Losing a six million dollar distribution deal is a massive blow, but Galactic Music will bounce back, says founder John Goldsmith. Music Group fired Galactic on the final day of the huge ProLite + Sound trade show in Frankfurt during April. John Goldsmith says the reason given was that Galactic did not meet budget, yet he says under fulfilment and an accounting error meant they would have.
Having appointed Australis Music to handle Behringer and TurboSound, Music Group then went on to acquire TC Group, headquartered in Denmark.
TC Group owns brands such as Tannoy, Lab Gruppen, Lake, TC Electronic, TC Helicon and TC Applied Technologies. The deal allows Music Group to round out their professional install and touring sound offerings alongside Midas, Klark Teknik and Turbosound, while TC Electronic and TC Helicon are leading brands in the guitar effects and voice processing sector, which complement Music Group’s Bugera guitar tube amplifier brand and Behringer prosumer division.
Music Group policy is to have one distributor for each territory. Adding TC makes this harder to achieve, with Australis, NAS and Amber Technology all currently handling brands across the group.
John Goldsmith says that Galactic will find other brands, and focus on existing lines while selling out their stock of Behringer.