase stock for sale. Our business was a small retail musical instrument most revenue from retail. Then, our products have a good sale make increased revenue and gradually expanding into both retail and wholesale. Our store opened about 2 branches. So, it is expanding business steadily because funds for branch expansion use retained earning, Include long term loan with low interest rate. Can purchase on credit from suppliers and pay in installment about 1-2 years. Usually paid punctual has always got a trusted supplier. Our company purchase a lot product and good partner a long time receive discount and privilege. So issue of capital is not a problem for our company.
Sale staffs are very important because they are meet and provide advice to customer. Good service provider will great influence to customer satisfaction. So sales staff must be person with knowledge and expertise in music, especially guitar because guitar is popular product and sale staff must pass a rigorous training before come to store staff. Sales staff are responsible provide recommendation on specifications, features, pros and cons, material and popular products to provide products meet customer need and good service after sales. In addition, Must be service mind.
Only point of sale would not enough to make our business grow. Internet is very important part to make business growth particularly marketing. Seen that amount of Internet users are increasingly and consumers often look for information on the Internet before making purchase. So advertising on internet can create highly awareness and provide product information to customers before making purchase. This channel will be lower cost than other channels and more efficient. Thus, Music store Company developed IT technology such as Social media that include Facebook, YouTube website that have many details appear for advertise and PR in many key Company activities. In addition they used SeniorSoft professional 8 program for help them manage trade information, data Warehouse, Tax, account information to be used analysis, planning and solution business. After used technology like Social media in the beginning period of improvement this company, they found in many shop have new customer who know Music store information and promotion by surfing the internet and after that this customers will walk in to nearly shop for test and check product or sound of each instrument. SeniorSoft program made easily operation and convenient, each shop can manage inventory more efficiency because they know updated stock in every day. Moreover this program can storage customer information and design importance document such as Tax invoice, receipt, design barcode that made customer service can be systematically, rapidly and easily made customer impressed when come to shops.
Music Instrument
Our company is distributor musical instruments various types. Including Acoustic Guitar, Acoustic Guitar, Electric, Classical Guitar, Classical Guitar, Electric Guitar, Bass Guitar, Amp, Guitar Amp, Bass, Drums, Violin, Switzerland. Viola, Viola, Cello & Double Bass, Mandorin & Banjo, the gorgeous Meridian, Mount organist, hair, Pianicas, Ukulele, Tuner + Metronom, Music Stand, parts and accessories. There are good quality and world famous brands including Century, Vivid, Leaf and Quake etc. Especially, acoustic guitar with good sound quality and many brands for choose. All products are carefully select to get beautiful design, finely, modern and verified product and component are durable, many showroom.

Distribution Channel

1. Retail
Distribution channels have purpose for customers buy to use. Distributors must be proficiency musical instrument because customer required service and instruction closely, Convenience special .Sometime customer may want to watch demonstration or trying product before purchase. Thus use point of sale retail directly to customer. This channel will have storefront and no storefront .follow as,
- Our own retail shop is Music Store: For propose of retail shop for music instrument, show room,
- E-Commerce:
- Affiliates agreement
2. Wholesale
Wholesale are sales large quantity to other province store and musical institute need various instrument be used to teach student. .follow as,
Sin Thong Music: For propose of wholesale shop for music instrument
Vee music: For propose of musical school and music instrument shop room

Customer Segment

1. Wholesale
Wholesale customers purchase a lot quantity for sale, Negotiation price need focus on these customer group. Customer buy lot quantity should be emphasize price discounts and privilege include other province stores, musical institution.
2. Retail
Retail customers are a lot of people but little volume purchase per person. Various channel Advertising necessary to do for attract these customer group as much as possible, scramble with many competitor in market by the way emphasize meet the needs customer for most with quality product , product a lot of choose and good service. Our customer is children to teenager, men and women age 10-28 years. Including musicians, instrument collector, people who like to play music as hobby , parent who want to buy your children.

