How the Marshall Group Plans to Grow Its Share of the $100B Music Tech Market

If rock and roll were dead, it would be bad news for the Marshall Group, the Swedish company that manufactures its namesake guitar amplifier. But the company behind the amp doesn’t think rock is anywhere close to expiring — and its most recent earnings result backs that up. 

In fact, the Marshall Group doesn’t believe rock is confined to a music genre. “We think Marshall represents the rock and roll attitude,” says CEO Jeremy de Maillard. “We don’t think this is about the music genre, we think this is about attitude.”

Since last year, Marshall, which was founded in the United Kingdom, has been running out of a country better known for Spotify and pop music: Sweden. In 2023, Stockholm-based Zound Industries, a maker of headphones and wireless speakers, acquired Marshall Amplification and took the name The Marshall Group. The Marshall family retained a 24% stake in the company and family heirs Terry and Victoria Marshall each have a seat on the board of directors. Altor Funds came aboard in September as a minority investor.

De Maillard calls it “a very complimentary acquisition” that retained “almost everyone” from both companies other than “a couple changes at the very top,” as the two companies’ management structures were integrated into one group. And Zound and Marshall had a history well before the acquisition: Zound had collaborated with Marshall for 14 years and put the Marshall brand on its headphones and speakers. “It’s kind of like we were dating, and now we’re married,” de Maillard adds.  

The marriage appears to be off to a good start. Last year, the Marshall Group’s revenue increased 29% to 4 billion kroner ($380 million) and its adjusted operating profit improved 77% to 757 million kroner ($72 million), the company announced Thursday (Feb. 14). Pro-forma revenue — which includes Marshall Amplification and its subsidiaries for the full year — grew 18% year over year. Although the company is privately held, it releases select financial information to the public: “We believe that having the right rigor and financial reporting that is expected of a public company is good behavior and makes us a stronger company,” explains de Maillard.  

A quarter of the Marshall Group’s sales come from headphones while 70% is derived from speakers and 5% come from amplifiers, according to de Maillard. The Marshall brand accounts for 98% of the Marshall Group’s revenue, with the remaining 2% coming from Urbanears and adidas headphones.  

With the merger behind him, de Maillard’s plan is to invest in the Marshall brand and launch new products to increase its share of the $100 billion music technology market that currently stands at less than 1%. In the last six months, the Marshall Group has invested in Marshall’s U.K. manufacturing facility, which produces hand-made valve amps and houses a recording studio. This year, the Marshall Group will begin to offer its entire portfolio at a revamped Marshall website to build a stronger direct-to-consumer sales channel.

The company will continue to push its iconic hand-made valve amplifiers but will step up its strategy with its digital amplifiers and digital tools, says de Maillard. Digital amps have a variety of uses, he explains; the smaller amps are good for practicing and rehearsing in small spaces, for example, and don’t require the muscle or energy requirements of a larger valve amplifier. Last year, the Marshall Group launched the Studio JTM Amplifier and the Middleton, a portable speaker, while also debuting wireless noise-canceling headphones called the Motif II A.N.C. More products are set to launch in 2024, de Maillard says.  

“It’s one of the most known and loved brands in that space that has over 60 years of incredible legacy,” says de Maillard. “We see our responsibility now as the Marshall Group to write the next chapter of that and to build the next 60 years.”