Feeds

HMV faces the music after crap Christmas

But CEO insists gadget store facelift is working

3 Big data security analytics techniques

British High Street store HMV will inch away from CD and DVD retail and re-angle itself as a gadget seller, it announced today after another disappointing Christmas performance.

With an 8.1 per cent yearly drop in like-on-like sales for the 2011 Christmas period, HMV is turning to technology to spare it financial doom. The grizzly sales drop was actually an improvement on the week before Christmas when it looked like holiday sales were running down more than 13 per cent on 2010. CEO Simon Fox reported that the firm sold 500,000 pairs of headphones in December and 20,000 tablet computers. Twenty-five per cent of headphones bought in the UK last year were sold by HMV, said PR chief Gennaro Castaldo, adding that the figure included 40 per cent of the vogueish Dr Dre Beats headphones.

Asked how HMV would differentiate itself from the existing players in the tech store space – PC World et al – HMV PR chief Gennaro Castaldo told El Reg that its more centrally located stores and association with music and media would make HMV a different offering: "We have heritage in music, film and games - it makes sense for us to sell content and devices," he said.

The store wouldn't be rebranding, Castaldo said, but the company is in process of redesigning its stores to put tech products at the forefont.

Selling gadgets isn't a guaranteed route to retail success, as Best Buy found out in 2011 when the American budget gadget store was forced to shutter its year-old UK outlets. The market for resellers is cut-throat too, with the end of last year seeing a record number of insolvencies.

Besides re-angling its retail outlets, the firm is looking to sell HMV Live – its venue and events arm – in an attempt to help pay off the company's £160m debt. ®

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.