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Bad news I’m afraid. After plunging into administration, the high street has lost yet another 187 stores and 1,370 jobs, as Jessops has shut up shop for good. Apparently suppliers cut its lifeline, which meant Jessops had no future, and it seems there won’t even be a fire sale to console us either.
Unlike Comet, Pricewaterhouse Coopers is aiming to collect all stock from Jessops stores and actually send it back to the suppliers. Of course, we don’t know yet whether the suppliers are actually going to accept it all, but that’s the plan.
Back in 2009, Jessops managed to skirt going bust only through a stock swap with HSBC, but considering sales have steadily declined, and competition has only ever increased, the writing was on the wall. So that’s it, folks, Jessops is dead, and it’s not even going out with a bang. [BBC]
Image credit: Jessops from Shutterstock
Top Boss Out as HMV's Fire Sale Starts With Stores Closing Down
Weathering the Jessops Administration
the store in redditch has only just re-opened a week or so ago after being refurbished
So who’s next HMV or Currys?
Sadly, my money’s on HMV.
I agree, if the stories about overextended credit are to be believed.
Yeah, HMV methinks.
Curry’s may even get more footfall out of all this, as they’re the only major outlet I think now for electronics (disregarding Argos as they’re not really a showroom)
HMV will be next to go
Currys are owned but Dixons Service Group, who own lots of subsidiaries, they’ll kill some of them off 1st.
But! on the other side of that, they could kill off Currys and PC World, and push forward with the Currys/PC World joint stores…….
but i still think HMV will be next, and as soon as they announce a fire sale, i’m heading straight to Oxford Street
My money is on HMV – I’ve said it many times recently. And given the fact that the current HMV boss, Trevor Moore’s last position was as head of Jessops, it doesn’t bode well.
Did not know that about the bosses being the same – I’d put a punt on HMV going down soon.
HMV’s Blue Cross sale, as I see it, involves putting the normal price of every item in the sale up slightly then adding a 20% off sticker. That way they won’t lose quite as much and the discount is not that great for the consumer.
Both are basically the only surviving stores in their niches. As a result, they’ll retain the uninformed/high-street market.
Genuinely amazed that HMV is still open.
Definitely going with HMV being next.
Dixons are apparently not doing too badly – they posted half-year profits in UK and Ireland for the first time in 5 years in November. They were also pretty confident that Comet going down would have a big positive effect on their own figures. The fire sales around Christmas could have had an impact though, not that I heard of too many amazing deals to be had. They have a trading announcement on the 17th, so we can see how their last quarter went
I can’t help but feel like we jinxed this
Hah! too right.. heard about HMV going down on the radio on the way in to work and came straight here when I got in
Dixons stocks are trading down this morning; wondering whether its just normal jitters before the trading announcement or whether its because of another high street chain going down
I’d probably say that most people are pulling their stock just in case, but this just in case approach will cause DSG to go the same way if too many people do it!
I’m really sad about this. I’m afraid the UK High Street, as we know it, is dead, and that’s a real crying shame. The thing is, I’m totally part of the problem. I barely buy anything on the High Street anymore, apart from clothes, and then not very many of those either.
You’re part of the problem because they can’t compete, and in many instances seem grossly unwilling to!
When I can see a Dyson DC32 in Comet, barcode it using either Red Laser or Google Shopping and find out that the same item is not only £50 cheaper on Amazon but £40 cheaper 100m away at Currys in the same retail park, then they’re never going to survive.
same here, i order online a lot, because despite people saying that with a physical shop you get the experience of the staff (in some case) and the face to face service, price is still a very important factor, especially in these harder times.
i have no problems with the odd 10 or 20 quid dearer in a retail store on items over 250quid as i fully understand why they are a bit deare, but when you are talking amounts over that, then it does seem like you are being penalised for shopping in a store
i think that clothes shops do ok on the high street, as most people like to try on or see the quality of clothes they are buying.
Maybe businesses like HMV should go online only with a small high street presence in an experience centre.
Keeps the high street going while helping HMV extend its life.
HMV IS online, but the stores are two separate entities – You cannot use e-vouchers in store, and you can’t use store vouchers on their own website!
Clearly no clue when it comes to multi-channel retailing.
You say “despite people saying that with a physical shop you get the experience of the staff” but I’ve got to be honest, I NEVER get decent customer service.
Generally I find I’m treated like an intruder into their shop, they don’t want me there, they don’t care if I leave happy or not. I prefer to shop online because it’s less stressful, I don’t have to deal with all the wankers!
I’m afraid I agree with you there. As much as I want the High Street to survive, stores are making a rod for their own back with terrible customer service.
Physical customer service is the only advantage they have over online stores. If you have good experience and develop a rapport with the salesperson who was genuinely helpful, you’re much more inclined to go back and become a loyal customer (which in marketing is worth their weight in gold)
Take my local wine guy for example. Always welcoming, truly knows his stuff and makes very good recommendations. There’s a Waitrose and a Sainsbury’s with really good wines just down the road, but I only go there. Even if his prices are 10-20% more, I know he’ll steer me in the right direction and there’s a friendly face to chat with.
See for me, there’s a Waitrose near by with a guy who is the absolute don of wine. Knows all their wines inside and out and will point you in the right direction whatever you’re after, always offers you a cheap alternative, fantastic.
I prefer to shop independently, but with him, and the fact that if you ask nicely the staff at the meat counter will almost always give you a discount I just go there.
