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I agree that their cds, dvds and video games will continue to deminish. This next year will probably be somewhat offset from increased video game sales for PS4s and Xbox ones as more people get these consoles. Those are the games which will continue to sell while PC games will be pirated or purchased digitally. There is also a new nintendo 3DS console being released later this year. Music and movies though are probably doomed, hopefully this is the floorspace they are using to bring in their home products.

I think as long as people keep being attracted to the latest gadget, JBH will be in fine shape. There will be ups and downs though with release cycles. Population growth and the overall economy and levels of descretionary (although some people would put their phones ahead of food) income will have a big impact as well. Future technology advances and uptake by consumers is also important. For example 4k televisions and higher resolution media will have an impact if embraced by the consumer and whatever else apple decides to release. Apple super duper retina TV please.

In terms of competition, I think JBH will always have a strong position. Electronics while being more expensive in Australia than overseas, isn't double or triple the price like with clothes. When you add in the shipping costs, the slightly cheaper price is often outweight by being able to get it immediately and easier waranty claims.

There are risks there but I like the prospects of this one in the future.