HMV overtakes Tesco as second biggest entertainment retailer

HMV has overtaken Tesco in being the UK’s second biggest entertainment retailer, as its market share numbers surpassed Tesco’s in the last quarter.
HMV recorded a two per cent increase year-on-year sales of music, DVDs and games over the last quarter, giving a market share of 16.9 per cent compared to Tesco’s reported 16.1 per cent. These figures are a result of the strongest performance from HMV since its collapse into administration more than three years ago.
Kantar Worldpanel reported entertainment sales dropping by two per cent over the 12 weeks to 10 April. However, online retailers suffered a big fall in sales by 12 per cent. Amazon, the country’s biggest entertainment retailer, saw its sales drop by a reported 0.6 per cent year-on-year, reducing its market share from 22.6 per cent to 22 per cent.
Analysts claim that high street entertainment stores were being supported by the sales of music and video games. One in four high street shop customers bought only CDs from the shops and 77 per cent of overall game sales were purchased in-store during this quarter.
Strategic insight director for Kantar Worldpanel, Fiona Keenan, said: “Some 14 per cent of the population now has a music subscription service and paid-for Spotify subscriptions are growing at 25 per cent. Yet the CD is still the most popular way to consume music content.”
Across the industry, sales for DVDs went down by six per cent, games went down by eight per cent, and music sales fell by one per cent.