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HMV has announced record sales, following a year in which the company widened its business model with a three year revised strategic plan.  The group reported a 17.7% rise in pre-tax profit to £74.2m and total sales increased 3.1% to more than £2bn – not bad at all, considering the music industry and particularly music retail is suffering!

The main changes to the HMV transformation has included its acquisition of the live music and management business, MAMA Group, a 50% stake in the digital download store, 7digital, a joint venture with cinema group, Curzon (to open a cinema above its Wimbledon store) and HMV also launched its own music festival, The Next Big Thing, hosting live gigs at some of its London venues.  HMV also launched PureHMV, a rewards scheme for its customers.

All of HMVs acquisitions have assisted the company in responding to an ever changing music market.  As we well know, consumers are purchasing less and less entertainment products and while focussing on the retail side of the business would have been the obvious choice for the retailer, they instead opted to re-think their entire approach as to how they do business.  By entering the live music, digital and cinema world, they have secured their place as a key player in the UK and Ireland entertainment business for some years to come. 

As the music industry struggles to understand what will work in a few years time, HMV is going full steam ahead to capitalize on any entertainment opportunities that they believe are worthy, while still staying true to what set them apart from the rest in 1921- music and people.

Sony Music has just launched a new tool for brand managers called The Music Marketing Gateway.

The website offers plenty of insight, research and case studies and while it doesn’t tell us anything brand managers didn’t know already, it is an informative, detailed and well put together approach that can educate as well as assist marketers and musicians find the perfect ‘partner’ for them. 

One of the interesting aspects of this website is a breakdown of the UK population into four different segments called Fanatics, Enthusiasts, Casuals & Traditionals.  It is fairly obvious which group is most interested in music – though it does reinforce the point that all age groups from all backgrounds consume music in some form or another.  If record labels including Sony Music are to seek out new partnerships for their artists, it is very important for them to know the sound of whatever brand they are talking to.  Music is what record labels know best, so this website should be relatively straightforward for Sony Music but I wonder will Sony Music introduce a new section giving a breakdown, understanding or even the right sound for 100s of brands – that way they could simply match everyone up.

For anyone interested in finding out more about Sony Music’s latest project – check out The Music Marketing Gateway - you will need to register first before you receive any login details.