businesses-in-the-uk-music-retail-market

An introduction to the UK music retail market

• UK customers buy physical recorded music through a mix of independent shops, national chains, online platforms, and supermarkets

• Independent record stores, such as Rough Trade and Banquet Records, offer vinyl and CDs, and some host live events to engage local music communities

• Major high street retailers like HMV provide a broad range of titles across many genres

• Supermarkets, including Tesco and Asda, also sell popular music releases, largely in CD format, at competitive prices

• Online platforms – especially amazon.co.uk and hmv.com – are a major outlet for buying physical music, offering convenience, wide availability and home delivery

Notable Retailers:

• HMV: With its significant presence on the high street, HMV is the UK’s biggest music retail chain and its hmv.com website is a key online source

• Amazon UK: A major online retailer that sells physical music products as well as a popular streaming platform (Amazon Music)

• Rough Trade: Known for its focus on independent and alternative music, with stores in cities like London and Nottingham as well as a successful online store

• Banquet Records: Based in Kingston upon Thames, this store is known for combining retail with live music promotion

• Gatefield Sounds: A respected independent shop in Whitstable with a broad and loyal customer base

Multinational retailers

HMV

• HMV, originally called His Master’s Voice, opened its first store on London’s Oxford Street in 1921

• It quickly became a leading UK music retailer, known for selling vinyl, CDs, DVDs and video games

• After facing severe financial difficulties due to competition from digital downloads and streaming, HMV entered administration in 2013 and again in 2018

• It was rescued by Sunrise Records & Entertainment in 2019, which revitalised the brand

• In recent years it has expanded its vinyl offer, merchandise and pop-culture products, increasing its profitability

• The company’s Birmingham outlet, the largest entertainment store in Europe, sold 25,000 vinyl albums, 80,000 CDs and 40,000 DVDs in 2022

HMV’s business approach

Amazon UK

• Amazon.co.uk sells a wide range of CDs and vinyl records

• Customers can easily browse popular albums, new releases, and exclusive versions like coloured vinyl or signed copies

  • These special editions attract music collectors and fans

• Although Amazon doesn’t publish exact sales figures, it plays an important role in selling CDs and vinyl in the UK

Amazon’s business approach

Independent retailers

• In 2024, there were 461 independent record shops in the UK, 122 more than 10 years ago

• Between them, these stores sold more than 2.2 million records

Rough Trade

• Rough Trade was founded by Geoff Travis in 1976 as a small record shop in Ladbroke Grove, London

  • It quickly became a hub for punk and alternative music fans, fostering a community where customers could discover new artists and connect with fellow enthusiasts

• In 1978, Rough Trade expanded into a record label, famously signing The Smiths

• Today, Rough Trade has six UK stores – two in London and others in Bristol, Nottingham, and Liverpool. There is also store at Rockefeller Center in New York

• Rough Trade has tripled its share of the UK vinyl market over the last five years

  • By December 2023, Rough Trade Retail (UK) Limited achieved sales of £16.8 million, driven by a 10% increase in physical music sales and 15% growth in store visitors over the previous year

  • Its website attracted more than 760,000 visits in February 2025

Rough Trade’s business approach

Banquet Records

• Banquet Records, located in Kingston upon Thames, became fully independent in 2002 and is currently owned by former staff members Jon Tolley and Mike Smith, who transformed it from a struggling business into a major music hub

• The store and website specialise in vinyl and CDs across genres including indie, punk, emo, dance, and hip-hop

• Banquet hosts over 200 shows a year in-store and at local venues

  • Acts like The Who, Billie Eilish, and Stormzy have played at Banquet-linked events.

• It is credited with helping several artists reach No.1 in the UK charts and is seen as one of the country’s most influential record stores

• It lives up to its slogan, “More than just your local record store,” by blending retail with live music experiences

Banquet Records’ business approach