Cost Structure

mportant expenditures happen during normal operation of the business to create 2 things
1. Use of funds to drive business. It will use capital to propel business cycle continued, including salary, rents, computers, utilities And office equipment etc.
2. Use of funds to add business value. Aim at create value for product include advertising in various media, public relations
Especially about inventory costs that music instruments each brand each size each design each time different cost of goods. Control lowest costs are necessary so that it can generate maximum profits for our store. Cost of goods including cost of storage while goods are not sale very high. So plan cost of storage lowest. Main cost is purchase inventory for sale next rental costs because expansion every year, so rental cost increase more and last is labor cost.
Inventories are necessary for business because classified current asset as held for sale, So business can run smoothly. Too much inventory could be a problem with business include storage costs are high, obsolete, expired, stolen or lost also lost opportunity to create profitability but sunk in too much inventory.
In contrast, If business have too less inventory may experience problem product shortages, Stock out. Result in loss of opportunity to sell products to customers. It is Open spaces to competitors and it may lose customers. Therefore must manage inventory proper level not much or too little because investment in inventory requires lots of money and may affect the liquidity business.
We have managed various matters about item in stock from collect information, product notes in and out Control inventory appropriate amount and orderly to make product available to meet the needs of consumers both amount and type. To determine whether any musical instrument for good or bad, Should any goods order or should discount to clear stock or should cut stock because obsolete.
Consideration about amount of inventory on correct level, it is quite difficult. Thing can be used to assist in determine appropriate level of inventory from history information of sales by sales occurring in past to forecast sales that may occur in future. Determine inventories are directly proportional to sales forecast. If saleable, it might require a relatively large amount of inventory to support predicted sales. But sometimes business may have other purposes. As if predictions that prices are likely to rise in the future. Speculation may also choose to keep inventory current to sell at higher price in the future. Then amount of inventory store a lot. If we get discounts from suppliers will store inventory more than usual and consider the other conditions concurrently and effect of inventory management costs increase. Bestsellers are many stored. But if its not good to keep a few.

Inventory control system
Use periodic inventory system is a system inventory accounting method record only during the time scheduled. Such as counting and accounting for every end day week and month. When inventory decrease will have order to fill up a preset level. To know sales each day and conclude at the end of month to determine amount of inventory be prepared to sell in the future.
Warehouse and inventory management strategy plan is key of success business can fight competitors. The system requires quality, Technology systems modern and professional personnel. Three thing, It must work in harmony together to achieve accuracy in work.

Table 1: Show detail of average of cost structure for each year of Music store company.


This section examines the operating revenues generated by the Music Store. Operating revenues are revenues that are derived from the regular operations of a business. Revenues from non-operating sources such as interest and dividends are excluded.
The primary source of operating revenues for the vast majority of retail businesses is sales. Other sources of operating revenues can include commissions, manufacturing sales, labour revenues, revenues from rental and leasing, etc.
Sales represented 78% of total operating revenues in 2008, while other sources of revenues accounted for 25%. In 2009, sales accounted for 30% in 2010. Sales accounted for 15% in 2011 and sales accounted for 33% in 2012.

Table 2: Show Music store company’s Revenue since 2007 - 2012

A reasons is the company have been changed a manager because old owner let his son to management the company replace him. His son change vision of the company because owner did only whole sale. He said “I want do me distributor to ensure by himself. So the first year His tried to open Music shop by himself and he use IT to support him to get the data and analyze date. He needs accounting software because when he opened shop, he got many information and he and to finish and analyze every day. The graph below will show retail revenues and wholesale.

Table 3: Compare between Whole sale and Retail shop of Music store company.

Strategy of Music Store

• Employee meeting in every month to analyze how to promote their products and create the new promotions.
• Open 2 branches in Bangkok and nearby areas
• Acquire 2 more distributor agreement for the different kinds of product which we have.
2. LONG TERM PLAN (2014-2019)
• 2015 Build new warehouse in Northeast Thailand. In order to collect and distribute the products to the retail shops in Northeastern Thailand and Laos (long term plan in 2019).
• 2016 Open 2 more branches in border of Thailand where close to LOAS. Add more product categories which are related to music.
• 2017-2018 Open 2 more branches in border of Thailand where close to Myanmar.
• 2019 Expand our business in neighboring country (LAOS).


