OnionTerror Posted June 30, 2011 Share Posted June 30, 2011 ..they're going to sell poncy headphones... http://www.guardian.co.uk/business/2011/jun/30/hmv-focus-headphones-gig-tickets The boss of HMV said that selling expensive headphones and concert tickets would provide a route to salvation as the entertainment retailer capped a tumultuous year with a loss of £121.7m. Chief executive Simon Fox said that within three years technology would become its single biggest product category ahead of both CDs and DVDs. It plans to devote 25% of the floor space to MP3 players, tablet computers and headphones as the CD goes the way of other defunct formats such as vinyl and tapes. "Consumer electronics companies aren't making CD players any more," said Fox. "When acts like Lady Gaga and Justin Bieber come into our stores it is to promote their headphones." He said the headphone market was worth £150m with Dr Dre's Beats selling for more than £300. There was no danger that the change of direction would pit it against specialists such as Dixons and Comet, he said, as the products would be sold "in young, buzzy stores, not out-of-town sheds". The 90-year-old group, famous for its Nipper the dog trademark, came close to collapse this year after the weak consumer environment coupled with collapsing demand for CDs and DVDs resulted in growing debts. UK sales at HMV, which has around 250 stores, slumped 14% to £1bn in the year to 30 April as the total markets for physical CDs contracted by 10%. The group plans to reduce its reliance on the high street – and Christmas sales – by expanding its live music and ticketing arm. Fox said it would add to its dozen concert venues, which include the Hammersmith Apollo and the Edinburgh Picture House, so it could host national tours for artists. As part of the rescue plan agreed with its banks HMV sold the Waterstone's book chain for £53m and its Canadian arm for £2m. Its underlying profits were down 61% at £28.9m but technical charges relating to the reorganisation pulled it down to a loss of £121m. No full-year dividend was paid and the company said it would not be reinstated until a £90m loan, which will attract a higher interest rate in 18 months time, is repaid. Arden Partners analyst Nick Bubb said HMV would probably, at best, break even in the current financial year and would look to raise equity after Christmas: "The shares are still best avoided." They closed down 3% or 0.31p at 9.69p. Quote Link to comment Share on other sites More sharing options...
Will! Posted June 30, 2011 Share Posted June 30, 2011 Most of their shops are toast, but I think there might be something in their music venue business. Going to gigs is just about the one thing that the internet hasn't changed. Quote Link to comment Share on other sites More sharing options...
BlinkTooFast Posted June 30, 2011 Share Posted June 30, 2011 ..they're going to sell poncy headphones... I've a 90 year old HMV radio. Very pretty since I renovated it - walnut, 1924. It was still working until a few years back when a valve went and I couldn't find a replacement for it. Looked several places. Never occurred to me to actually ask in HMV itself, but if they're puffing up their technology department maybe I should give it a go. I'm also looking for a headphone amp to go with my Sennheiser HD650's. Think I'll be able to pick one of them up, too? Quote Link to comment Share on other sites More sharing options...
Longtermrenter Posted June 30, 2011 Share Posted June 30, 2011 I've a 90 year old HMV radio. Very pretty since I renovated it - walnut, 1924. It was still working until a few years back when a valve went and I couldn't find a replacement for it. Looked several places. Never occurred to me to actually ask in HMV itself, but if they're puffing up their technology department maybe I should give it a go. I'm also looking for a headphone amp to go with my Sennheiser HD650's. Think I'll be able to pick one of them up, too? Try googling watford valves. Lots of valves. Quote Link to comment Share on other sites More sharing options...
OnionTerror Posted June 30, 2011 Author Share Posted June 30, 2011 Most of their shops are toast, but I think there might be something in their music venue business. Going to gigs is just about the one thing that the internet hasn't changed. Sell of their shops (if they can) & concentrate on concert venues...set up festivals, that sort of thing... Quote Link to comment Share on other sites More sharing options...
Ulfar Posted June 30, 2011 Share Posted June 30, 2011 (edited) So HMV reckon that selling expensive headphones and concert tickets will save them just at a time when the majority of people are cutting back on non-essential expenditure. Bet when they post a big loss again, he gets a big fat golden goodbye. Here is an idea that might help save HMV shops, sell your stock at the same price in the shop as online and make your prices comparable with other online retailers. If you can't do this then you will fail sooner or later. Other retailers have realised this, more and more allow you to buy/reserve something online and pick it up in the shop. Edited June 30, 2011 by Ulfar Quote Link to comment Share on other sites More sharing options...
