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Costco to test market "Starcaster by Fender" guitar packs: presenting guitar to larger audience, Fender Management hopes to expand market. Free lesson and free string offers on packaging will help generate store traffic at m.i. dealers.

Publication: Music Trades
Publication Date: 01-NOV-03 		Format: Online - approximately 978 words
Delivery: Immediate Online Access
Full Article Title: Costco to test market "Starcaster by Fender" guitar packs: presenting guitar to larger audience, Fender Management hopes to expand market. Free lesson and free string offers on packaging will help generate store traffic at m.i. dealers.(Industry Forefront)

Article Excerpt
DURING THE FOURTH QUARTER, when guitar and amplifier packages bearing the "Starcaster by Fender" brandname begin appearing on the shelves of selected Costco Warehouse Clubs, Fender executives expect to receive heated phone calls from many m.i. retailers. However, unlike other instrument manufacturers that have tried to downplay their dealing with mass merchants, Fender is making no excuses for the foray into Costco. The reason? From Chairman and CEO Bill Schultz, down through the ranks of Fender district managers, there is a company-wide conviction that a quality guitar on the shelves of a mass merchant holds the promise of expanding the guitar market.

"My belief has long been that the industry doesn't start enough beginners." explains Schultz. "We have surveys that show that 90 percent of the people in a mall have never been to a music store and don't even know where the nearest one...

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