Digital revolution threat to the High Street

FOR the first time, digital sales including video games, music, TV programmes and films have generated £1.03 billion and now account for 25 per cent of the market.

But what has caused these changes? And how has it affected our local area?

In comparison with last year, digital sales have increased by 11.4 per cent, while physical sales have decreased by 17.6 per cent since 2011.

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Clearly, technology is moving forward and is adapting into our daily lives, but the physical form is still abundant and presently accounts for three quarters of the market.

Yet this, analysts predict, won’t be the case for much longer.

HMV — the UK’s last remaining high street retailer of physical games, CDs and DVDs/Blu-Rays — is facing an uncertain future and may disappear within the next year.

They have recently gone into administration which puts 4,350 jobs at risk.

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Meanwhile, Amazon and other internet giants still sell CDs and DVDs and at a (relatively) low price — they are one of the main reasons for HMV’s position.

However, this isn’t necessarily the driving force behind this new found evidence that we are tumbling into a new, more advanced age — it is the appeal of this technology that is drawing consumers in.

The portability, simplicity and accessibility of digital sales are what are making them increasingly attractive.  

In the past, in order to buy an album, film or game, you would have to leave the house and take a trip to a local retailer and pore over the vast selection that they had to offer.

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But why would you visit HMV when you can get the same products, at a lower price, in the comfort of your own home?

Recently, their shops have disappeared from both Parkgate and Rotherham town centre, proving that the digital age has already taken its toll on our high streets.

For those of us in touch with this new wave of online retail, digital media is a more practical way of purchasing these items.

But for those not yet connected to the internet it is becoming an increasing problem.

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Some people Zoé Smith miss this experience — spending hours on end searching for the perfect album.

Vinyl lovers will also be disappointed, as the format is almost extinct and the only way of finding it is through small, independent shops.

I, personally, along with friends and family members, find the time it takes to download a film or TV episode far too long.

It can take up to three hours to download a single one!

But with the arrival of 4G to the UK and internet speeds increasing year on year, I don’t think this will be a problem in the future, and won’t affect the longevity of the format.  

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Games accounted for most of the digital sales last year. They made £552m, more than half of the total, with eight per cent growth.

This is definitely a surprise. Digital sales are usually associated with music. These figures are due to websites owned by Xbox, Playstation, Nintendo and World of Warcraft that have been extremely popular over the last 12 months.

Surprisingly, music sales have come second best with £383m and 15 per cent growth. The London Olympic Games and the Queen’s Diamond Jubilee have given British music more exposure to the world, and may be the reason for the increase in growth.

All in all, we can safely say that the physical format is dying out — there just aren’t enough people to buy it anymore.

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With the appeal of digital sales, keeping the physical sale alive will be almost impossible.

But there are many benefits of digital sales and they are making our world more advanced and connected in the process.

Therefore, it’s not the fact that technology is taking over the way we trade that is the issue, it is the fact that people aren’t educated on how to adapt to this new concept. Shopkeepers, too, need to be educated on how to give their businesses more exposure online and expand how they generate income.

Otherwise, when the digital age arrives, we and our high streets will be left behind.

by LIAM TAFT, Wickersley  Comprehensive School