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Wal-Mart Has Made 'No Decision' on VHS

17 Jun, 2005 By: Thomas A., Kurt I.

Wal-Mart said “no decision has been made” on whether the giant retailer will stop carrying videocassettes after the 2005 holidays, a claim made by studio sources (HMR, June 12-18).

While cassette inventories will continue to shrink as demand for DVD grows, there is no firm February 2006 cutoff, according to Wal-Mart spokesperson Karen Burk.

“We've not made a decision,” she said. “We will continue to carry VHS as long as there is demand from our customers.”

Burk did not say what percentage of the chain's home video inventory is VHS or how many cassettes will be left in stores after the holidays.

“We don't discuss inventory,” she said.

Burk's comments came on the heels of news reports in Home Media Retailing and The Hollywood Reporter citing studio sources and store department managers who indicated the chain is planning to cut back on VHS in some stores in its September merchandise “reset,” based on customer demand. The stories also reported that by Wal-Mart's February 2006 “reset,” the store could eliminate VHS from its shelves altogether.

Wal-Mart did not respond to requests for comment at the time of the initial story.

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