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Originally Posted by ianathuth
themelon, what you have to consider is that most of the population of this country do not have internet access. Whilst outlets such as Woolworths and the supermarkets sell CDs they do not stock a very wide range and if they don't stock it then tough. What the high street specialist retailer does is carry a much wider range with facilities to listen before you buy and the ability to order products not in stock.
It is very expensive to rent retail space. Some ten years ago we were paying over £250,00 0 a year to rent a small unit in the Lakeside shopping centre, with service charges, rates, etc on top of this. If you took a PC game retailing for £49.99 including VAT it cost us £25 ex vat to purchase this. It may seem a big profit margin but it was needed to make the business viable.
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If people want to pay a premium to shop there then fine, but I just want what I want for the cheapest price.
Maybe the record retailers need to question why shopping space is such a rip off too, maybe move the specialist stores out of 'Prime' shopping locations into their own units in seperate locations. (what exactly defines a pime location for shopping now, why is an out of town shopping complex with 20 shops more dificult to reach by car or public transport than one with 1 shop)
Too many businesses in this country are afraid to break the mould and all follow along as sheep offering substandard services at a premium prices.
Umm I wonder how many tiers of pointless management each of these stores has, when I used to work for a Supermarket Chain (which to its credit has recently restructured greatly) the amount of 'pointless managers' was untrue, an area manager, area director, a regional manager, regional director, divisional manager, divisional director each also had a PA and company car.........I imagine most large retail chains have similar structures of needless high paid management positions.
This Supermarket has infact streamlined all these postions into one............the regional director, so now one person works a bit harder and actually earns their £150000 salary. The company is saving probably the best part of £2 million a year, which it can pass on as better pricing to the customers.