OnionTerror Posted June 30, 2011 Author Share Posted June 30, 2011 So HMV reckon that selling expensive headphones and concert tickets will save them just at a time when the majority of people are cutting back on non-essential expenditure. Bet when the post a big loss again, he gets a big fat golden goodbye. Here is an idea that might help save HMV shops, sell your stock at the same price in the shop as online and make your prices comparable with other online retailers.If you can't do this then you will fail sooner or later. Other retailers have realised this, more and more allow you to buy/reserve something online and pick it up in the shop. I don't think they can sell any cheaper in their shops...thanks to their high rates theiy have to pay, seeing as they decide to locate themselves in prominent high st positions... Quote Link to comment Share on other sites More sharing options...
EnuffZNuff Posted June 30, 2011 Share Posted June 30, 2011 Yeah - that'll save 'em. Go into valves so that weirdos can walk in off the street and buy them. Hey most modern music depends on valves for the sound - guitar amps & most studios have valves somewhere in the chain (pre-amps etc) . Transistor amps are and will probably always will be shite in comparison, and while software emulations are okay - but nothing beats a cranked up valve amp. Quote Link to comment Share on other sites More sharing options...
Traktion Posted June 30, 2011 Share Posted June 30, 2011 Headphones?! If that is the best they have got, they may as well pull the plug now! Quote Link to comment Share on other sites More sharing options...
The Eagle Posted June 30, 2011 Share Posted June 30, 2011 Headphones?! If that is the best they have got, they may as well pull the plug now! I agree, also the other items they mention sound equally desperate or out-of-touch with reality. MP3 players: long superseded by smart phones tablet computers: niece product, mostly bought online anyway (people might check it out at HMV first though, before then buying it online ) Quote Link to comment Share on other sites More sharing options...
General Congreve Posted July 1, 2011 Share Posted July 1, 2011 £121.7 million loss?!?! They'd need every person in the country to give them two quid each just to cover this year's loss (on top of all the previous years), then they'd need loads of us to have an epiphany and ditch Amazon, iTunes and illegal downloading and rush out the their stores to buy stuff from them like it was the 1990's or something. Who keeps extending credit to these has-beens. A quick bullet in the brain and off to the glue factory is the remedy. The banks need to stop throwing good money after bad. But then maybe they can't stop. HMV is probably just like another little bit of Greece on their balance sheets. Let it go and the whole house of debt cards starts to fall. Quote Link to comment Share on other sites More sharing options...
'Bart' Posted July 1, 2011 Share Posted July 1, 2011 as the CD goes the way of other defunct formats I remember Judith Hann on Tomorrow's World demonstrating the new fangled CDs. To prove their indestructibility she spread butter and jam on one, then washed it off under the tap. Silly cow! Quote Link to comment Share on other sites More sharing options...
200p Posted July 1, 2011 Share Posted July 1, 2011 Turn them all into internet cafes. Quote Link to comment Share on other sites More sharing options...
@contradevian Posted July 1, 2011 Share Posted July 1, 2011 I've a 90 year old HMV radio. Very pretty since I renovated it - walnut, 1924. It was still working until a few years back when a valve went and I couldn't find a replacement for it. Looked several places. Never occurred to me to actually ask in HMV itself, but if they're puffing up their technology department maybe I should give it a go. I'm also looking for a headphone amp to go with my Sennheiser HD650's. Think I'll be able to pick one of them up, too? Wow 1920's valves. Best of luck with that one. Maybe a collector somewhere. Got a few valve sets myself but not put them on for a while to save the valves. Probably blow a capacitor if I did now. Valves are lovely things. Quote Link to comment Share on other sites More sharing options...
Mr 0.01% Posted July 1, 2011 Share Posted July 1, 2011 Turn them all into internet cafes. Do internet cafes exist anymore? I remember Virgin music shops before they were taken over by Zavvi. Didn't work for them. If I was an investor I'd just pull the plug. It's a dying beast. Why try to sell electronics? We all know that Comet et al are all dying as well. Quote Link to comment Share on other sites More sharing options...