Due to Music Store engage in business by selling the several types of instruments. So they have many competitors. Both of major competitors and another competitors. Such as
• Siam Music Yamaha Co., LTD
• Capital Music
• Lucky Music
• Yong Seng Musical
• Music Exchange Thailand
• Music Boulevard
• Music Modern
• Forte Music
• GEYE Music

IT and Role of IT

After that Music Store had changed the manager, they use IT (Information Technology) system for organize information. It can be divided into two groups, namely Social Media and Accounting Software.
1. Social Media
The company use Social Media (3 channels), as follows:
(1) Facebook
Music Store uses Facebook channel for communicate with the customers. Including to provide the information, update the news, exchange of music information, answering customers' questions, introduce their new products and publish their promotions in every month. They have four Facebook accounts;
This is Facebook account of Music Store (Mega Bangna). It has 16,845 likes on this page.

Picture 2: Facebook Fanpage of Music store company: use for share the information and promotion of month to their customer. This page is one of many channels that the owner can check customer interest and satisfaction. On the other hand, the channel can use for communicate to purchase or negotiate and order the instrument. As the picture.
This is Facebook account of Vee Music store (Future park Rangsit). It has 15,014 likes on this page.

Picture 3: Veemusic Fanpage is one of Music Store company Facebook fanpage. It has function for communicate with the customers like Music Store fanpage. They show their products in the stores, explain the quality of it and promote their promotion each month. The customers can ask the questions and Vee Music staffs will answer it.
This is Facebook account of Music Store (Central Pinklao). It has 6,692 likes on this page. They create this page for increase customer relationships of Central Pinklao branch. They will check customer feedback from this page and improve their performance. This page has function to order the instrument too.

Picture 4: Facebook fanpage of Music Store at Central Pinklao branch.
This is Facebook account of Sinthong Panich shop (nearby King Palace, BKK). It has 2,779 likes on this page. They create this page for build a good relationship with the customers at nearby King Palace, BKK branch. They will check customer feedback from this page and improve their performance.

Picture 5: Facebook fanpage at Sinthong Panich shop (nearby King Palace, BKK)

(2) LINE Application
LINE Application is an application for instant messaging on Smartphone and PC. It can be exchange text messages, graphics, video and audio media, make free VoIP calls, and hold free audio or video conferences.
The owner of Music Store thought LINE application that could be useful in business, they use LINE for communicate with the customers, send their pictures and details of the products to customers. And it also can be help to checking stock of their retail shops, ordering the products from their warehouse etc.

Picture 6: Example of Line application that Music Store’s owner use for communicate with the oversea customer.

(3) Youtube
Music Store use Youtube channel to upload their video clips (for link to their Facebook which the most important marketing communication channel). And they also use it for product reviews. This is an account of Music Store (Mega Bangna).

Picture 7: Music Store Mega Bangna branch was shown the review of each type of guitar. These video clips made customer who interested in new type of guitar can test its sound before buy the new one. This is an account of Vee Music store (Future park Rangsit).

Picture 8: Vee Music store Future Park Rangsit branch was shown the review of each type of guitar. This account is an account of which is the source of acoustic music and collect the video clips from several music stores in Thailand.

Picture 9: youtube account, Music Store use this channel to promote their stores by share the review of their stores and products.

2. Accounting Software
SeniorSoft is an accounting software to support various type of business, to help company accelerate closing account period. Additional for help management to audit all informations.
After Music Store improve their performance and organize information. They also use SeniorSoft (Accounting Software) for help to manage their accounting. In order to analyze their products, what are the types of instruments that is profitable for their store, purchase order from the retail customers and wholesaler. And they use SeniorSoft for Marketing Analysis due to create their promotions in the next month.

SeniorSoft System Structure
SeniorSoft (Accounting Software) was designed from the working principles of Trading Business. So it is easy to learn how to use SeniorSoft which (mostly) have similar working principles. As this diagram; (Source: SeniorSoft Professional 8 Manual)

Picture 10: Diagram shows a comparison between the function of SeniorSoft and business operations.
SeniorSoft Account 8.0 is an accounting software, capabilities are general ledger, Trial Balance, Income Statement and Balance sheet. Comfortable and ease to use.
Product capabilities: (Source:
- It’s an accounting software to support various type of business, to help company accelerate closing account period. Additional to help management to audit all information.
- With an ease understanding user manual.
- Support two languages (Thai and English).
- Support multi companies.
- With a function of data detection while posting data. A system will giving user warning in case of Unbalance (DR/CR), more over system can help user to lock posting journal into wrongly accounting period.
- Support user define report layout
- Provide a tool to do data enquire with an efficiency
- Able to print financial statement before and after posting.
- Able to printout purchase - sales tax report; to attach with PP.30 for revenue department
- Printout P.N.D is support revenue department regulation
- support data export to MS-Excel
- Can be installed as stand alone or LAN connection.
- Provide automatic data backup
- Support with a useful and various no. of report. Also support a regulation from revenue department
- A report can be separate by branch or by company
- A report printing criteria is support many format.
- The summary account report is available.
- Data security is control by authorize password
- The interface data between POS-System and Accounting System. Can be done both batch or online processing.

