Yesterday it was announced that HMV, the only large record store chain here in the UK, is going into administration. So, unless someone steps in to save them it’s likely the stores will all close and the staff will be made redundant.
If they’d paid attention to the changes Waterstones has made in the last two years they might just have survived.
Here in Leeds we have two great little indie record shops (hello Jumbo, hello Crash) and I am an infrequent but happy shopper at both. What they excel at is friendliness, recommendations and what’s now being called ‘curation’ – good signposting of what’s new or hot right now. I walk in and the moment I cross the threshold I am responding to what they’re highlighting and it’s more fun to browse.
The experience in HMV is nothing like that as I discovered when I went in to the Leeds store at the weekend, my first visit in about 5 years. Pricing banners all over the place, discount stickers on everything, the same display cases and dumpster diving ethos it always had but made ever more desperate by the lack of pull and amount of pushing it seemed to be doing.
The thing is, as a bookshop lover, I don’t understand why it’s like that.
I mean, it’d be great if they looked at Jumbo Records and thought, ‘What can we learn from the fact that this store is 42 years old in 2013, is much loved by dedicated fans and local musicians (who celebrated its 40th birthday in style :)) and is surviving the pricing wars?’
But hey, we live in the real world. So, more pertinently, why weren’t they looking at Waterstones and learning their lessons from another chain that has had to learn to curate and persuade it’s customers that they should buy more costly items sometimes as well as just more of the cheap stuff?
What struck me most in HMV at the weekend was how broken it was as a browsing experience.
I walked in with a list and then moved around looking for the things on the list. There was no curation, no table of things the staff are currently loving, no handwritten notices recommending something from the back catalogue that could just catch my eye. No equivalent of the display of cloth bound Penguin Classics. No display of soundtracks for recent films to cash in Les Miserables, no Bond related corner to bring all the music, games and DVDs together, no stand highlighting recent prize winners (how many people picked up an Orange or Booker title last year because it was made so easy for them in Waterstones I wonder?). Not even a sniff of ‘If You Liked X, You Should Try Y’. There was definitely no local corner or connection to events happening around the city.
The thing is, when I walk into Waterstones or Jumbo I don’t go in with a list. I go in with an idea of what I am looking for and often I buy other things in there I didn’t know I wanted. I’m presented with a host of different mental conversation starters and I engage with them. Inside my head it’s a buzz of ‘I’m really not in the mood for another book on WWI split narratives and anguished love but that red cover over there, what’s that? Oh okay, it’s a reissue of that thing I read last year but ooooohhhhhh that just has to be the new Julian Barnes essay collection. I HAVE TO HAVE IT. Okay…. what’s that over there….?’ I might be silent the entire time but I am actually communing with the forest, or in this case, the signposting.
Waterstones did lose their way for a bit and pile them high and cheap with 3 for 2 tables everywhere and every store feeling the same whatever city you happened to be in. In the end though, they realised it was the quirky, personal feel that their customers wanted to pay for, not a bargain basement megastore and they brought that feeling back into the stores. Hell, they even got that feeling out on Twitter. (Seriously, I love you @WstonesOxfordSt. :))
By making browsing so cold an experience HMV has made the same mistake Waterstones made earlier, turning made every conversation about pricing and buying there vs ordering from the internet. It’s nuts. I know when I walk into Waterstones I can get Les Miserables or any other book for peanuts on the web. But what keeps me going in there is the interaction they’ve re-created. I want pretty artwork and fancy covers, I want to feel like a collector, I want to know more about prizes and small presses and backstory, I want to feel welcomed and guided. I want the layout to look mostly the same each week but the conversation to be ongoing. Dialogue rather than transaction.
Ironically, Jumbo gets this and always has, Waterstones has learnt it the hard way… and HMV is a giant that turned out to be a dinosaur.



January 15, 2013 at 11:34
You have really expressed that well. When I think of two major bookstores that shut down in Hobart both were like your JVM. The two Indie stories that do everything the way you and thousands like you (and I) are going strong. It really is interesting how some of these managers just don’t get it. You express it very well and I think you should send your link to both stores you mention.
January 15, 2013 at 11:38
Couldn’t agree with you more Alex. My local Waterstones *is* very browsable and the staff do know what they’re talking about. Conversely, I hate the local HMV which has relegated music to the top floor up 2 flights of stairs, seems only to push games and the mainstream releases and displays no real interest in what they stock and sell. Alas, I have no local independent store (they went under years ago because they couldn’t cope with the undercutting competition) so I shall have no choice but online sources :(((
January 15, 2013 at 11:58
HMV owned waterstones for years. They took money from the chain to support their own profits and closed a number of stores before finally selling the chain on. The HMV attitude of SELL SELL SELL ANYTHING led to that reduction in waterstones quality that you remember.
