HMV Finally closing down for good?

desires said:
If you can't make a profit then as a profit-making business you are redundant, that's a pretty simple idea to grasp. There's a small rock music store in Canterbury which makes no profit, however it's clearly not the intention of the owner to make a profit but rather give him something to do and get a satisfaction from providing a niche market to those who desire his goods so he's not redundant. As soon as a business becomes all about the money it becomes redundant if it doesn't make that money. HMV could easily have 10 profitable stores country wide but they grew too big, demanded too much and lost out to the internet.
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I'm sure they weren't redundant to the thousands of people employed by them. You can't expect a company this big to go down without having a trickle down effect on other local business.
 
Weekend I went to HMV to pick from the carcass, got quite a few kids films.

You can tell they're desperate - guy at the till magically found a way knock 25% off one that wasn't blue cross. I said I'd rather not take it if it wasn't discounted and hey presto he cut 25% off. You just got the feeling the staff were under orders to move as much stock as humanly possible. Other staff were literally pegging it around the stores finding cd's for customers, nothing was too much trouble - very un-HMV like.

Grim, it's like a financial Noah's ark, the high street is being obliterated before our very eyes.
 
well I for one wish high street shops would remain.

I recently wanted to buy a camera I went to Jessops.

We soon need a TV I will go to currys.

When I bought my Tag watch I went to a jewelers in the high street

I suppose the one thing I do not buy are things like games which I buy from steam

without actually seeing items and having some human interaction upon purchasing I think shopping will be very boring and infact will impact internet sales negativly until consumers can see items again.

I suppose one thing that may happen is large shops such as a Amazon shop that there maybe 3 or 4 in the country where you can view tv's cameras etc. We still have currys but for how long
 
I'm saddened but not suprised if this turns out to be true.

I went into HMV on Saturday, I had money to burn, I was after nothing in particular but fancied treating myself.

I had a good look around over about 30/40 minutes or so. I left without buying a single thing. Everything was either tat or too expensive.
 
desires said:
If you can't make a profit then as a profit-making business you are redundant, that's a pretty simple idea to grasp.
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So imagine you run a shop. We'll ignore HMV's arguably excessive size as that's a point I very much agree with.

You sell widgits. For years you make a profit selling widgits for, say, £7 when they cost £5 to make and £1 to sell.

Then I come along and decide to sell widgits over the internet. It costs me £5 to make a widgit and 30p to sell it because I'm internet based.

But I sell my widgits for £4 to drive custom and make impressive turnover figures as well as increasing my market reach so I can then sell ironing boards at high margin at a later date. Or perhaps I sell them for 1p more than it costs me to make and sell them - the point remains the same. I pick a pricepoint that will never deliver long term profits.

You go bust, because you can't compete with me. haha, you are redundant! If you cant make a profit, you suck, right?

Then I either give up, or go bust.

Now where do people buy the widgits?
 
[TW]Fox;23559528 said:
So imagine you run a shop. We'll ignore HMV's arguably excessive size as that's a point I very much agree with.

You sell widgits. For years you make a profit selling widgits for, say, £7 when they cost £5 to make and £1 to sell.

Then I come along and decide to sell widgits over the internet. It costs me £5 to make a widgit and 30p to sell it because I'm internet based.

But I sell my widgits for £4 to drive custom and make impressive turnover figures as well as increasing my market reach so I can then sell ironing boards at high margin at a later date. Or perhaps I sell them for 1p more than it costs me to make and sell them - the point remains the same. I pick a pricepoint that will never deliver long term profits.

You go bust, because you can't compete with me. haha, you are redundant! If you cant make a profit, you suck, right?

Then I either give up, or go bust.

Now where do people buy the widgits?
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Now I really want a widget :(
 
[TW]Fox;23559528 said:
So imagine you run a shop. We'll ignore HMV's arguably excessive size as that's a point I very much agree with.

You sell widgits. For years you make a profit selling widgits for, say, £7 when they cost £5 to make and £1 to sell.

Then I come along and decide to sell widgits over the internet. It costs me £5 to make a widgit and 30p to sell it because I'm internet based.

But I sell my widgits for £4 to drive custom and make impressive turnover figures as well as increasing my market reach so I can then sell ironing boards at high margin at a later date. Or perhaps I sell them for 1p more than it costs me to make and sell them - the point remains the same. I pick a pricepoint that will never deliver long term profits.

You go bust, because you can't compete with me. haha, you are redundant! If you cant make a profit, you suck, right?

Then I either give up, or go bust.

Now where do people buy the widgits?
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While sort of true, someone will always sell widgets, it's not like they'll be filling warehouses while people aimlessly wander the streets scratching their heads.

I of course didn't bother to read the thread, or even the quote you posted so I may have missed a point or three.
 
Johnnytoxic said:
Clothes Shops and Supermarkets will be the highstreet.
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Either that or due to lack of uptake stupidly expensive rates and rental charges for business premises will be significantly lowered so the companies can actually operate in the 'real' world without it costing such a stupid amount. Maybe.
 
Important to acknowledge that many small businesses often don't turn a profit - there is no pressure to turn a profit - they cover the operating costs and the owners wage demands and that's it. Businesses don't have to turn a profit, they're still healthy businesses - it's just the profit is hoovered by Mr Proprietor.

These large retailers have run up unserviceable debt and have shareholders to appease. Shareholders want profit, or at the very least diminishing debt.
 
To me it seems inevitable that soon supermarkets and large warehouse style stores will be the main port of call to physically see and purchase items.

One thing I would like to see is Amazon have their warehouses (there's a massive one just 20 mins from me...) with publicly accessible sections in a way similar to Argos stores.

PvtJoker said:
Never going to happen!
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Perhaps. But one can still hope :)
 
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[TW]Fox;23559337 said:
The stores are not 'redundant' they just find it very difficult to be profitable in a market full of excessive lease costs, high fixed costs and increasing competition from online retailers who themselves make zero profit because they sell at levels whereby they cannot hope to cover costs let alone make decent money and are unsustainable.

It's a race to the bottom.
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Indeed, this is all gonna go **** up one day.
 
JAzz :eek:

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Funnily enough I bought Halo 4 from HMV today for what struck me as a reasonable price (£30 new). First time I'd purchased anything from there in years!

Not going to lament its loss though. Had a summer job there and they treated the temps like dirt. What goes around comes around. Make way for more Starbucks, Maccies and tourist tat.
 
Burt said:
Funnily enough I bought Halo 4 from HMV today for what struck me as a reasonable price (£30 new). First time I'd purchased anything from there in years!

Not going to lament its loss though. Had a summer job there and they treated the temps like dirt. What goes around comes around. Make way for more Starbucks, Maccies and tourist tat.
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That is reasonable since the cheapest place online for Halo 4 appears to be about £28.

If HMV were only a couple of pounds more than online I would use them a lot more often, but the last time I went to buy a deluxe version of a CD they were £8 more expensive than Amazon, I'm not willing to pay that sort of premium.

The same goes for Blu-Rays, they tend to be anywhere up to £10 more expensive than online.
 
I hope they do go bust, every t-shirt I've ever bought from there has been printed slightly off centre.

MOFO's.
 
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