The New-Piano Market Today
When I began servicing pianos during the 1970s, most pianos sold in the U.S. (with the important exception of the growing number of pianos from Japan) were made in the U.S. by about a dozen different makers, which together turned out hundreds of thousands of pianos annually. By current standards, many were not particularly well made. Today, only three companies make pianos in the U.S. in any real quantities, which combined amount to no more than a few thousand instruments per year. However, over 30,000 new acoustic pianos are sold here annually under some 70 different brand names, made by more than 30 companies in a dozen countries. The quality is the best it’s ever been. Here are the highlights of what’s happened:
- The Japanese “invasion” of the 1960s onward was followed by a wave of pianos from Korea in the 1980s and ’90s. Together, these imports put most low- and mid-priced American makers out of business.
- Rising wages in Korea in the 1990s caused much of that country’s piano production to move to Indonesia and China.
- The economic emergence of China during the 2000s resulted in a new wave of low-priced, low-quality pianos appearing in the U.S. and globally.
- Foreign firms and investors have combined low-cost Chinese and Indonesian labor with high-quality design and manufacturing expertise, parts, and materials from Western countries to greatly increase the quality of low-priced Chinese and Indonesian pianos.
- Cheaper equipment for computeraided design and manufacturing has allowed for their more widespread use by small and large firms alike, with a consequent increase in precision of manufacturing at all price levels.
- Since the 1990s, a dozen or more European makers of high-quality pianos have been aggressively marketing their pianos in the U.S., challenging entrenched interests and creating more choice and higher quality in the high end of the piano market.
- To better survive in a global economy, high-end companies have diversified their product lines to include low- and mid-priced pianos, setting up factories or forming alliances with companies in parts of the world where labor is cheaper. At the same time, makers of low- and mid-priced pianos are creating higher-priced models using parts and expertise usually associated with the high-end companies, thus blurring the line between the high and low ends of the piano market.
Pianos made in China now dominate the North American market, constituting more than a third of all new pianos sold in the U.S. A decade ago, most were just barely acceptable technically, and musically undesirable. Over the years, however, both the technical and musical qualities have taken big leaps forward. While some remain at the entry level, others rival the performance of more expensive pianos from other parts of the world. Reports sometimes suggest less consistency than with pianos from other countries, and a continuing need for thorough pre-sale preparation by the dealer, but otherwise few major problems. The prices of the better models are rising, but for entry- and mid-level buyers, many Chinese brands are still good value.
The first piano factory in China is said to have been established in 1895, in Shanghai (perhaps by the British?). During the 1950s, the Communists consolidated the country’s piano manufacturing into four government-owned factories: Shanghai, Beijing, and Dongbei (means “northeast”) in the northern part of the country, and Guangzhou Pearl River in the south. Piano making, though industrial, remained primitive well into the 1990s. In that decade, the government of China began to open the country’s economy to foreign investment, first only to partnerships with the government, and later to completely private concerns.
As China’s economy has opened up, the nation’s rising middle and upper classes have created a sharp increase in demand for pianos. Tempted by the enormous potential of the Chinese domestic market, as well as by the lure of cheap goods manufactured for the West, foreign interests have built new piano factories in China, bought existing factories, or contracted with existing factories for the manufacture of pianos. The government has also poured money into its own factories to make them more quality competitive and to accommodate the growing demand.
From about 2000 to 2005, most sales of Chinese pianos in the U.S. were based on the idea of luring customers into the store to buy the least expensive piano possible. Dealers that staked their business on this approach often lost it. A growing trend now is to manufacture and sell somewhat higher-priced pianos that have added value in the form of better components, often imported to China from Europe and the U.S., but still taking advantage of the low cost of Chinese labor. The best ones are not just a collection of parts, however, but also have improved designs developed with foreign technical assistance, and sufficient oversight to make sure the designs are properly executed.
Except for the government involvement, the piano-making scene in China today is reminiscent of that in the U.S. a century ago: Hundreds of small firms assemble pianos from parts or subassemblies obtained from dozens of suppliers and sell them on a mostly regional basis. The government factories and a few large foreign ones sell nationally. Many of the brands sold in the Chinese domestic market are still primitive by Western standards. Primarily, the quality has markedly improved where foreign technical assistance or investment has been involved; only those pianos are good enough to be sold in the West.
