On October 3rd, HMV, the London-based film and music retailer, announced its return to Vancouver.  HMV’s new location, only a block and a half away from the old flagship store on Robson and Burrard, is much smaller than the previous location that once captivated a large range of demographic downtown three years ago.

One might ask, if HMV was successful, why would the company insist on shutting down in the first place?  HMV Canada President and CEO, Nick Williams, stated the lease was simply too high.

Although Williams has a valid point, and as stated in Tyler Orton’s article, understands the advantages of opening a store on Robson Street to ensure visibility among shoppers in Vancouver, I wonder if Williams has truly researched all aspects and possible outcomes of this operation.

For instance, how much potential and credibility does HMV hold now that society is embracing cloud computing and technology?  Large companies such as, Blockbuster, closed down years ago due to decreasing popularity for disks.  Companies such as, Netflix, make entertainment easy and convenient – available right at my fingertips!  Furthermore, iTunes has seen a rise in sales online over the past decade.  With these companies available to me, I lack the incentive to leave the house to purchase a tangible good that will simply just take up space in my apartment.

I suspect HMV may see a slight boom in sales for the holiday season as it opens on December 1st, however, I predict a rapid decline soon after when we all realize we lack DVD/CD drives in our 13″ Macbook Airs.

Sources:

http://www.biv.com/article/2014/10/hmv-set-return-vancouvers-robson-street/

http://www.vancitybuzz.com/2013/09/hmv-robson-street-vancouver-is-back/

http://store.apple.com/ca/question/answers/mac/does-the-new-13-macbook-air-have-a-cd-drive/QH7JTPJ9H2F29YPXU

http://www.retail-insider.com (photo source)