January 15, 2013 at 11:59
Just so, it was startling to see the speed and energy of the change after Waterstones escaped HMV’s clutches.
January 15, 2013 at 12:12
In London, Waterstones Piccadilly and Waterstones Notting Hill have run ‘Poet in the City’ poetry reading events, and I know that Waterstones in Reading holds launches for local authors. I’ve yet to see a corner in HMV where somebody comes along and plays live music. Maybe that’s a trick they missed.
January 18, 2013 at 17:00
I’ve been told that HMV used to have music and signing events but I must admit I don’t remember them at all. I’d love to see the stores connect with the local music scene far more. Leeds has some great grassroots stuff they should be backing.
January 15, 2013 at 12:39
Excellent piece Alex, I couldn’t agree with your thoughts more. What will happen to our high streets if more don’t learn this lesson?
January 15, 2013 at 12:42
Ironically the very era of Waterstone’s you mention, the pile em high sell it cheap age of the ‘naughties’, is exactly the time that HMV was running the show. HMV never learnt a thing from this, they assumed it was the company, the staff and the book buying public at fault… anything but the possibility that their strategy was flawed from the offing.
During the HMV years staff morale went through the floor as staff autonomy went through the floor. Staff pay was frozen or reduced in some areas (the starting wage was one of the best on the high street at the beginning of the naughties, to being minimum wage at the end). Staff contracts were renegotiated (overtime and Sunday working bonuses were removed) and staff made redundant. The local feel of the stores disappeared as all stores became homogenised to one bland national body which often appealed to no-one as local market variation was missed. Micro-managing hit the roof, customer numbers went down and the blame culture from the bosses down to the staff was horrendous.
Thank heavens for James Daunt, he took control of Waterstone’s after HMV’s time, it seems like he’s turning the stores round in feel and look to a model similar to how they were before this time.
How do I know all this? I worked for Waterstone’s during the HMV years and am still in touch with a lot of my old colleagues. :)
January 15, 2013 at 12:51
It’s amazing Andy how much of that trickles out to the public perception though as I think we all ‘know’ that, despite few of us actually knowing members of staff! It’s horrid for those who have lost much needed jobs on the high street but in some ways it’s nice to see the shoppers rebel against the HMV model…
January 15, 2013 at 14:03
HMV (at least the bigger stores) did used to have live bands play in them – I saw many bands play in the Oxford Street and Leeds stores over the years.
They did also used to have staff recomendations – both from head office and locally. The head office one was in the form of a taster CD of new music that was free when you spent over a certain amount. The local one was a display of current staff favourites
January 18, 2013 at 17:01
Ooh, I love the sound of the taster CD! I wonder why on earth they ever stopped offering those???
January 15, 2013 at 14:20
Just adding a link here for an article back in August from someone working for HMV and seeing the company refuse to change – http://www.philipbeeching.com/2012/08/why-companies-fail-rise-and-fall-of-hmv.html
January 15, 2013 at 19:06
Completely agree. In my experience HMV has always been a cold, soulless shop in sharp contrast with every indie music shop ever.
January 15, 2013 at 20:07
Hah! Because they had been too busy diminishing Waterstones to a desperate and depressing position, shame they didn’t learn from their own mistakes. Hopefully this will lead to a rise in independent shops as opposed to internet shopping.
January 15, 2013 at 20:28
Great post – I think it’s interesting that despite HMV owning Fopp, Fopp offers a much more pleasant shopping experience, something more akin to the independent record shops that you mention with staff recommendations, themed displays, local fanzines on display etc (not sure if there is one in Leeds?). I have all my fingers crossed that Fopp gets rescued by a new buyer because it will be sorely missed if not.
If you’re a fan of record shops I can highly, highly recommend a documentary called Sound It Out about the last independent record shop in Teesside. It is lovely, heart-warming, funny and sad in equal measures. Easily the best thing I saw on TV last year! You can watch it on the website here:
http://www.sounditoutdoc.com
January 17, 2013 at 18:46
Ooh yes, that was a brilliant documentary – do watch it if you get the chance. I guess we’re very lucky that Waterstones was sold off and is no longer under the HMV umbrella, because they’re all we’ve got left now that independent bookshops are so few and far between.
January 18, 2013 at 17:03
Hi Marie, I missed Sound It Out when it was on at the film festival but yes, will definitely check it out. Luckily our local indies seem to be doing okay but I do realise how lucky I am to have them. :)
January 15, 2013 at 20:48
Well said! After years in London I moved a long way from the nearest Waterstones and HMV. I used to love both but now on occasional visits I still love the former but find thae latter horrible depressing.
