Are entertainment stores like HMV redundant?

Doodlebug12

Doodlebug12

Doodlebug12

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HMV posts record sales falls and is closing 60 stores: http://spreadbetting.co.uk/ftse-takes-a-battering-as-retailers-report-festive-woes.html

I remember when we used to have HMV, Virgin, Our Price, Andy's Records, Woolies... Now the last one standing is on its last knees.

Really, with the internet and digital retailers is there any market for people selling CDs and DVDs any more?

And those that still buy them in shops instead of download (mostly the older generation) can pick them up much cheaper in supermarkets.

Should HMV just call it a day once and for all?
 
Largely yes, my sister works for one of the few remaining music stores and they are making a 1/3 of what they used to a day if they are lucky.

However they do still make a profit, until that stops I don't want them to go because I do quite like them.
 
Dinosaurs. They've failed to adjust their business model sufficiently, and are paying the price; something I never do in any of their stores, as they're shocking unless there's a mega-sale on.
 
There's still a small hole in the market for people who want physical copies of music, films or whatnot and don't want to wait for delivery when ordering online.

Otherwise, yes, the stores are largely redundant, rely on relatively large profit margins to survive, and brands such as HMV should be doing a heck of a lot more to diversify their operations if they want to remain profitable.
 
I'm guilty of being someone who downloads music off itunes or whatever, or if I buy albums it's most likely on the internet as it's cheaper and I get more choice. Plus I can listen to music beforehand on the internet.

I guess it's just the way the world turns. I can see most niche stores being like this before long, unless they offer something you don't get on the internet. If HMV offered cheaper than internet prices, maybe I'd consider using them.
 
There is an interesting read about them here:

http://www.bbc.co.uk/news/business-12118619

They were in the internet market but did not respond to the pricing of supermarkets and more importantly the other two leading market players. In the meantime they kept store prices high and as a result they are in a mess. I stopped using them a while back, ordered online and so did most people. The brand will remain online with some stores in major locations and no doubt they will find new markets.
 
They are good for impulse buys and for presents - so I'm sure once they've scaled down their operation to only stores that are profitable they'll be fine.

There will need to be larger scale store closures than they've already announced though.
 
On the brisk of being redundant I feel. I'm not sure how they can adapt now. The huge HMV in Glasgow has installed a gaming area, full of gaming computers, consoles, and what not which always seems to be quite busy though I don't think that'll sustain it. With more and more people turning to online shopping I just can't see how they can be viable outside of the Christmas market.
 
In my view the whole music industry is in a mess. CD's are so old hat now and a album in the shops still cost what it did 5 - 6 years ago.

You also have the online stores who are just walking all over the likes of HMV. Spotify £4.99p/month gets unlimited music, Amazon and Play pricing very competitvly.

Then you have the ilegal side...
 
simulatorman said:
There is an interesting read about them here:

http://www.bbc.co.uk/news/business-12118619

They were in the internet market but did not respond to the pricing of supermarkets and more importantly the other two leading market players. In the meantime they kept store prices high and as a result they are in a mess. I stopped using them a while back, ordered online and so did most people. The brand will remain online with some stores in major locations and no doubt they will find new markets.
Click to expand...

Interesting article, thanks, totally agree that as they've tried to branch out they've made it difficult to know what HMV is actually for...
 
HMV online can sell a cd for £8 you go in their shop and it's £16-18 who is going to pay that much for a cd nowadays, though they still beat amazon on vinyl prices most of the time when i order stuff.
 
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