It’s such a shame that these tech stores haven’t managed to get their model to work. It’s like that article last week about why Apple were succeeding. Great, personal customer service.
I still prefer to buy larger appliances from local stores, mainly because I think it’d be easier to take back if something goes wrong, but also for convenience – like the Vax I needed in a hurry and got from Argos yesterday.
I never buy anything other than cables, media, content and geeky stuff online, big ticket items such as cameras, tablets, laptops, TVs, we purchase in the high street. Reasons?
1. If I get a hands on for some time, I think it honest to buy there and then, and if not, wait for a sale, open box or other reason for decent discount. (Haggling on the high street is impossible!)
2. Support the high street.
3. Way easier to obtain a return, repair or refund in the event of a problem.
It is fun to pootle around, and good for the heart!
Else, we’ll all get fat and have no reason to live.
IMO the retailers with the best returns policy are John Lewis (highstreet and online) and amazon (online only).
Most high street retailers have far more stringent returns policies than these two. DSG is a prime example.
Very true, I like being able to go and have a browse. And as you say it’s good to support local jobs.
This is just another cycle in the evolution of retail. First it was the out dated, inefficient but highly knowledgeable small independent retailer who got pushed out of the market with the rise of the retail chains like Comet & Jessops who had the purchasing power to offer cheaper prices whilst offering minimal sales knowledge. Their success was largely due to the fact that they were cheaper and the goods they sold became more user friendly and with better packaging so buyers relied on themselves for advice. Now they are suffering from the very same factor that they used to drive their initial competitors out of the market. This time though it is the internet that is wielding the cleaver aided by the rise of the connected mobile device. I suspect what we will see is the rebirth of the independant retailer working as a co-operative to gain the purchasing power (combined with their own internet savvy to source goods online) whilst retaining the passion and knowledge for their product that will lure the customer away from the anonymity of the internet.
Not specifically related to gadgets but certainly related to the problem you are part of.
When I was doing my motorbike training all trainers advised us to try on the helmet we want at a High Street shop and then buy it online and always buy online.
The trouble with this “advice” is that if everyone did that there would be no High Street stores to try the helmet on. And buying a helmet without trying it on is an incredibly bad idea.
I try to buy from my local High Street as much as I can, if only to support my local community. So the helmet cost me between £35-£50 more than had I bought it online but I had a nice friendly chat with the guys there and when I paid I was thanked with a smile. That’s got to be worth 50 quid.
I don’t think price alone is what brought Jessops down. Limited choice, complete lack of stock* and utter lack of knowledge from the staff are also contributing factors.
* Hey, here’s a new concept for High Street stores: keep a large enough stock! If I have to wait two days for an item I might as well buy it online!
Gutted! I wanted to pick up another jessops flash gun, their own bran flash guns were actually quite amazing and very cheap!
There have been a number of very interesting studies, which of course I am too lazy to link to, that suggest the polarisation of the high-street caused by internet retailing and marketing.
Firstly ‘bargain’ chains (Aldi, Lidl, Poundland) continue to thrive in these conditions as you might expect. And on the other hand up-market retailers offer the ‘shopping-experience’ which is increasing seen as being worth both the effort and extra outlay. John Lewis is reporting growth in the technology sales with the likes of Apple products continuing to go from strength to strength.
What is most interesting is that almost the exact opposite effect was expected whereby the ‘middle-section’ of the high-street would thrive as it offers more products to more people and the niche stores would suffer.
HMV will suffer greatly over the next few months / years and unless it dramatically change the path that it is on it will also go under. It will need to compete on price and offer more customer service. There is a small independent entertainment store near me that sells everything you need for home entertainment, the technician comes to your house, advises you on the best set-up, checks the price of buying the components online (the matches if they can), get the stock in and fit everything for you (including running cables up walls etc.)….. They just opened a few new stores and seem to be enjoying the recession and it is a far cry from battling the tracksuit family from hell for the last ‘Planet-Earth’ boxset in HMV.
My predictions (and sorry, I pray that I’m wrong) for next to go under:
- HMV – Something with the “Blue Cross” sales (which prices are still more bloody expensive than online), and they’ve been near death before. Pushed out by Amazon, and similar trends with Virgin Megastores in France.
- Maplin – Too much consumer tat for enthusiasts, and why buy at Maplin for £39.95 when you can get the exact same thing (right down the the same model) on eBay for £4.99?
Dixons Retail (PC World & Currys) will probably just scrape by purely with their size, and will capitalise on the failures of Comet and Jessops. But man, they’d better work on their customer service!
I think we will see the death of the PC World brand and they will just be absorbed into Currys. The home computing market is moving away from just PC’s so that the name means less and less.
I agree about Maplins totally, I haven’t been to our local one in years thanks to ebay.
I know that I’m one of the causes of brick store closures because I rarely buy from them. The only reason I go into shops is to see products physically and then I merely look it up online and usually it’s significantly cheaper online.
If it’s the case of a fiver or tenner, then I’m more likely to buy from the store or if it’s a high value equipment – solely for easier returns in case of issues.
Advice For LIfe? This is sad, but no love lost really. They tendency to hire some real numbskulls.
Advice For LIfe? This is sad, but no love lost really. They had the tendency to hire some real numbskulls.
Yet another ‘try it before you buy it online at 1/3 off’ business dies. what a wonder