Although in China the government factories have long had a monopoly on sales through piano dealers, that hold is gradually being eroded, and the government entities are experiencing great competitive pressure. Already, one of its factories, Dongbei, has been privatized through its sale to Gibson Guitar Corporation, parent of Baldwin Piano Company; and another, Guangzhou Pearl River, has successfully completed an initial public offering to become a public company.
Besides Baldwin, Pearl River, and the government-owned factories, other large makers in China for the North American market are Parsons Music (Hong Kong), Yamaha (Japan), Young Chang (Korea), and, for the Canadian market, Kawai (Japan) — all of whom own factories in China. Other foreign-owned companies that own factories in China or contract with Chinese manufacturers to make pianos for the U.S. market include AXL (Palatino brand), Bechstein (W. Hoffmann Vision brand), Blüthner (Irmler Studio brand), Brodmann, Cunningham, Heintzman, Perzina, Schulze Pollmann, and Wilh. Steinberg. Many American distributors and dealers contract with Beijing, Pearl River, and other makers, selling pianos in the U.S. under a multitude of names. Steinway & Sons markets the Essex brand, designed by Steinway and manufactured by Pearl River.
And one company, Hailun, is owned and operated by a Chinese entrepreneur, Chen Hailun.
Indonesia is China’s closest competitor in terms of price and quality. But unlike China, in which many small and large companies, domestic and foreign, are involved in piano manufacturing, virtually all pianos made in Indonesia are the products of three large, foreign players: Yamaha, Kawai, and Samick. For the U.S. market, Yamaha makes an entry-level grand and most of their smaller verticals in Indonesia; Kawai makes all its small and medium-sized verticals there, and one entry-level grand; and Samick makes all its pianos for sale in North America there, both grand and vertical.
Overall, the manufacturing quality is similar to China’s, but Indonesia got to this level of quality more rapidly and is perhaps more consistent. This may have been due to the smaller number and, on average, larger size of Indonesia’s piano manufacturers, as well as to cultural and political differences between the countries. Development of manufacturing in Indonesia was aided by the fact that the country was already a democratic (more or less), capitalist nation with strong ties to the West, and accustomed to Western ways of working and doing business, with English widely spoken. The government does not own or manage the factories.
One of the big challenges in Indonesia, as in the rest of tropical Asia (which includes southern China), is climate control inside the factories, and the proper handling of wood to avoid problems later on when the instruments are shipped to drier countries and the wood dries out. All three companies, as well as Pearl River in southern China, have done a good job of meeting this challenge, but caution and proper climate control by the consumer are especially advised when these pianos are to be used in very difficult, dry indoor climates.
The Korean piano industry has had a tumultuous history, from its beginnings in the war-torn 1950s through its meteoric global rise in the 1980s; through labor unrest, the Asian economic crisis, and the abrupt collapse of the country’s piano industry in the 1990s; and most recently through bankruptcies, reorganizations, aborted takeovers, and more bankruptcies. Today, both Samick and Young Chang seem to be on relatively stable financial footing, the latter having just emerged from bankruptcy after being purchased by Hyundai Development Company. As mentioned earlier, due to high labor costs in Korea, both companies have moved most of their manufacturing elsewhere, limiting production at home to the more expensive models.
Quality control in the Korean models is now nearly as good as in pianos from Japan, but getting there has taken 30 years of two steps forward, one step back. The reasons for the slow development are probably numerous, but undoubtedly some are cultural in nature: Western piano-company personnel have often reported that their Korean counterparts can be proud people, reluctant to take advice from Americans (not that they necessarily should — unless they’re trying to sell products to Americans).
Musically, the two companies’ pianos have never really gained clear, aesthetic identities of their own, other than as very acceptable musical products. Periodic redesigns by German engineers, or American engineers with Germanic names (always sought by piano makers), have brought some progress, but never as much as was hoped for. Part of the reason for the lack of identity may be that there have been such a multitude of product lines made in different factories to constantly changing specifications that nothing has settled down long enough to stick. Internal politics and dealing with quality-control problems have also taken up much energy over the years.
Things are settling down now for both companies. Samick, in its upper- and mid-level lines, is producing some of its nicest pianos ever. Young Chang is playing catch-up, but also has some good designs, with new ones in the pipeline. Both companies’ top-level products have much to offer at good prices.
