Beatport and parent company SFX may have been struggling for the last few years, but it looks a lot more positive now than it did last time we had a story. It looks like the move to strip back Beatport’s products is, quite literally, paying off. So much so that SFX have reassessed the situation and want to keep hold of the digital store.
This is the full statement they sent to Mixmag:
“Our renewed focus on the Beatport Store, following our announcement of platform changes in May, 2016, has been well-received and successful. The changes we implemented have laid a strong foundation for Beatport that have dramatically improved its profitability.
“As a result of these improving trends, SFX has determined that retaining ownership of Beatport is in the best interest of the Company and has withdrawn its motion to sell Beatport through the Chapter 11 process. We look forward to emerging from Chapter 11 in the next few months, as strong and vibrant business, positioned to pursue both organic and strategic growth options. The dedicated Beatport management team is committed to continuing to serve our core DJ customer base and enhancing the quality of our customer experience.”
I’m really not surprised that Beatport can be turned around into a viable business this easily. The core concept has always been sound, and while ‘first’ doesn’t always mean ‘best’, and they’ve had their fair share of stupid decisions, the site is the first stop for a lot of people shopping for dance music. The site is pretty slick, and people are obviously happy enough to pay premium for the convenience of everything being in one place, and the occasional exclusive tracks.
However you feel about parent company SFX, uncertainty is never a good thing in business, so we should view this move (or lack thereof) as a Good Thing™ for the Beatport. Whoever’s in charge of the company seems to have their head screwed on, and as long as they keep focus on the core business as they’ve been doing recently, I don’t see why the site won’t be around in another 10 years.
How do you feel about this news? Do you have any suggestions to improve Beatport?