SHERWICK Posted July 1, 2011 Share Posted July 1, 2011 Yeah - that'll save 'em. Go into valves so that weirdos can walk in off the street and buy them. It's called a Niche Market Entry Strategy. Quote Link to comment Share on other sites More sharing options...
200p Posted July 1, 2011 Share Posted July 1, 2011 Sure they exist. But rents/business rates need to be low enough for it to work. Quote Link to comment Share on other sites More sharing options...
Mr 0.01% Posted July 1, 2011 Share Posted July 1, 2011 Fair dos. Only place I've seen them recently are Spain. With free wifi and smartphones every I figured that noone would be prepared to pay for the hardware/set up costs etc. Quote Link to comment Share on other sites More sharing options...
@contradevian Posted July 1, 2011 Share Posted July 1, 2011 (edited) Do internet cafes exist anymore? I remember Virgin music shops before they were taken over by Zavvi. Didn't work for them. If I was an investor I'd just pull the plug. It's a dying beast. Why try to sell electronics? We all know that Comet et al are all dying as well. Internet cafe's still seem to work in London where you have a lot of tourists, foreign nationals or immigrants wanting to keep in touch, especially with MSN, Voip etc.. Would have thought less need with internet mobiles but high 3G data rates between countries have an effect I guess (unless you buy a local dongle and have an unlocked phone). Edited July 1, 2011 by John Steed Quote Link to comment Share on other sites More sharing options...
Mr 0.01% Posted July 1, 2011 Share Posted July 1, 2011 Ah we don't have any of 'those types' oop north! Quote Link to comment Share on other sites More sharing options...
sleepwello'nights Posted July 1, 2011 Share Posted July 1, 2011 Turn them all into internet cafes. It might work if they were Charity Internet cafes. No business rates then. Quote Link to comment Share on other sites More sharing options...
Tonkers Posted July 1, 2011 Share Posted July 1, 2011 There is nowhere left for HMV to turn. Hunt down and shoot whoever was in charge of their digital launch. The brand name isn't worth anything. Shame. I remember paying thousands to get racking in their stores, who would do that now? At the massive heights of dance music over a decade ago, they were selling these fake white label 12"s, it was just embarrassing. Quote Link to comment Share on other sites More sharing options...
200p Posted July 1, 2011 Share Posted July 1, 2011 HMV charity shops could work. Business rates would be lowered. Donate your unwanted CDs, DVDs they resell, run by volunteers, etc. Don't think they could ever distribute a dividend to shareholders though! The only people who would profit are the landlords. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted July 1, 2011 Share Posted July 1, 2011 HEADSETS MUSIC VENUES I think the boy may be onto something Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted July 1, 2011 Share Posted July 1, 2011 Who keeps extending credit to these has-beens. A quick bullet in the brain and off to the glue factory is the remedy. The banks need to stop throwing good money after bad. But then maybe they can't stop. HMV is probably just like another little bit of Greece on their balance sheets. Let it go and the whole house of debt cards starts to fall. We do. http://news.sky.com/skynews/Home/Business/British-Taxpayers-To-Become-Shareholders-In-HMV-As-Part-Of-Rescue-Package-For-Ailing-Retail-Chain/Article/201106116006972?lpos=Business_First_Home_Article_Teaser_Region_0&lid=ARTICLE_16006972_British_Taxpayers_To_Become_Shareholders_In_HMV_As_Part_Of_Rescue_Package_For_Ailing_Retail_Chain It's so the managers have 2 years to keep on looting it turn it around HMV Executive Directors Simon Fox 2010 £874,000 2009 £579,000 +51% Neil Bright 2010 £559,000 2009 £349,000 +60% Gerry Johnson 2010 £494,000 2009 £312,000 +58% Non-Executive Director Robert Swannell 2010 £200,000 2009 £50,000 +300% http://www.hmvgroup.com/investors/financial-reports/reports-results/~/media/Files/H/HMV-Group/Annual%20Reports/hmv_annual-report-2010.pdf It's our money they taking with their next pay rise. Then if it fails in two years they walk away with their millions and we have another write-down. Think Rover.... Quote Link to comment Share on other sites More sharing options...
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