Sadly for 13000 employees, this isn’t looking at all good:
The high street is going to be unrecognisable at this rate. Or all owned my Michael Ashley, at any rate.
I counted four shops in my town centre that were owned by the Edinburgh Woolen Mill Group. Pretty much all of the ground floor of our big department store are concessions to Arcadia.
Going to come a point where we’ll have supermarkets and a Wilkinsons. Anything else, head to Amazon.
And boy, have I kicked the arse out of Amazon over the last 3 days!
I haven’t honestly bothered walking around the town closest to where I live for at least 3 months now. Indeed, the whole thing of actually walking into a shop just doesn’t do much for me at all these days. Maybe it’s my age.
If you really want a business idea Liam, make Amazon but you act purely as a search engine for product. Everything else is branded to individual merchants whereas Amazon just hides it as much as possible.
I’d use it over Amazon, just to save any business from those bastards
I have deliveries three days out of five this week
Local locker full too, so gambling with a trip to Primark on Friday if package that day hasn’t arrived.
Looks very much like the end of the road:
Sadly, we’ve been beaten to it…
There’s value in the brands, if not the company.
Maybe there’ll be a buyer for Arcadia, maybe the companies will be sold individually.
Wouldn’t be surprised if Philip Green bought them back from administration without the pension deficit. Though that would start to sound a lot like part of the story of BHS!
He can stay on his mega yacht for all I care.
I suspect that’ll suit him just fine…
And it gets worse:
They’ll soon be no major players left in the High Street, indeed I cannot see how many more shops will be able to survive, especially with swinging business rates. Town centres might as well kiss their asses goodbye because the only businesses that will remain, will be estate agents, charity shops and opticians once all of the pubs have folded too.
So much to look forward to in 2021
I can beat that. I haven’t been in a retail shop of any kind since June…
… and given that being able to get groceries online gives me time to be more choosy about what I get I am paying less and wasting less. It might be my age too. I’ve never really liked shopping that much though.
Who will be next?
Debenhams logically followed arcadia as much of their floorspace was arcadia concessions.
It’s a hard one to call.
Some retailers shunned Black Friday this year too:
I recently bought a brand new tumble dryer from an online electrical retailer, not a national chain retailer either. Delivered next day too, didn’t have to leave the sofa. Never saw it in a shop either prior to delivery. It’s a fantastic bit of kit by the way considering it’s an electrical appliance that dries clothes
Needless to say, I think Covid has pretty much killed the walking around the High Street type of shopping experience. I have to be honest, the two most stores which I’ve visited on multiple occasions over the last 3 months entirely due to my employment which aren’t exactly on the High Street, have been Screwfix and Toolstation, both of which are frequently rammed with people collecting items they’ve pre-ordered online.
We’re in a digital age and retailers must adapt or die, it’s really quite that simple.
Debenhams has been on death row for years though.
I mean didn’t Michael Ashley lose millions there the last time they went into administration? I believe the board wouldn’t show him the books and so he wouldn’t commit to putting in more money. Seems sensible.
This time round they were clinging on for grim death and it was Arcadia (as their biggest concession tenant) that looks to have done them in.
They opened a brand new store near me a few years ago. The shopping centre went under considerable reconstruction to accommodate it on three floors. I went in shortly after it opened and said “this won’t last”. Two years later they closed it.
As much as I like the high street, it just isn’t the way people shop now and and it seems to me that going in to town is expected to be more of a social event now.
It’s the same with libraries… I don’t want them to close them, but I don’t use them either so I don’t personally have much to back up my argument in favour of keeping them.
Things do change over time, and change can be hard if you are not prepared for it. Whether this is a good thing or a bad thing depends on your perspective I guess.
I think the only way to fix this is to scrap business rates and just tax them on their profit that isn’t put back into the business, specifically for high-street shops; this means they can recover