HMV Group’s downbeat trading statement and announcement that it will close 60 stores sparked an online debate about the chain’s future prospects. Read Stuart Smith’s blog (left) and the story here www.mwlinks.co.uk/HMVReshape. Comments are presented below:
HMV has been whittling its music stock down to make room for clothing. I’ve always known HMV as a music store. With the closure of the Virgin/Zavvi stores, why would you reduce this stock and diversify into a crowded market? Look at what you sell and market it more effectively. Blaming the snow is the easy option.
With advancements in music technology, such as online downloads, it works out cheaper and quicker to shop online.
It doesn’t take an expert to work out that in less than 18 months from now, there will be no music specialists left selling CDs on the high street. This technology will be phased out by then.
The future for music is digital and online.
And to think the cost of having to pay business rates, high rental fees, etc just to bank a few quid in today’s harsh economic climate is now a reality for companies like HMV and others. It’s a dying market and the consumer’s music buying habit has moved on.
So, a wise move by HMV to cut its loses while it is still floating as a music business. I will be glad to see HMV sell music online only and forgo the high street presence. It makes sense.
If HMV could get the in-store experience and pricing right for the actual, not desired, target market, there is a place for it. There are many people who want to browse through different music and film genres. Same thinking discipline for online.