Let it be: HMV to overtake Amazon

Let it be HMV to overtake AmazonHMV is on the verge of overtaking Amazon to reclaim the title of the UK’s biggest entertainment retailer less than 18 months after it was rescued by turnaround specialist Hilco.
Last month the firm reclaimed second place in the entertainment retail market, according to Kantar Worldpanel, after gobbling up market share from supermarkets.
Under Hilco, the firm has relaunched the Pure HMV customer loyalty programme, bringing in Barclaycard’s head of digital offers Dan Truscott to be managing director of the scheme.
He has overseen a rebrand of Pure in October 2013 in the UK as well as updating the scheme in Canada. Xtra-vision, Ireland’s largest entertainment retailer, and the new HMV Ireland business also be joined the Pure programme.
Chairman Paul McGowan, who is also chief executive of Hilco, told the Mail on Sunday: “It’s only a matter of time before we overtake Amazon. HMV is re-engaging with music shoppers and getting them back into shops. This is about being an authority in music, not selling music as a commodity.”
McGowan claimed HMV had been profitable for Hilco “since day one” of the takeover, in April last year. The buyout saved 2,500 jobs and 125 of the chain’s 400 stores.
Kantar said like-for-like sales were up 13.8% in the past two months, including a 21% increase in CD and vinyl sales, and a 6% rise in sales of DVDs.
Fiona Keenan of Kantar Worldpanel said: “HMV appears to be making a comeback on the high street following a strong performance over the past quarter. It has increased its share of the entertainment market from 13.6% to 14.7% – a significant improvement on its record low of 10.7% following its administration last year.”
Hilco said part of the chain’s success had been driven by a focus on live appearances by artists. More than 300 events have been held, including personal appearances from Ed Sheeran and Megadeath.

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