IT Plan for the future

Nowadays, Music Store is studying the possibility to use RFID system for checking their stocks instead the manual system. To accommodate the retail shop's expansion in Thailand and neighboring country --Laos.
The owner of Music Store and his team are studying about the operation of RFID system and how to apply RFID system in their business (Music Store, Vee Music and Sinthong Panich-Whole sale shop). Including they find the solution of the RFID system’s disadvantages. At the first step, they may apply the Barcode system in their stores before improve it to use fully RFID system. Because RFID system’s rather high cost and they have to trend their employees to use it. So it is necessary to feasibility study of this project thoroughly.

IT system cost of Music instrument

System management is usually the biggest cost over the lifetime of an IT system. It includes installation, upgrades, expansion, maintenance, support, training and the time your staff spend dealing with system problems.
So it's essential to consider full system lifecycle costs. Saving on purchase costs could result in significant additional costs on an ongoing basis, while cutting back on services could waste a fortune in staff time or lost business.
Initial costs could include:
• hardware costs 100000 Baht
• software license fees 100000 Baht
• installation 40000 Baht
• providing necessary infrastructure such as network cabling or an electricity supply 20000 Baht
• compliance with health and safety law relating to computer use 10000 Baht
• CCTV 60000 Baht
Ongoing IT management costs could include:
• software support contracts - fees for licence renewals and hardware upgrades 10000 Baht
• expansion of memory, disk size, communications capacity 50000 Bath per year
• support - telephone, email, online, on site
• maintenance and replacements 10000 Bath
• compliance with health and safety legislation relating to computer use 10000 Baht
• costs of consumables, such as printer cartridges, ink and paper
• communications charges - telephone costs, internet access and subscription charges

IT problems and solutions

After The Music Store changed the business model by bringing technology into the organization. The performance is more systematic, more quickly and more effectively. However, The Music Store was met the technology problems that cause difficulties in working with as well. The problem is as follows.
1. The slow internet and not stable connection
This problem is a basic problem frequently encountered. Not only in the business sector. But households also experience this problem often as well.
Solution: This issue is a problem of the network connection. It is quite difficult to troubleshoot the cause. The Music Store just can rule out the usage of the Internet to download only files for work.
The Music Store has installed CCTV cameras in the shops because they have many branches .CCTV will help the manager manages the branches easier. But the problem is sometimes the camera does not work and crashes. Because internet is not stable. So they cannot be sent the record to the head office
Solutions: When this problem occurs, The Music Store will inform technicians to repair. And check the maintenance period to prevent damage.
3. Lack of knowledge and Expertise in technology
This problem is a fundamental problem that is common in many organizations. Although modern technology is good, it is not be benefit. If users lacked of knowledge. Even The Music Store used greatest IT technology, the employee was the only specialized knowledge is the only music instrument .They did not have much technological knowledge. Many times the problems are from their lack of knowledge.
Solutions: The Music Store is trying to teach and train employees to use equipment and technology to the old And for new employees will be people who have a basic knowledge of the technology at a level that can do some basic tasks that help to fix this problem to some extent.

Success Indicator

• Customer are musician who has reputation trust buying goods from stores such as pae arrak, Armshare, Ford Sobchai, Nadech Kukimiya etc.
• Open more stores each year on average 2 stores per years. There are also plans expand oversea, profit margins increasing every year. Which can be indicator that we have been accepted customers increase.

Customer Relationship

CRM (customer relationship management) is an information industry term for methodologies, software, and usually Internet capabilities that help an enterprise manage customer relationships in an organized way. For example, an enterprise might build a database about its customers that described relationships in sufficient detail so that management, salespeople, people providing service, and perhaps the customer directly could access information, match customer needs with product plans and offerings, remind customers of service requirements, know what other products a customer had purchased, and so forth..”

