Diversification Pays: HMV Reports Big Holiday Boost

Diversification Pays: HMV Reports Big Holiday Boost

CDs are sinking fast, on both sides of the Atlantic, and that is spurring serious diversification initiatives. Pure-plays like Tower Records - and Music Zone in the UK - never achieved a diversified existence, though some success stories are emerging.

In fact, thinning competition is driving more traffic to surviving retailers - especially during the holidays. On Thursday, HMV Group pointed to its best Christmas results since 2002, the year the company went public. Broader music sales are dropping precipitously in the United Kingdom, though HMV found salvation in other forms of entertainment. Specifically, gaming sales jumped 45 percent during the five weeks ending January 5th, according to chief executive Simon Fox. Other forms of media, including DVDs, also helped to compensate.

HMV expects to push pre-tax quarterly profits towards £53 million ($114 million), according to a company estimate. Comparable store revenues increased 9.4 percent on stores open at least one year.

http://www.digitalmusicnews.com/stories/011708diversify

Send to a friend | Digg! Digg this! | Digg! Del.icio.us | Added by: Matt Williams (18/01/2008)

Not a member yet?

Why not sign up in order to contribute your own articles and discuss them in our forum? It's simple, quick and free!

Search our Articles

Enter your search terms in the box below and optionally choose a category / sub-category to narrow the results:

Also contained in Music News



If you have any difficulties using UK Music Jobs please contact us on 020 7193 0848

A part of the Music Jobs Ltd network

Adverts

Companies just logged on

Locations | Job Descriptions | Company Directory | Blog | Links | Contact Us | FAQ | About | Browser | Indiv | Jobs
Architecture | Automotive | Banking | Catering | Construction | Customer Service | Financial | HR | IT | Legal | Logistics | Manufacturing | Marketing | Music | Not For Profit | Oil Gas and Power | Recruitment | Retail | Sales | Primary and Secondary Education | Secretarial | Trade and Labour | Travel and Tourism |