January 15, 2013 at 20:54
Fabulous post, Alex! As someone who works in a library we’re facing many of these same issues. A huge number of our customers come through the door to rent our free dvds but the vendor says in three years’ time they won’t be available anymore. Late fees are revenue and customer stats arm the CEO when going begging for tax dollars for the library. Management is tough at work trying to come up with ways to keep our libraries relevant into the future. This post gives me hope that there is a way, thanks!
January 18, 2013 at 17:09
Interesting comparison Darlene, I forget sometimes that libraries are being forced to compete like another business in the marketplace.
January 15, 2013 at 21:40
Nice piece. I love music but havent purchaed anything in HMV in about ten years, yet when i go to Brighton, i love browsing in the smaller shops there (or did, its no funwith three kids!) it’s for all the reasons you highlighted. I worked for Waterstone’s during the HMV era, and it’s fair to say that the word from head office was that managers should crush all original thought. I think it was the prime directive.
Staffing levels were so tight and margins so narrow, it was almost impossible to experiment and tie up stock budget in something that might not come off immediately. I also remember a dreadful period where one shelf bay at the front of the shop was meant to have particular books in a particular order, all the same in every Waterstone’s.
January 18, 2013 at 17:12
Praise be to that man Daunt for stopping that sort of nonsense. I can’t imagine working somewhere that so devalued books, especially since the rest of the cultural marketplace wouldn’t shut up about their ‘passion’ and how ‘X is my life’, ‘I only get up in the morning to do Y’ etc.
Pingback: HMV must learn, if it wants to survive « timneath
January 16, 2013 at 09:09
I completely agree. I worked for Waterstones in ’92-3 and bought fiction for the Cambridge store. We opened it up, were all young and very literate so we could give good customer service, we had loads and loads of events, and back then the themed tables were a new idea. It was a lot of fun and we did well. I could hardly bear to walk in the store during the HMV years. Our Cambridge branch is sort of returning to how it used to be, but it still bears the scars. I imagine there is a huge disconnect between HMV management and the people running the actual shops, and so all these awful decisions come down from on high as edicts and are completely useless and unfriendly to customers. Great post!
January 18, 2013 at 17:14
Thanks for sharing your experiences, I’m surprised (though I really shouldn’t be) to see so many bloggers I know are former Waterstones employees!
January 16, 2013 at 10:53
Excellent post, Alex, I really enjoyed reading it. I don’t have much more to add to the comments apart from a friend’s tweets on hearing HMW’s plight. In Fopp he usually asked staff for more information about the music they were playing in store while he was browsing. He never did that in HMV. Says it all really.
January 16, 2013 at 12:00
Sometimes I think HMV partly started failing because they tried to be the internet without realising that that model only really works for people with fewer overheads. Businesses need to realise they can’t compete with Amazon etc. by offering the same or lower prices (for a start, I imagine at least some high street businesses pay their tax bills!) but by offering a different qualitative experience, like you say.
Also I have the distinct impression that the upper management of HMV personally care very little for music, film, or anything except £s and see no reason why music or films should be sold in a manner different to that in which one would sell anything else…
January 16, 2013 at 13:23
I have to say that whilst it’s bad this is happening, because we need music stores and there are few others, I’m not really surprised. They’ve always been the most expensive by a good few pounds, the stock has never been great, and with all the deals muddled on deep shelves who wants to spend hours looking through it all.
Waterstones is inviting. For me I like the atmosphere, the coffee shops so many now have, and the possibility of being introduced to new books in person by someone with a real passion for them rather than by a computer. Even though they are the same as books from Amazon, I find I like my Waterstones purchases more and look forward to reading them.
January 16, 2013 at 15:08
Couldn’t agree more. I firmly believe people want to shop on the high street and that the successful retailers are the ones who have confidence in what they sell and find their own niche rather than trying to compete on unrealistic terms. The difference in Waterstones is staggering and an excellent example of how it can be done.
Pingback: A Quick Thank You « Alex In Leeds
Pingback: Friday afternoon reading: January 18, 2013 | The Democratic Society
Pingback: ….in which we visit Waterstones…. « Kaggsy's Bookish Ramblings
February 5, 2013 at 17:27
Good, thought-provoking post. I think the future will be about quirky and personal. A few gorillas can be shiny and mechanical, but only a few. Most interactions are about particular taste and the human connection. I hope we continue on that way.
And thank you for coming by my blog. I appreciate your interest!
February 16, 2013 at 06:15
What HMV totally forgot is the importance of the customer experience. Shelves stacked with multiple copies of the same thing, poor signposting, poor stock control and long queues do not make for a pleasant experience. They also diversified too much and overlooked their initial USP – the reason we used to shop there was because they had the broadest range of music around. When they started adding books and t shirts they began down the slippery slope. Smiths is heading the same way I think.