In a Facebook post published last night, Axe Music’s Calgary location announced it is closing operations when its current lease runs out on May 31, 2018. The company says the current depressed economic situation in Calgary, which is caused mostly by a prolonged downturn on the oil industry, as well as manager Brian Cymbaluk’s recent cancer diagnosis are the reasons for the decisions to close.
Axe Music’s Edmonton location and e-commerce business at AxeMusic.com will remain open.
AXE MUSIC to CLOSE CALGARY STORE MAY 31st, 2018
With the current tough economic climate in Calgary, Axe Music Calgary is no longer profitable, and unfortunately, we see nothing on the Calgary horizon that will fix that. With heavy hearts, the decision has been made for Axe Music Inc. to cease operations of the Calgary location at end of lease, May 31st, 2018!
General Manager and Partner Brian Cymbaluk’s recently diagnosed battle with cancer, now public, is a huge complication to our company, and another reason we have decided this is only course of action we can take.
This is a sad day for all of us!!! No one plans to fail… but we have simply exhausted our ability to make Calgary viable in today’s economy, and unfortunately… we must call it a day.
Axe Music Edmonton, and our fast growing dynamo, AxeMusic.Com, will continue in their current healthy format, affording Axe to move towards the future, in a way that makes the most fiscal sense, and “cents”!
Thank you for the many years of support, it has always been, and remains, “AXE”preciated”, and we’re there to take care of all of you with the guaranteed lowest prices in the land till May 31st, next year!!!
The Ownership / Management Team at AXE
UPDATE: CMT reached out to Axe Music President Brian Holowaychuk and asked, in light of this decision, how viable he thinks the Calgary market is for other brick-and-mortar MI retailers now and in the foreseeable future? Also, we asked how Axe’s Edmonton store has been able to avoid the same financial difficulties of the Calgary location?
Holowaychuk answered: “We feel that Calgary is going to continue to get worse for years to come, I hope we are wrong but we see nothing good in the future for Calgary. You have to understand the fundamental difference between Calgary and Edmonton. Oil is the primary economic driver for the whole province but that is where the similarities stop. Calgary is white collar, Edmonton is Blue collar in simple terms. Edmonton will do fine as long as the oilsands keep mining, the process is hugely abrasive, you’re basically processing liquid sandpaper, so the Oilsand process constantly needs rebuilding. This maintenance construction is the key to Edmonton’s economy. Calgary, however, is all the head offices and that is where they plan/organize the future growth, which for the future is nonexistent, thus all of the massive head office layoffs. In Edmonton they are starting to rehire, we feel that could be many years away in Calgary. FYI, Calgary office space is so over built that I personally know two different organizations that picked up new space super cheap. These new spaces had everything right down to the phones and one company got the space FREE, they just pay the op/costs, and the second company i know got even better, they got the space FREE and they only pay 75% of the op costs. Edmonton is a whole different thing, it’s fine… It was a super hard decision to make as we have great staff and many great customers. We even considered downsizing, but the reality is we are not good at being small and with Brian’s cancer added to the issues , we had to call it a day. Axe as a whole is very healthy.”