The fact that the company is open to different and dynamic distribution channels indicates that the ecommerce option for the company is a highly viable option.
In terms of success, the HMV Company has been a very successful cyber merchant in the past few years, however in the current market and scenario the company is facing major problems, even with its current ecommerce option. This is mostly because the customers find it much more feasible to download music form iTunes to load onto their portable music devices like the iPods. Currently the ecommerce option for HMV does not include a competitive service which can attract this market. As a result the company is suffering 70 percent loss in its profits.
In terms of customer relations the company offers discounted pricing to its loyal customers through the HMV card which was launched in 2003 and is akin to a loyalty card. The customers as a result can avail loyalty based discounts and special prices at HMV stores.
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