Japan’s two major piano manufacturers, Yamaha and Kawai, began making pianos around 1900 and 1927, respectively, with export to the United States beginning in earnest in the early 1960s. The first few years of export were spent learning to season the wood to the demands of the North American climate, but since then the quality control has been impressive, to say the least, and the standard to which other piano manufacturers aspire. Both companies also have outstanding warranty service, so customers are never left hanging with unsatisfactory instruments. As in Korea, labor costs in Japan have risen to the point where both companies have been forced to move much of their manufacturing elsewhere, making only their more expensive models in Japan. With some exceptions, their grands and tallest uprights are made in Japan, small and mid-sized verticals in other Asian countries.
The tone of Japanese pianos tends to be a little on the bright and percussive side (Yamaha more than Kawai), though less so than in previous years, and pleasing in their own way. In addition to their regular lines, both companies make high-end lines with more “classical” qualities, as well as entry-level lines that reflect a compromise between price and quality. The pianos are very popular with institutions and are real workhorses. Although more expensive than most other Asian pianos, a Japanese-made Yamaha or Kawai piano is hard to beat for reliability. Kawai also manufactures the Boston brand, designed by Steinway and sold through Steinway dealers.
Only three companies manufacture pianos here in any numbers: Steinway & Sons, Mason & Hamlin, and Charles R. Walter. A few boutique makers, such as Ravenscroft, build high-end pianos to order. Baldwin, for a century one of the largest American producers, finally ceased production at its American factory in 2009, having moved all piano production to its plants in China.
Steinway & Sons has been making high-quality pianos in New York City since its founding in 1853 by German immigrants. For most of the past century, the company has had little competition in the U.S.: when one desired to buy a piano of the highest quality, it was simply understood that one meant a Steinway. The last few decades have seen some erosion of that status by more than a dozen European and Japanese firms and our own Mason & Hamlin. Although each by itself is too small to make a dent in Steinway’s business, their combined effect has been to claim a significant share of the market for high-end pianos in the home. (Steinway still completely dominates the concert-grand market and, to a lesser extent, the institutional market.) This was made easier by the fact that in certain respects the European-made pianos were visibly and audibly of higher quality than American-made Steinways (to be distinguished from Steinways made at the company’s branch factory in Hamburg, Germany, which have always been of the highest quality). Steinways have classic designs and use proven materials and methods of construction, but for much of the last fifty years, the musical and aesthetic finishing of the American-made pianos has too often been left uncompleted at the factory in the expectation, frequently unmet, that the dealers would finish it off. Fortunately, the past ten years have seen a reversal of this trend in the form of many improvements at the factory, as well as perhaps better performance by dealers. The ratio of compliments to complaints, in my experience, has become much more favorable.
Mason & Hamlin, Steinway’s principal competitor in the early part of the 20th century, went into a long period of decline after the Great Depression. After a series of bankruptcies and reorganizations in the 1980s and ’90s, Mason & Hamlin was purchased in 1996 by the Burgett brothers, owners of PianoDisc, a leading manufacturer of player-piano systems. Since then, from an old brick factory building in Haverhill, Massachusetts, the Burgetts have completely restored the company to its former excellence, and then some. They and their staff have designed or redesigned a complete line of grand pianos and modernized century-old equipment. Rather than compete with Steinway on Steinway’s terms, Mason & Hamlin has repositioned itself as an innovator, seeking out or developing high-quality but lower-cost parts and materials from around the world, and combining them with traditional craftsmanship to produce a great piano at a somewhat lower price.
Charles R. Walter, a piano design engineer by profession, has been making high-quality vertical pianos in Elkhart, Indiana, since the 1970s, and grands for over ten years. The factory is staffed in large part by members of his extended family. The instruments are built using the best traditional materials and construction practices. Right now, times are tough for small companies such as this, which produce an excellent product but are neither the high-priced celebrated names nor the low-cost mass producers. If you’re looking to “buy American,” you can’t get any more American than Charles R. Walter.
European makers that regularly sell in the U.S. include: Bechstein, Blüthner, August Förster, Grotrian, Sauter, Schimmel, Seiler, Steingraeber, and Wilh. Steinberg (Germany); Bösendorfer (Austria); Fazioli and Schulze Pollmann (Italy); Estonia (Estonia); and Petrof (Czech Republic). Most are of extremely high quality; even the least of them is very good. Until two decades ago, most of these brands were virtually unknown or unavailable in the U.S., but as the European demand for pianos contracted, many of the companies found that Americans, with their large homes and incomes, would buy all the grand pianos they could produce. The liberation of Eastern Europe resulted in an increase in the quality of such venerable brands as Estonia and Petrof, which had suffered under Communist rule, and these brands, too, became available and accepted here.