Undeniable that Customer Relationship Management (CRM) has become one of the important strategies in business today. The Music Store also has customer relationship management to make the competitiveness. The Music Store customers were divided into two groups as follows.
- Retail customer
- Wholesale customer
Retail customers is that customers who purchase from the site to in stores to their own use. in low volume.. The Music Store will store information and purchase history of customers. To know the preferences, interests and aptitudes of individual clients in instruments which different. The shop also uses Social Media channel such as Facebook for enhance the ability to provide better customer service, such as providing information about how to use and provide assistance to customers 24 hours a day as a channel for customer Feedback on the service. It also can be used to update the news, exchange of information related to music. And can also be used as a channel to answer all inquiries. The shop has been using online media to build relationships with customers, rather than to focus on product sales. It make the customers to feel neglected. And do not feel pressured to buy too much. The online media and technology use in customer relationship management, it gives way to communicate with customers more easily and quickly. And they also use the site as a Youtube channel for product reviews. This helps customers to see and understand the products better.
Wholesale customer is Customers who purchases the high volume to make a trade,do not buy it for themselves. This includes the organization, such as the music school. The shop will save the customer information and purchase history documented. This will help develop a relationship between the company and customers. It also helps companies to understand their needs and buying behaviors of customers. The company can offer a product that is right for customers and allows the company to provide after sales service to customers according to customer needs. Building long-term customer relationships will improve. The shop will have meeting with the wholesale customer to build a closer relationship. Moreover, in the meetings, it is also an exchange of information that we know the problem that the wholesale customer met. And also helps to know the trend of the popularity which will help them to do the data analysis in order to meet the needs of customers better.
As well as the cost of acquiring a new customer costs more than retaining existing customers are. Thus, the CRM is therefore extremely important. Although The Music. Store is there to do in this part already. But the problem of the restaurant is to store and record customer database. Although we have to make a note of customer data. But it does not have the seriously analysis. If the shop Music. Store install technology into the Data Warehouse especially for CRM, It will make the customer information management more systematic and easy to adopt and analyze.

Business Trends

The Musical Instrument and Supplies Stores industry has trended toward consolidation and expansion, either through organic growth or acquisitions, to ensure benefits from economies of scale. Competition from outside the industry will come from mass merchandisers and big-box retailers that leverage the influx of cheap imports. This penetration will likely have profound repercussions on small and independent operators. The industry will also face increasing competition from substitute leisure activities, including online entertainment, video games and sports.

Market Growth
Market growth in the last 2-3 years, the music instrument is growing continuously, worth 2,000 million baht in 2011, which grew to double from 2010. This figure is the amount of imported musical instruments of all types. Well known that the music instrument is a very big market. So a comparison between that figures and sales of the company is not significant. The company is primarily focused on the guitar.
The industry is expected to grow at a compounded annual rate (CAGR) of 3% through 2018. Industry revenue for 2014 decreased marginally due to the impact of recessionary conditions domestically, a slight decline that industry experts considered a strong indicator of the relative position of musical instruments in the consumer purchasing world. In addition, industry revenue is projected to again decline slightly in 2014. The reasons for these slight declines relate to the demographics of the purchasing community and the continued recessionary conditions.
However, significant growth from 2015 through 2018 is forecasted, with experts predicting annual increases at the rate of 6% for 2015, 8% for 2018 and 6% for 2018, respectively.
Key factors that make your business instrument grow is from a higher popularity category list talent show and singing contest on television. As a result, professional musicians and singers are socially acceptable than in the past. So many parents support their children's music education.

