It appears that more and more consumers are turning away from the high street for their music and DVD purchases – leaving HMV reeling as a consequence.
The retailer saw its sales slump sharply over the Christmas period – even though the decline of its music and film business was actually slower this year than previously. Its like-for-like sales fell by 8.1 per cent; while its total sales fell by 16.6 per cent. The news comes just a month after HMV announced it may be forced to sell its live music business – while its decision to refocus on technology products is slowly starting to reap rewards with like-for-like sales up 51 per cent despite strong competition. So are consumers right to turn away from the high street for their music and film purchases?
A matter of comparison
For years there were suggestions that UK consumers were paying significantly over the odds for CD and DVD purchases. However, recently prices have started to slump due to the expansion of the internet with many online retailers able to cut prices thanks to reduced overheads; while there has been strong competition for ownership from direct downloads – with consumers able to get the movies and music they want within minutes.
If you still enjoy buying CDs and DVDs however, then the cheapest option is usually to carry out a price comparison before you buy. By searching for the CD or DVD of your choice, you can return prices in minutes from all of the leading online retailers so you know you’re getting the best deal available. This includes all of the top selling products, such as: The Inbetweeners Movie; the latest BBC series Sherlock; and music such as Adele’s 21 album; and the Military Wives’ Wherever You Are.
HMV is now vastly reliant on its technology sector – which represents 12 per cent of its sales. The company hopes to increase this to 30 per cent over the next three years; while also refocusing its business by offering additional products, including: headphones; MP3 players; and tablet computers. However, analysts have remained critical of the strategy pointing to strong competition among electronic retailers and questioning its ability to launch a long-term sales drive.
Of course you may still be able to pick up some appealing offers by approaching HMV directly – with many of its leading deals available online. In the HMV voucher code section at Moneysaver.ie you can currently get: technology from £5; blu-rays from £7.49; box-sets from £9.99; and DVDs from £2.99.