Should I spend my HMV gift card ASAP?
- Thread starter Hawk Tuah
- Start date
I don't like vouchers for this reason, espeically when it's a significant sum.
I do however actually quite like HMV, unlike GAME.
But think of it this way GAME, Comet, HMV, PC WORLD etc are in my view quite similiar businesses on the High Street. Essentially they probably are a thing of the past before the online era of purchases and they haven't stayed competitive with online retailers, and generally their instore prices are too high for what they're trying to do and the markets they're aimmed at i.e. people that are likely to have Internet and are generally becoming more aware of better deals online.
Two have already collapsed, HMV is known to be having problems. HMV has issues with some deal they made with banks and aren't likely to repay it as they agreed. They're also making losses and I think but may be wrong they may have had a cash surplus from the previous year that they've now used up. So basically they're making a loss and have cashflow problems to boot.
They're not going to go into administration just before Christmas when sales are probably at their best, they probably will just after Xmas if they're going to. Why because they need to reduce stuff then, and a lot of people probably have gift cards etc (so credit notes basically). So folding after Xmas means they won't need to honour those gift cards and since their stock will be worth less in the sales and less busy times anyway that would be the time to fold.
I think Zavvi may have folded shortly after Xmas, probably for the same sort of reasons.
I do however actually quite like HMV, unlike GAME.
But think of it this way GAME, Comet, HMV, PC WORLD etc are in my view quite similiar businesses on the High Street. Essentially they probably are a thing of the past before the online era of purchases and they haven't stayed competitive with online retailers, and generally their instore prices are too high for what they're trying to do and the markets they're aimmed at i.e. people that are likely to have Internet and are generally becoming more aware of better deals online.
Two have already collapsed, HMV is known to be having problems. HMV has issues with some deal they made with banks and aren't likely to repay it as they agreed. They're also making losses and I think but may be wrong they may have had a cash surplus from the previous year that they've now used up. So basically they're making a loss and have cashflow problems to boot.
They're not going to go into administration just before Christmas when sales are probably at their best, they probably will just after Xmas if they're going to. Why because they need to reduce stuff then, and a lot of people probably have gift cards etc (so credit notes basically). So folding after Xmas means they won't need to honour those gift cards and since their stock will be worth less in the sales and less busy times anyway that would be the time to fold.
I think Zavvi may have folded shortly after Xmas, probably for the same sort of reasons.
Remember that big chains with a big brand name don't just close. If they can't agree new terms with their banks or access any new money they are put into administration. The administrators job is to maximise the value by re-structuring, selling off assets including trying to sell the profitable bits as a going concern.
HMV is a very established and famous brand that has just found itself competing with the wrong mix of interests in the entertainment business. A lot of other businesses would like that brand. Even if they close all the high-street HMV stores, they would be foolish not to try to sell off the remaining stock first, like Woolies did, when rents are already paid. If anything, there are likely to be some better bargains to come after Christmas.
So the choice is: 1) sell the vouchers to some unsuspecting person who doesn't have wind of HMV's woes (not very nice really); 2) spend the vouchers & sell the goods; 3) spend the vouchers and keep the goods. I find they have some very good offers already like 6 blu-ray discs for £30 or iPads at Apple's pricing but with a 2 year guarantee.
HMV is a very established and famous brand that has just found itself competing with the wrong mix of interests in the entertainment business. A lot of other businesses would like that brand. Even if they close all the high-street HMV stores, they would be foolish not to try to sell off the remaining stock first, like Woolies did, when rents are already paid. If anything, there are likely to be some better bargains to come after Christmas.
So the choice is: 1) sell the vouchers to some unsuspecting person who doesn't have wind of HMV's woes (not very nice really); 2) spend the vouchers & sell the goods; 3) spend the vouchers and keep the goods. I find they have some very good offers already like 6 blu-ray discs for £30 or iPads at Apple's pricing but with a 2 year guarantee.
- Joined
- 9 Dec 2012
- Posts
- 1,457
Maybe it people getting rid of them? i would not buy HMV I can see them going belly up. I reckon after Jan they start to hit the floor. Then again I would not have vouchers dont they have a time limit? or they'll get damaged.
![[TW]Fox](/data/man-of-honor/2009.png){kind=avatar}
Found the same thing this weekend. Thought it would be nice and quiet given the internet has decided nobody buys retail anymore. I had to queue for ages. Lots of stuff seemed quited reasonably priced too - comparable to play.com for most of the CD's and DVD's.
Recent events have changed my mind. Went in today and despite the sale, they had virtually nothing of worth. They had nothing apple (clearly apple have refused to send them stock) and anything decent was also awaiting stock.
So I grabbed whatever I could and will flog it all.
There were still lots of people in the store and the till was running continuously. The back end finances must be a real mess for such a popular shop to go under. Will be a shame.
So I grabbed whatever I could and will flog it all.
There were still lots of people in the store and the till was running continuously. The back end finances must be a real mess for such a popular shop to go under. Will be a shame.
Nice work.
Soldato
- Joined
- 10 May 2004
- Posts
- 13,108
- Location
- Sunny Stafford
Man of Honour
- Joined
- 17 Nov 2003
- Posts
- 36,750
- Location
- Southampton, UK
Yes, it's highly likely that gift cards will be worthless now the administrators have officially been called in, unless a buyer is found.
- Joined
- 9 Dec 2012
- Posts
- 1,457
You still have a chance when they open the doors tomorrow to use them.
Associate
- Joined
- 3 Nov 2004
- Posts
- 631
- Location
- Back O'Bourke
Unless an announcement has been made to the contrary you can still use them; I'd recommend doing so quickly
They have not appointed an administrator yet, so this is currently incorrect. This will presumably take place tommorrow, so if you have a gift card, its probably time to get up early
