
In the wake of its acquisition by Bose last November, I have learned that there has been a significant shift in McIntosh’s go-to-market strategy. Multiple sources are reporting that McIntosh Group has terminated all independent manufacturer sales representatives. This move appears to contradict statements made by a Bose executive during the original announcement of its acquisition of McIntosh in November.
Learn more about McIntosh terminating its sales representatives
This week brought multiple communications from the field informing Strata-gee that McIntosh has terminated all of its remaining independent manufacturer sales representative groups. The notices of termination were made at the beginning of this month and will be effective as of January 31, 2025.
The announcement was met with a mix of resignation and anger by some reps…and shock and surprise by some McIntosh dealers. Most of the terminated groups have been long-time representatives of the brand – many for years, some for decades.
Specialty Brands Typically Rely on Specialty Reps Serving Specialty Dealers
Of course, Bose has long relied on factory direct salespeople, and some point to this fact in suggesting such terminations were inevitable. Others suggest that the multiple sales teams were redundant, and this kind of rationalization is not uncommon in acquisitions. That is true in a combination of equals, but in this case, a large consumer brand has acquired a smaller specialty brand, and specialty brands often rely on the close relationships between its independent specialty sales reps and the specialty dealers.
However, this move by the company appears to contradict certain statements made by Joanne Berthiaume, Bose head of Global Public Relations and Communications, back in November when the acquisition was first announced. Local TV station NewsChannel 34 in Binghampton, New York – the longtime home of McIntosh Laboratories – quoted Berthiaume as saying, “McIntosh will remain in Binghamton, and this announcement will not impact the workforce.”
McIntosh will remain in Binghamton, and this announcement will not impact the workforce.
Joanne Berthiaume, Head of Bose Global Public Relations and Communications
McIntosh Has Already Transitioned to a Hybrid Salesforce
I reached out to Berthiaume by email, seeking a comment on the apparent contradiction. She responded, “All of the information we currently have to share on Bose’s acquisition of McIntosh Group is included in the press release we issued back in November…” A follow-up outreach seeking clarification of her comments based on these recent developments was not answered by the time this story was posted.
Over the years, McIntosh had transitioned their salesforce from one consisting entirely of independent manufacturer sales representative firms – to a more recent hybrid configuration that includes some factory direct sales in certain areas. The direct salesforce seems to have been concentrated mostly on the coasts, while the middle of the country has remained the domain of its independent salesforce.

Apparently Choosing to Use Factory Direct Reps
It would appear that the company is choosing now to move to a salesforce made up exclusively of factory direct salespeople. We don’t know if this will be McIntosh-specific factory direct salespeople, or if Bose factory direct salespeople are adding McIntosh products to their bag.
It is also not clear whether the company consulted the McIntosh dealer base before making this decision, or if other factors are at play here. I reached out to McIntosh for comment on the situation, but did not receive a response prior to posting.
For More Information
See more on McIntosh products at mcintoshlabs.com. And read more about its parent company, McIntosh Group at mcintoshgroup.com.
Learn all about Bose at bose.com.
Considering the McIntosh dealers are well established and the brand sells itself it makes sense and is a smart business move. I would imagine they want less dealers not more and the factory direct rep knows the brand better and is more focused instead of just being another line. Approximately how much saving will saved making this move ?
Independent reps are not employees of the brands they represent, so they’re not part the brands’ workforce. There is no contradiction here.
Yes I am biased. I’ve been a rep in the Cedia channel since it began. I’ve seen this move countless times and it will result in lost sales and brand degradation.. it is close to a tragedy to watch the McIntosh name slowly spiral. Two iconic brands that don’t begin to share the same philosophies or dealers. I’m sorry for those reps that have exceeded expectations annually. And I would make a bet that leadership did not talk to the dealers.
Arrogance and ignorance
Seem to rule!
Bose has always been a bully and arrogant. Now meshing together such an iconic brand as Mcintosh whose history of ground breaking audio products rests in the superiority of the technical performance of its products, with Bose, another iconic brand whose genius has always been .marketing but not at all product performance or value, appears to be more like bashing vs meshing. Next up Bose will probably tell their Mac dealers how lucky they are to be factory direct, But on 2nd thought, they probably already have.
Oh how the mighty have fallen. McIntosh the once iconic brand will now fall to the wayside. What’s next ? A new name for the brand McBose !!!
The current trajectory of the purchase of McIntosh is simple. A large middle of the road audio company buys a legacy company so as to acquire the name and some tech. Next step build the product’s cheaper and distribute them more widely. Finally destroy all the attributes you purchased the company for.
Cashing in on brand equity, as they say. It’s how countless once-proud American businesses met their demise. Den Fujita predicted this decades ago.
Having been through eight M&A transactions (acquiring and acquired) over many years in two industries (IT&T, AV), I have many thoughts on this topic. A few high points:
Yes: specialists buy from specialists. I’ve experienced the devastating effects that flow from failing to understand this.
The ‘specialists buy from specialists’ maxim is just one of the many factors that surround the question of ‘channel to market’.
And, in fact, many acquisitions appear to be underpinned by thinking that goes something like this: “We have a broad channel, and we sell loads of things through that channel. The acquisition target has great products, but an unenlightened/old-fashioned view of channels to market. We can take their great products and sell through a much wider channel… and we’ll make a motza.”
Sometimes this works out just fine: the products (or refinements) are well-suited to a new/different/wider channel, and the acquired brand prospers. Look at the financial success of JBL in recent years for an example. Yes, it’s not ‘your father’s JBL’. R&D and manufacturing are largely undertaken in the far east and the brand encompasses many new-generation products – but it’s undoubtedly paying off financially.
We could all name a dozen examples where things have gone the other way!
What will be interesting to see, in this case, is how the companies (Bose and McIntosh) handle the discontinuity that is being created. If they are moving away from a specialist channel, then how will the product set be changed to be acceptable in the new channel? Is there sufficient value in the brand (McIntosh), its products and its technology to generate payback-level appeal in a different channel?
Or is there simply a failure to grasp that ‘specialists buy from specialists’, and will this lead to declining sales in the ‘old’ channel without penetrating a ‘new’ channel to compensate.
Only time will tell.
After many acquisitions, I have learned this much: the acquirer spent its money, and now has the ‘right’ to make whatever decisions it chooses. If it all works out, there will be winners. If it ends up in a smouldering mess, well, there are plenty of other brands…
[I have no information other than what’s been released to the public concerning the underpinnings of this particular transaction.]
Idiots will kill the MacIntosh brand, and other brands will thrive. Go Luna!
Bose,
Is junk and always will be junk. If they have any sense thry will not mess with Mc products.
At times more money than Brains is not a good thing.
I spoke to my local dedicated Hi Fi shop that sells McIntosh which I plan on making a large McIntosh purchase. They said that this is fine and no worries. They said no one used independent sales reps anymore and they were only a real benefit in the 1990s.
Let’s not be so quick to give McIntosh a bad reputation. It is a great brand and it would be a shame to trash it before we even know how things pan out.
Never owned a Bose product. IMHO they are “gimmickry”. McIntosh on the other hand is focused on ACCURATE sound reproduction. Two entirely different philosophies under one umbrella. Not good.
Crazy how many uninformed opinions are being posted. Factory reps have one brand to support. Independent rep firms have to support many brands and answer to them all. The few independent reps will be replaced by McIntosh reps who are focused on McIntosh and Sonus Faber.