HMV goes bang

[mdench]

Used to shop loads at HMV and then i found Amazon Mp3 just soo much easier click buy download listen. Still occasioanlly go in for a flick through the albums looking for an impulse buy. Will be sad to see them go

[Arthur]

I don't understand HMV. They've had a decade to get their act together and to get in on the digital economy yet they've sat as a ridiculous old world brick and mortar store chain selling the same old stuff.

I can't understand this either. Why couldn't HMV (and Jessops for that matter) make the switch to online only sales like Dixons did in 2007 and Zavvi (née Virgin Megastores) did in 2009? It seems that the people in charge of all of these high-street stores that go in administration have a tremendous lack of foresight or simply don't care because they get paid huge amounts of money regardless of whether the company fails or not.

[mattx]

I think the bloke who heads up hmv used to head up Jessops....
Says quite a lot that !!
No doubt he will be rewarded for his success and will go and work for a bank or David "toffy Eton country supper" Cameron.

[Arthur]

I think the bloke who heads up HMV used to head up Jessops....

He did. It seems like the same people go from one high-street retailer to another collecting massive pay cheques on their travels.

The executive director of HMV (Trevor Moore) was the executive director of Jessops. The chairman of HMV (David Adams) was the non-executive chairman of Jessops and non-executive director of JJB Sports.

Taxpayers are also going to have to foot the bill for employers wages too aren't they (through the government’s National Insurance Fund)?

[nephilim]

Personally I couldn't give a damn, yes it is sad that people will lose their jobs, but the sad fact is that Comet, Jessops and HMV did not do enough to keep up in the digital age. HMV could have capitalised and reigned supreme for sales such as Play.com did (though they are closing themselves because the tax loophole that allowed them to make so much money has been closed so they decided to close shop so to speak).

Comet on the other hand had stupidly high prices, low sale rates, and were doomed for a long while coming, being unable to keep up with Euronics and others. It is a slippery slope keeping up in this day in age, but they have all failed recently not from lack of spending (people spending has been as high as ever), its just the prices that put people off. People bargain hunt now like crazy, getting the best deal possible, and sadly, for the vast majority of stock in HMV or Comet, it could be found cheaper elsewhere or online at a lower price.

The main thing that HMV did well with was trade in prices, not a single store offered more than they did for new(ish) games. Hell 6 months after purchase Fight Night Champion was traded in for £36, whereas Gamestation/Game/Cex etc offered just under £20

[elsiegee40]

My son got an HMV gift card for Christmas. Fortunately he spent it quickly... On an iTunes voucher

[Dos_Box]

I suspect that since the 'digital revolution' in online sales and media distribution (let's say from abut 2000 onwards) the writing on the wall was so large that many company bosses simply failed to even see it.
There are many reasons for this, but primarily it was a total failure by older executives to listen to younger more tech-savvy managers when all of this began to happen. There are (or in HMV's case, were) many opportunities to turn this trend around and many businesses did so successfully.
What's that saying about dinosaurs?
One day a book will be written (once the dust settles) about the move over to internet marketing and distribution, but there will be a few more big name casualties to come yet I think.

[Gatt]

Kinda sums up why HMVB are going bump - they've made a simiilar mistake to Comet and other stores recently in not adjusting to compete with the online market, they certauinly haven't adjusted their prices to the likes of iTunes - bet your son got a lot more songs in his iTunes card than he would've done on the HMV one!

[tech_guy]

Shame about HMV - if you knew what you were looking for you could usually bag DVDs for less than some of the major online retailers. My DVD film collection (over 5000 titles) is probably 25% purchased from HMV over the years.

[BenABF]

Makes me wonder if there will be any shops left in these great big shopping centres that have been built in towns and cities, some less than a decade ago

[Dos_Box]

As regards the high street, it is not just the internet which is to blame. Many councils are bumping up rents and rates at a shocking level year on year. Not to mention increased car parking charges in all town/city centres. The more businesses that leave/go bust the more they put up rates/rents/parking to cover the losses. Tt's a vicious circle. Most out-of-town shopping centres have none of this baggage.
IMO, if the high street is to be saved then local councils really need to get a business head on, but given most council 'leaders' are not business people this won't happen.

[localzuk]

As regards the high street, it is not just the internet which is to blame. Many councils are bumping up rents and rates at a shocking level year on year. Not to mention increased car parking charges in all town/city centres. The more businesses that leave/go bust the more they put up rates/rents/parking to cover the losses. Tt's a vicious circle. Most out-of-town shopping centres have none of this baggage.
IMO, if the high street is to be saved then local councils really need to get a business head on, but given most council 'leaders' are not business people this won't happen.

Yup. A friend of mine was talking about a market in one town where a family member of his has a stall. They have been told that the market building is going to be demolished, and a new building built. Which is fine, however, the rates they have to pay will go up by a factor of 10. Which means the stall can't run, as they don't make enough money to do that.

So, the new building, as fancy as it'll be, will have no stalls because they can't afford to run.

There's nothing wrong with the old building either, its one of those concrete builds and has many years left in it.

[BenABF]

Oh I agree totally, I don't think the super markets help HMV either due to having a range of CDs, DVDs and electrical goods, all with the convinience of free parking, some times 24 hour opening and being able to do it all in one shop. Still theres walways the need for another coffeee shop

[Earthling]

Makes me wonder if there will be any shops left in these great big shopping centres that have been built in towns and cities, some less than a decade ago

Hey, that'd be good............maybe they can be converted into apartment buildings instead so people can have somewhere to live and the ridiculous price of housing can come down. Same goes for all the dying High Streets.

Just my two penn'orth.

[TBlax]

Oh I agree totally, I don't think the super markets help HMV either due to having a range of CDs, DVDs and electrical goods, all with the convinience of free parking, some times 24 hour opening and being able to do it all in one shop. Still theres walways the need for another coffeee shop

That may be well and true, but HMV doesn't have f***ing annoying shoppers who randomly stop right in front of you - or think their trolley is a go-kart that can magically go through people!!!
(Yes, I am an online shopper.)

Sad to see HMV go down to this but I could see it coming. Their prices weren't at all reasonable (bar a few bits and bobs) and as has been said, they weren't keeping up with the digital times. I expect our store in Gloucester will suddenly get the bargain bunch rolling in. When our Comet store was closing, people were coming from the Forest of Dean just to buy printer paper. LOGIC!