Denton’s Hastings Books Music and Video will close Aug. 17.
Going-out-of-business sale signs were placed at the store over the weekend. A recorded phone message Monday announced to customers that the store was selling everything and gift cards could still be redeemed online.
“The location’s profit was less than required by management,” said Brad Massie, advertising manager with the parent company, Amarillo-based Hastings Entertainment Inc.
The Denton location employs 35 full-time and part-time employees, he said.
Although Hastings had sales growth in its electronics and trends department, the company has been suffering from continued weak sales of movies, video games and books for some time. Hastings’ revenue decreased $8.6 million, or 7 percent, in the three months ending April 30, compared with the first quarter of 2011, according to its latest quarterly report.
The company also cited the increasing growth of rental kiosks and subscription-based services in movie rentals, a continuing slump in the video game industry plus the current economic environment, which has impacted consumer discretionary spending, as reasons for its continued loss in revenues.
Three months ago, Hastings closed its store in Joplin, Mo., according to its quarterly report. In 2011, Hastings closed six stores in Colorado, Kansas, Tennessee and New Mexico.
The Denton store, at 2311 Colorado Blvd., opened in 1992. Hastings quickly became a popular place to purchase recorded music, and it’s been a favorite in the Denton Record-Chronicle’s Best of Denton readers poll since 1994.
Denton resident John Stark learned about the store’s closure when he tried to rent a movie. DVD rentals have been suspended because the location is closing, he was told.
“It was quite a shock to us because we go out there about two times a week,” Stark said.
Karen Dickson, vice president for economic development for the Denton Chamber of Commerce, said she was saddened to hear about the closing because Hastings has been part of the community for a long time.
Hastings Entertainment still operates 138 superstores, averaging about 24,000 square feet, primarily in medium-sized markets throughout the U.S. It also operates three concept stores: Sun Adventure Sports in Amarillo and Lubbock, and Tradesmart in Littleton, Colo.