Larry Kart Posted February 28, 2014 Report Posted February 28, 2014 A post on rec.music.classical.recordings "I heard that MHS has ceased to exist as of today. The sale of the assets to Passionato by the Nissim family is now complete. "MHS was started as a small, NYC-based operation by a Dr Naida, who had good musical sense but no business sense. He quickly sold the business to Al Nissim, who was involved in the direct marketing of wigs, among other things, and who felt it would be neat to own a music company. Most of us who became members of MHS did so during the time the Nissims owned the business. MHS saw it's first real success when they marketed the Palliard recording of the Pachelbel Canon, basically putting that piece on the map in America. The family's fortunes were made on the strength of offering that LP as a loss leader to gain new members, who then received LP after LP of unordered "negative option" LPs that kept showing up in the mail. Enough were kept and enough invoices were paid to make for a tidy business. "They stayed in business for many years, operating as a family owned record club that had the classical ground to themselves until BMG decided to really go after the classical market in the early 90s. That caused them real angst as BMG's aggressive pricing structure wreaked havoc on the high CD prices MHS was charging its members. MHS had to follow suit, and the business got a lot more complicated. Eventually, MHS started offering more finished goods and a greater variety of product, looking to sell multiple CDs to a smaller customer base, rather than a single CD to millions. "Between the pressure brought by BMG, the evolution of the internet and the fatiguing of the club model with the public, MHS's fate was sealed. After Al Nissim passed away, the sons looked to sell off the business while it was still worth something, and they did sell to James Glicker and his Passionato group. MHS continued to do fulfillment out of their warehouse for about a year, and the MHS name was kept active to transition former MHS members into Passionato's online business. "While Passionato still offers a "Record of the month," members must actively order it, rather than it being shipped to them through negative option, which was the hallmark of the record clubs (MHS, RCA and Columbia House)." Bring us your fond memories and complaints (if any). Quote
Chuck Nessa Posted February 28, 2014 Report Posted February 28, 2014 Bunches of "half-truths" in that story. Quote
7/4 Posted March 1, 2014 Report Posted March 1, 2014 My Dad bought stuff from them for years, I still have the vinyl in my collection. Oakhurst is a dinky little town between Long Branch and Asbury Park. New Jersey is full of tiny towns I've never heard of, even though I've lived here all my life. Quote
Peter Friedman Posted March 1, 2014 Report Posted March 1, 2014 No mention of the jazz section of the MHS? I have both classical and jazz MHS CDs. Quote
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