The rush to sell to Americans has caused some European companies to reconsider the tonal designs of their instruments and to redesign them for better sound projection, tonal color, and sustain — that is, to sound more like American Steinways. Considering that some of these companies are five or six generations old and have redesigned their pianos about that many times in 150 years, this degree of activity is unusual. Some of the redesigns have been great musical successes; nevertheless, the loss of diversity in piano sound is to be mourned.
Several German companies have started or acquired second-tier lines to diversify their product lines, and have gradually shifted much of their production to former Soviet-bloc countries with lower labor costs, producing brands such as W. Hoffmann (by Bechstein) in the Czech Republic, and Wilhelm Schimmel, formerly Vogel (by Schimmel), in Poland. Today, there is enough commonality in business practices, laws, and attitudes toward quality among the countries of Europe that the distinction between Eastern and Western Europe carries little meaning — except for labor costs, where the savings can be great.
Globalization, Quality, and Value
The worldwide changes in the piano industry are making it more difficult to advise piano shoppers. For many years, the paradigm for piano quality has been an international peck-ing order: pianos from Russia, China, and Indonesia at the bottom; followed by Korea, Japan, and Eastern Europe; and, finally, Western Europe at the top, with pianos from the U.S. scattered here and there, depending on the brand. This pecking order has never been foolproof, but it has served a generation of piano buyers well enough as a rule of thumb.
Now this order is being disturbed by globalization. High-end and lowend makers are, to some extent, adopting each other’s methods and narrowing the differences between them. On the one hand, some Western European and American makers of high-end pianos are partially computerizing the manufacture of their “hand-built” pianos, quietly sourcing parts and subassemblies from China, and developing less expensive product lines in Eastern Europe and Asia. On the other hand, some Korean and Chinese makers are importing parts and technology from Germany, Japan, and the U.S., producing pianos that sometimes rival the performance of more expensive pianos from the West. Global alliances are bringing new products to market that are more hybridized than anything we’ve seen before. Although the old pecking order still has some validity, the number of exceptions is increasing, causing temporary confusion in the marketplace until a new order emerges.
At the same time that the range of quality differences is narrowing, the range of prices is widening, bringing into greater prominence issues of “value.” Eastern European brands have emerged as “value” alternatives to Western European brands, the latter becoming frightfully expensive due to high labor costs and the rapid appreciation of the euro against the dollar. Some of the better pianos from China, Korea, and Indonesia have become value alternatives to Japanese pianos. Brands that don’t scream “value” are being squeezed out of the market.
As mentioned above, one of the consequences of globalization is that parts and materials formerly available only to high-end makers are now for sale to any company, anywhere, that’s willing to pay for them. Thus, you’ll see a number of Asian firms marketing their pianos with a list of wellregarded brand-name components from Germany and North America, such as Renner, Röslau, Mapes, and Bolduc. The question then naturally arises: Given that high-end pianos are so expensive, and that today one can buy for so little a Chinese-made piano with German design, German parts, and perhaps even a German name, is it still worth buying a performance-grade piano made in the West? Are there any differences worth paying for?
There’s no question that high-end components, such as Renner hammers and Bolduc soundboards, add to the quality and value of consumer-grade pianos in which they’re used. But in terms of quality, components such as these are only the tip of the iceberg. Although the difference between performance- and consumer-grade pianos has narrowed, in many ways the two types of manufacturers still live in different worlds. Differences are manifested in such things as the selection, drying, and use of wood; final regulation and voicing; and attention to technical and cosmetic details.
Makers of performance-grade pianos use higher grades of wood, selected for finer grain, more even color, or greater hardness, strength, and/or acoustical properties, as the use requires. Wood is seasoned more carefully and for longer periods of time, resulting in greater dimensional stability and a longer-lasting product. Veneers are more carefully matched, and finishes polished to a greater smoothness. Action assemblies purchased from suppliers may be taken apart and put back together to more exacting tolerances than originally supplied. The workspace is set up to allow workers more time to complete their tasks and a greater opportunity to catch and correct errors. Much more time is spent on final regulation and voicing, with an instrument not leaving the factory, in some cases, until a musician has had an opportunity to play it and be satisfied. Of course, the degree to which these manifestations of quality, and many others not mentioned, are present will vary by brand and circumstance, but underlying them all is this philosophical difference: with performance-grade pianos, the driving force behind decision-making tends to be the quality of the product; with consumer-grade pianos, cost is a greater factor.