Costs a fortune in rent and business rates in huge shops like HMV. Not really a shock though, albums sales including downloads have plummeted from the heydays of the 70's and early 80's, there used to be at least 4 independent record shops in Chester plus an HMV and Virgin in the early 80's, now they've all gone. The downfall began when they stopped making vinyl, half the fun was admiring the art on the album sleeve, CD's are just so impersonal.
Pete
As someone who has the costs of rent and rates coming off my bottom line, I do realise this, but my point was the fact they encourage customers to shop online with this policy. We match our online prices which gets customers into the stores as hopefully they prefer the experience of one to one service. Also, they will hopefully see something else they like, whether to purchase straight away or in the future. Their free delivery policy, albeit a correct policy, costs them a fortune. They should have matched their online price to dicourage their customers from buying from their online store.
You're right about the failing/changing market, they should have reduced the number of stores they have and really pushed the download market more.
I don't know where HMV shipped their online purchases from but some companies have or at least had their warehouses in VAT free areas, which I guess would be quite a big saving.
Pete