Real Groovy is an online music store that offers a large range of music and excellent customer service. It has faced challenges from large competitors like The Warehouse that can buy inventory in bulk and offer lower prices. The digital age has also impacted Real Groovy, as total music retail sales dropped 35% from 2001-2005 while digital music sales increased 30%. To combat these problems, Real Groovy aims to improve its unique inventory, continually update its online store, and expand its product offerings.