Dick Smith: 189 of 386 stores set to close

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Off with Dick’s head: 189 stores set to close

Woolworths’ strategic review of Dick Smith is drawing to an end, and CLSA
analysts predict 189 of the retailers’ 386
stores could close as a result.

Parent company Woolworths is reviewing the electronics retailer due to
underperforming sales, and CLSA analysts believe
the best option is to reduce store numbers.

"We believe that Woolworths will close up to 189 stores (out of 386) that are
deemed unviable and invest significant
effort in pursuing an online strategy to support the 'bricks and mortar'
presence," analysts David Thomas and Richard
Barwick wrote in a report entitled "Off With Dick's Head".

"While some may see this as a band-aid measure, we believe it will give
Woolworths an ability to improve profitability,
continue to be a relevant player in consumer electronics and allow it to
minimise the initial liability-writedown,” the
report read.

Full Story:
http://www.connectedaustralia.com/News/BreakingNews/tabid/119/ArticleId/6643/Off-with-Dick-s-head-189-stores-set-to-close.aspx

Cheers Don...

====================

--
Don McKenzie

Dontronics: http://www.dontronics-shop.com /

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Re: Dick Smith: 189 of 386 stores set to close

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Techxperts -- FAIL!

Re: Dick Smith: 189 of 386 stores set to close

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http://www.connectedaustralia.com/News/BreakingNews/tabid/119/ArticleId/6643/Off-with-Dick-s-head-189-stores-set-to-close.aspx
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They've also abandoned their 'refund within 14 days, no questions asked'
policy. I thought it was too good to last.

--
rgds,

Pete
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Re: Dick Smith: 189 of 386 stores set to close
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  dropping the parts line lost a huge group pf customers as the shite
microwaves can be had cheaper elsewhere

Re: Dick Smith: 189 of 386 stores set to close
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No it didn't.

I worked for DSE and parts sales were almost insignifcant largely due to
pressure from cheap sources online and places like Jaycar that have a better
inventory of components.

Even Jaycar is having to diversify as component sales are ever declining.



Re: Dick Smith: 189 of 386 stores set to close

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because it's a throwaway situation now with electronic items. you wont
find many TV repair shops these days.

--
rgds,

Pete
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Re: Dick Smith: 189 of 386 stores set to close
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The items are throwaway because of their cheapness. The cost of repair
frequently exceeds the initial cost of the equipment. As well, much of
the stuff you buy these days is either not designed to be repaired or
the cost of components to do so makes it prohibitive.

--

Krypsis

Re: Dick Smith: 189 of 386 stores set to close

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I know

--
rgds,

Pete
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Re: Dick Smith: 189 of 386 stores set to close
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Plenty of people are hobbyists (like me), but almost everyone sources their
information and parts online now.



Re: Dick Smith: 189 of 386 stores set to close

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Yes, but when exactly? You mention online and Jaycar, most of us are
thinking back to the 1980's, at least.

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------
If a man says something in the woods and there are no women there, is he still
wrong? ? Steven Wright

Re: Dick Smith: 189 of 386 stores set to close
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They only dropped the parts line last year, but even a decade ago they were
insignificant as far as profitability goes.




Re: Dick Smith: 189 of 386 stores set to close

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Sad but true.
When Dick Smith started up, parts and kits were the main attraction.
I bought my first amplifier as a kit from Dick Smith at Gore Hill by mail
order.
There was only one Dick Smith store at the time (1973).
The amp kit was an EA Playmaster 136, and the kit was perfect-nothing
missing.



 



Re: Dick Smith: 189 of 386 stores set to close

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analysts predict 189 of the retailers’ 386
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Since they stopped carrying most of the stuff I would have bought
there in the past, from my pov they might as well shut the whole 386
of them.

Re: Dick Smith: 189 of 386 stores set to close

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analysts predict 189 of the retailers’ 386
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what did they ever sell that was any good

--
rgds,

Pete
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Re: Dick Smith: 189 of 386 stores set to close
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They were at one time handy for electronics, like components and stuff and
had a decent range of tools for electronics work...
If you weren't into that, then they had little to offer I guess.



Re: Dick Smith: 189 of 386 stores set to close

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yes, I know. Dicky had kits for just about everything. but the
electronic parts and components were pretty cheap and nasty and
overpriced. He made his money by importing cheap junk and selling it at
inflated prices, and from his kits. in those days he had little
competition, but you could always get better electronic parts from
electronic parts stores like Radio Parts, until they started selling the
cheap stuff to compete. I recall when Radio Parts used to sell mostly
German plugs, sockets, etc. then when they started selling the imported
shit you couldn't even solder half their stuff without it falling apart.
Dicky was also one of the first retailers to get into computers, with
the Sinclair, etc., He had little competition with the PC's.

--
rgds,

Pete
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Re: Dick Smith: 189 of 386 stores set to close
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DSE never sold the Sinclair range. He sold mostly cheapo knockoff clones of
Apple, Tandy (CAT, System 80), and rebadged Vtech (HK) produced stuff like
the VZ200, VZ300 and Wizzard consoles. To be fair to him, whilst he did
import all this stuff, he also introduced computers to people who otherwise
may not have been able to afford one.
After Woolworths got involved they started selling later Commodore PC's, as
well as their own branded range. Probably some clones as well.




Re: Dick Smith: 189 of 386 stores set to close
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Back in 78 - ~ 82 DSE sold Exidy Sorcerer computers as well. There was a
user group for them IIRC. Advanced for its time but still it fell by the
wayside. I bought a Sorcerer from Rod Irving Electronics (RIE). It was
the last he had in stock in his (then) only store in Northcote, Vic. It
was a display model and I kept it for a few years before passing it
along to a friend in the mining game in WA for use as a word processor.

RIE gathered a few more branches, a warehouse and bankruptcy. I last saw
him when he was opening his Box Hill store in what I considered a poor
location. Had a bit of a chat about the state of affairs in the
electronic component industry. He told me that his largest profit
margins were in components. He had a bunch of women in his warehouse
stuffing plastic bags with resistors, capacitors, diodes and the like.
Huge markups on the components but was lucky to get 10 - 20 percent on a
beige box PC of that era.



--

Krypsis

Re: Dick Smith: 189 of 386 stores set to close
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Sure, you can get 500% markup on a resistor, but then you are only
making a few more cents. Hobbyist component supply is not really high
volume. 10% on a $1000 beige box is still going to be easier and more
profitable than 500% on a bag of resistors.



Re: Dick Smith: 189 of 386 stores set to close

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Haven't been there for a while is David Reid Electronics 127 York St,
Sydney still selling bits? (behind Queen victoria building).
--
Petzl
http://www.cool-midi.com/midi/d/dire_straits-money_for_nothing.mid

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