Yesterday we announced the exciting acquisition of SCV Distribution by European entity, Sound Service. With a great roster of brands, including Focal, Audix and IsoAcoustics, the newly formed Sound Service UK are experts in their field.
In our latest edition of Industry Voices, we chat to Ian Young, Managing Director of Sound Service UK. Ian gives us the inside scoop on how this deal came to be agreed, how this benefits UK customers, and why the future is strong for Sound Service UK!
What motivated SCV to agree to this acquisition by Sound Service?
Well, we have actually been operating within the same realm as Sound Service for many years now, at least if only by proxy. Sound Service is the distributor in Germany for Focal Professional products which SCV carries for the UK and ROI and with a growing number of retailers operating across borders, we had been on each other’s radars for a good number of years. Timing has been a factor in why the acquisition has happened when it has, Sound Service were looking to develop their existing presence in the UK market which coincided perfectly with SCV’s search for a strategic partner for our own future expansion plans.
What factors made Sound Service the right partner for SCV?
There’s a plethora of factors in the mix here but perhaps most importantly, Sound Service MSL Distribution are very nice people! There is a definite like-mindedness in the two companies’ ethos which became abundantly apparent from the moment we all got together. I have always hoped that SCV are nice people to do business with, we all work hard here to make it an easy process for anyone engaging with our services, be it retailers, suppliers, installers – whoever it is that we are dealing with! SCV likes to offer a bespoke, seamless and efficient service – and this philosophy of providing the very highest level of service very much also runs through the veins of Sound Service MSL Distribution. It is a perfect match in that respect.
Was this acquisition a long-term goal for SCV, or did the opportunity arise more recently?
It would be true to say that we have been speaking to the Sound Service guys on and off for a good couple of years now but that the conversations have definitely gathered momentum this year!
How will this acquisition strengthen SCV’s market position in the professional audio, home audio, and installed sound sectors?
I have always liked the idea of diversification. One of SCV’s major strengths has been its development of new verticals alongside our original Pro Audio foundations. Most notable example of this I would have to say would be our Home Audio/HiFi Division which has grown in strength significantly over recent years. With the acquisition and merger we see more positive diversification, Sound Service MSL Distribution are known for their very strong presence in MI, CE and the Pro Audio sectors and now SCV brings with it specialist Pro Audio, HiFi / Home Audio and Installed Sound verticals – all aligning perfectly in an enviable combined product portfolio.
Do you anticipate any changes to SCV’s brand identity or product offerings post-acquisition?
Everyone has been asking me about brand identity! Sound Service, MSL and SCV are all long-established and well respected brands in their own right. We are in the late stages of finalising our plans on this now but don’t be too surprised if the end product that you see goes the same way towards ‘uniting the clans’.
How do you think the acquisition will benefit your customers, both new and existing?
It’s a HUGE win for the customers! Firstly, Sound Service MSL Distribution are taking over the SCV buildings, (I should probably also mention that the premises are doubling in size – as we’re taking over the neighbouring unit too), so for the first time Sound Service have a warehouse in the UK and are no longer reliant on 3rd party logistics service providers. This keeps the operation self-sufficient and handled directly by industry specialists, making our logistics much more efficient. SCV also brings with it a dedicated in-house Service Department, again, a first for Sound Service on these shores, as well as the UK based Marketing Department who, in cooperation with HQ in Berlin, can implement targeted marketing strategies specifically for our UK customer base.
How does this acquisition shape SCV’s long-term vision for growth and innovation in the audio equipment sector?
The scope for growth is huge. With our now merged team of 10 specialists covering all aspects of audio equipment distribution, (across MI, CE, Pro Audio, HiFi, Installed Sound and with our in-house Logistics, Marketing and Service) we are extremely well placed to drive sales growth throughout our channels. This is a significant expansion, premises and operations are all scaling up and we are very focussed on commercial growth.
What are the key strategic priorities for SCV as it moves forward under the Sound Service umbrella, and how will you personally be involved in guiding SCV through this next phase?
It’s certainly fair to say we have a bit of work to do! There is a great deal to do in general operational alignment, which is very much the immediate focus for us all at Sound Service MSL Distribution & SCV Distribution. We are getting married, moving house and having major building work done all at the same time! For me personally, it’s heading up the essential transitioning and integration work between Sound Service Germany, MSL Distribution and SCV Distribution and uniting it all together in the expanded new company. It’s a lot of work but I am positive that when all the dust settles soon, that the future looks extremely bright.
What message do you have for your partners, clients, and the wider audio community regarding this acquisition?
Well, I spoke earlier about like-mindedness and know that I speak for all of us involved here when I say that working closely with all of our amazing suppliers and our reseller friends is absolutely paramount to our business. Our message to them is that these are extremely exciting times to be onboard with Sound Service MSL Distribution and SCV Distribution. Again, this is a significant expansion. Our team has grown, our premises and operations are scaling up and we are all focussed on the shared mission to drive sales growth throughout our channels with an incredible combined product portfolio.
Finally, what excites you most about the future of SCV as part of Sound Service?
I am excited about the future and the scaling opportunities that lay ahead. SCV is already very good business and joining forces with a powerhouse in Sound Service MSL Distribution really is a bit of a no-brainer! Sound Service is a forward-thinking, progressive organisation with dynamic future plans that are unique and disruptive and it’s going to be one hell of a ride I am quite sure!
