HMV to launch on-demand film service

[denphone]

http://www.guardian.co.uk/media/2011...d-film-service

HMV is to launch an on-demand film service featuring titles such as Harry Potter and The X-Men, as the embattled retailer turns to digital channels to counter slumping in-store sales.

HMV has partnered with FilmFlex, the video-on-demand rental service joint venture between Sony Pictures Television and The Walt Disney Company, to launch the new service called hmvon-demand.

HMV is the latest company to look to cash in on the increasing demand for digital film services, joining rivals such as Amazon's LoveFilm, Tesco's BlinkBox, Google's YouTube. US online video service Netflix is also launching in the UK and Ireland early in 2012.

HMV said that the new film service will be available via PCs, with plans to expand to other digital devices, with models including download-to-own and cloud-based locker services also in the works.

[Kingofthedead4]

Hmm, I suppose we should welcome another supplier into the market place, but I am starting to think that this is turning into another supposed energy firm sector where all the company's are offering roughly the same service for the same price.

[denphone]

Originally Posted by Kingofthedead4

Hmm, I suppose we should welcome another supplier into the market place, but I am starting to think that this is turning into another supposed energy firm sector where all the company's are offering roughly the same service for the same price.

Yes l wonder who is next going to throw their hat into the ring as l can see fierce competition for a while next year and then one or two of these withdrawing from the market in time as people decide which ones they will favour into subscribing to.

[Pog66]

Seems to be HMV are desperately trying to make up for their compacency a few years ago when they ignored the writing on the wall for high street CD/DVD shops.

[Alan Fry]

Originally Posted by Pog66

Seems to be HMV are desperately trying to make up for their compacency a few years ago when they ignored the writing on the wall for high street CD/DVD shops.

But is it too late?

[denphone]

Originally Posted by Alan Fry

But is it too late?

l think so as look what there used to be in that we had Zavvi, Woolworths, MVC and several other names in this retail sector but with the rise of online sites and digital downloads this high street sector has just not adapted quick enough to changing shopping habits and new technologies.

[Stuart]

Originally Posted by denphone

l think so as look what there used to be in that we had Zavvi, Woolworths, MVC and several other names in this retail sector but with the rise of online sites and digital downloads this high street sector has just not adapted quick enough to changing shopping habits and new technologies.

Zavvi weren't in a great condition, but what bankrupted them was the fact that their primary supplier was Entertainment UK (the CD and DVD distribution arm of Woolworths). They went when Woolies folded, so removing Zavvi's supply of bestsellers in their busiest period (pre-christmas sales period). As a result, Zavvi were unable to obtain reasonable credit terms and prices from other suppliers, which lead to them having cash flow problems.

How would you say the high street should adapt? Amazon, iTunes etc can only afford to charge the prices they do because they only have a few large buildings, and the costs they involve. The average high street retailer also has a few large buildings, but they also have potentially hundreds of smaller ones, which adds to the cost massively.

[strikingbearlol]

I was under the impression that that would be expensive...

[denphone]

Originally Posted by Stuart

Zavvi weren't in a great condition, but what bankrupted them was the fact that their primary supplier was Entertainment UK (the CD and DVD distribution arm of Woolworths). They went when Woolies folded, so removing Zavvi's supply of bestsellers in their busiest period (pre-christmas sales period). As a result, Zavvi were unable to obtain reasonable credit terms and prices from other suppliers, which lead to them having cash flow problems.

How would you say the high street should adapt? Amazon, iTunes etc can only afford to charge the prices they do because they only have a few large buildings, and the costs they involve. The average high street retailer also has a few large buildings, but they also have potentially hundreds of smaller ones, which adds to the cost massively.

Perhaps they could have diversified into other sectors thus lessening the impact of increased competition in their sectors or maybe their demise was inevitable in the end no matter what they done but all in all l think several factors hit them at once and they were unable to cope with these.

[richard1960]

Originally Posted by Alan Fry

But is it too late?

I hope not personally HMV are a company with a great history,be a shame to see it go.

But i have to admit its online prices are not too bad,its retail shops prices are high.

It could be with the film streaming and internet sales HMV see its future as being an online retailer only.

[denphone]

Originally Posted by richard1960

I hope not personally HMV are a company with a great history,be a shame to see it go.

But i have to admit its online prices are not too bad,its retail shops prices are high.

It could be with the film streaming and internet sales HMV see its future as being an online retailer only.

l think its inevitable that some high street retailers will become online retailers only as the overheads are so much more less then in the high street and they also having access to a huge potential market thus giving them a much improved profit margin as well.

[richard1960]

Originally Posted by denphone

l think its inevitable that some high street retailers will become online retailers only as the overheads are so much more less then in the high street and they also having access to a huge potential market thus giving them a much improved profit margin as well.

Yes thats true denphone online as you say huge access to customers,cheaper overheads and improved profit margins,i know in our local HMV store my son was buying me for christmas last year a series of "waking the dead" instore it was around £44, online he got if for aound £29,even on HMVs website it was around £29.50 so needless to say he did not buy it instore,which is a shame as if it was only around £3-4 dearer instore then online he would have bought it instore but £15 difference no.

[Jameseh]

We've went from LoveFilm & iTunes to every Tom, Dick & Harry having a movie service. So long as they can provide a service that is equally as good on any device I want to view it on then they're in with a shout.