Market Share
The Thailand music instrument market encompasses the retail sale of mainstream instruments such as pianos, violins, guitars and other related products like parts, accessories and sound equipment, including microphones and amplifiers. The industry also involves the sale of sheet music, leasing of equipment and instrument repairs.
@@ Retail outlets include musical instrument stores, specialty stores and pro audio stores, with musical instrument stores carrying both instruments and accessories. Specialty stores, like keyboard and piano stores, are involved in the retail sale of electronic pianos, grand pianos, traditional upright pianos and self-playing pianos.
School music stores represent another retail outlet in the music instrument industry, selling band instruments to high schools, universities and amateur players. At other retail outlets, like pro audio stores, consumers can purchase a wide range of sound system equipment. Who buys musical instruments? Key consumers include professional musicians, amateur players, and university and high school students requiring musical instruments for music classes or extra-curricular activities. The Thailand music instrument industry is fuelled by rising levels of consumer income and increased interest in leisure activities, and it is shaped by changing musical tastes influencing musical instrument choices. Musical instrument sellers deal directly with consumers regarding retail sale but are also involved in administrative tasks such as inventory control, advertising, product merchandising and providing after-sales services. Merchandising is a key factor in dictating how lucrative any company’s business activity will be; for example, smaller outfits competing against larger industry players can gain market share by offering high-end instruments or a personalized service. Thailand’s guitars industry saw output rise almost 4% in 2012 to exceed 4000000 were upright guitars and close to 19,000 were grand pianos. Forecasts the Thailand guitars market will see output reach almost 363,000 units in 2012. The majority of guitars produced in the world come from the EU and Asia, with the EU representing a high-end guitars producer. Though guitars are the world’s leading piano producer in terms of output, more than 90% of pianos manufactured there fall into the low-end category. Out of the global output of guitars totaling 450,000 units in 2012.@@

@@ Electronic Pianos and Organs Are Increasingly Replacing Traditional Ones While sales of traditional pianos have declined steadily over the past two decades, sales of electronic player pianos have increased rapidly. The renewed popularity of amateur singing has boosted demand for musical
accompaniment. Self-playing pianos now hold the same market share as traditional pianos, a significant industry trend. Once considered pale imitations of “the real thing,” electronic pianos and organs are replacing pianos as popular instruments. Many contemporary churches have replaced traditional pianos and organs with electronic pianos because of lower maintenance costs. Traditional pianos and organs need periodic, expensive tuning, and while the music quality may be better than newer electric pianos, the cost impact of lower operating costs is a significant factor in buying decisions. Instruments in Asia, Russia, South America, and eastern Europe. Interest in music is strong in many of these markets, but local instrument production is often limited to low-end products. While volume has grown rapidly to China.@@

Table 4 : Show percent of growth for music instrument market since 2014 - 2017


Since Music Store used IT system in their operations. Both of Social Media and Accounting Software, their business has changed. IT System can help them to organize information. They would like to open the retail shops form their vision they have to get much information everyday and analyze these information. When they use IT system, everything is easier than before and more efficient. For example one shop have 200 SKU and they have around 5 retail customers that mean 1000SKU (excluding wholesale customers that he has to organize 1000SKU). Organize 1000SKU which moving all the time, it is not easier and impossible to do without IT system.
If they do not use Accounting Software (SeniorSoft), it will be difficult to manage their information. They use this software for control and sale management at their business. It is also useful to create their new strategy and promotions in the future.
IT system for communicate make them to closer suppliers and customers. Good relationship makes good business. When the customers use IT system to communicate as they meet the customers’ face to face or use e-mail to send order to their suppliers is better than use the letters because it is faster. They use these electronic they can save to global warming too.
They use Social Media for their marketing strategy. Due to nowadays, the operations of business change from the past. If they do not develop their media system, they will lose the advantages. They have to use it as a channel to communicate with the customers and sale it on website.
IT system can make business easily. They can adapt technology and get advantages. Sure if they do not use IT system. They will not extend their business as now.


Music Store is not large organization. They don’t have too many retail shops. It’s not necessary to use RFID system, so we think Barcode system suit for Music Store more than RFID because…
• RFID systems are often more expensive than Barcode systems
• RFID technology is harder to understand
• Can be (debatably) less reliable
• RFID tags are usually larger than barcode labels
• Tags are application specific. No one tag fits all
• Possibility of unauthorized reading of passports and credit cards
• More than one tag can respond at the same time
Music Store ought to look for other IT system excluding RFID or Barcode system. Other which can help them to check their operations and performance. Include they should find other Social Media to promote their stores, communicate with the customers and get more sales.


1. Advertise on public website and web board : All website as below is the website that role as sponsor for Music Store company by helps company promote music instrument and all new products via them website, that made Music Store company have many channel to communicate with widely customers not only in company website. (as Main sponsor)
flickr:11545989825 (as Main sponsor)

Own website and web page company.

Group 6 : Nong Tang
5510211003 Alisa Ngamkala
5510211006 Tanawat Skanupong
5510211013 Thanyalak Homyok
5510211019 Paweena Theangyotha
5510211070 Sanchanat Laoveerawat
5510211077 Nuntaporn Manorotchaturong

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