Poor entertainment performance leads to seven per cent annual drop
UK stationer, newsagent and entertainment retailer WHSmith has said that like-for-like sales at its High Street stores fell seven per cent for the 20 weeks ending January 17th compared to the same period one year ago.
Overall like-for-like sales, which include the businesses’ online arm, fell by five per cent. The performance of the chain's entertainment arm, including its DVD, CD and games business, was amongst the low-lights, accounting for four per cent of the dip.
“As anticipated, trading conditions on the high street were challenging over the Christmas period,” WHSmith group chief executive Kate Swann stated. “However, we continue to successfully deliver our strategy and maintain operational flexibility, increasing gross margins and accelerating our cost reduction plans.
“We are pleased with the progress in our travel business, despite the expected weaker passenger numbers in air. Looking ahead, we expect consumer spending in our markets to remain subdued and we have planned accordingly.”
WHSmith is one of the retailer’s affected by the fallout of the collapse of Woolworths-owned games distributor EUK. The chain has previously told MCV that its stock supply remains strong, but reports of empty shelves where games and DVDs used to be found continue to filter in.
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Comments
own fault
Not surprising, really.
Lately, WHS would be the last place I would look for games or DVDs. Their stock is random and poor and their prices laughable compared to the competition. The branch in Warwick got rid of their entire entertainment section back in Oct or Nov. "It's something we're trying" they told me.
Re: own fault
Everytime I walk passed smiths I wonder.... who still shops there? I am sure they have a plan.
Good News
Good set of results for WHS. CD/DVD decline clearly expected with the demise of EUK. Good to see a strong british retailer holding out through tough times.
Re: own fault
WHSmiths for games and movies? you've got to be kidding, i'd rather buy them from the chinese guy who comes into my local (and i woundn't buy them from him either).
As holdmykidney said - their stock is awful, random, and overpriced, they should sort it out or stick to stationary, books and magazines.
Re: Re: own fault
They were struggling 18 months ago and were talking of withdrawing the entertainment departments. Why are they still talking about it? I fear they are at a loss of what to replace it with.
In my opinion, hot favourite to follow Woolworths which would be a shame but thay are severly outdated.
Re: Re: Re: own fault
I've not bought a game from WH Smiths since Bubsy the Bobcat on the SNES.
The store charges far too highly of it's games and it's put me off for years going in one, not to mention it's bizzare range of titles it stocks, who ever maintains their games influx has no concept of the current gaming industry.
It's a shame really as in the 80's, they were THE place place to buy games from, along with Boots, Woolworths and John Menzies.
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