Lazaruswatch: Are HMV sorting their desperate selves out?May 4th, 2012 • 3 Comments
HMV have had a rotten time of it, failing to keep up with the shifting trends of the youths that made them so wealthy in the first place. However, they think they’re turning things around and have said that they will return to profit this year, mainly thanks to the collapse of Game. Commerce is cruel, eh?
That said, the trading update to the City noted that HMV were, like-for-like sales-wise, down 12.9% in the 17 weeks to 28 April and that they’d make a loss of £16m for the financial year just ended. This is the fault of too few blockbuster CD and DVD releases before Christmas, apparently.
The chief executive, Simon Fox, said: “The last year has been a difficult and challenging one for HMV and this will be reflected in our annual results. However, we are confident that the actions we have taken will enable us to significantly improve our profit and cash generation in the year ahead.”
HMV have been using their status as the last mainstream presence on the high street for the major music publishers to continue extracting major concessions. Effectively, if HMV went bust, Sony, Universal, EMI and Warner Music Group would be immediately denied one of their only shopwindows after Zavvi and Woolworths kicked the bucket.
With these publishers taking a small claim in the firm, will we see HMV finally turning things around or is it too late? Will Amazon and their ilk kill off the high-street record shop once and for all?
They are doing better with selling some dvd’s at reasonable prices but new dvd’s are mentally overpriced now. I’m not paying £17 for a new dvd. Not even going to pay that much for a bluray-dvd combo.
They still need to decide what they are going to be.
why bother when you can buy them off the chinky fella that pops round with his holdall. £3 each or two for £5?
HMV are deluded and still think it’s ok to sell a bluray of a ropey Adam Sandler movie that is £3 on dvd for £25.
Even more insane when going on the HMV website shows the same films for less than half the price. They need some form of click and collect and instore only deals similar to what the supermarkets run when they sell some new chart dvd or game for a really low price just to draw people in.
If they don’t change I don’t see them lasting more than another couple of years, and that is only because the death of Game gave them a slight reprieve.