Feeds

HMV faces the music after crap Christmas

But CEO insists gadget store facelift is working

Providing a secure and efficient Helpdesk

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. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.