Companies That You Expect to Disappear Soon

[Puffing Devil]

I shop differently to you then. I don't think there's anything in Argos I would regard as an impulse buy so it makes sense to me to check before I set out. Having done that, I'll reserve at whatever chain and branch offers the best deal (and has it in stock if I need the item quickly).

This - I'll buy from Argos is the price is right and I can get it from stock, it's usually Amazon for most non-supermarket stuff for em.

 

[tony_mac]

Superdrug (who get my vote for next to fail). Superdrug seem to try and do the same as boots, with a mixture of pharmaceuticals and cosmetics, but they just seem to do it in a cheaper tattier way

Yes, but they are cheaper - sometimes much cheaper. It seems to be working for them, their profits have risen impressively over the last 5 years or so.

What I found bizarre was the concept of Argos, a retailer known for operating large stores which sell pretty much everything, operating a sort of 'metro' store which seemingly holds very little in stock.

Perhaps you have been unlucky, or are after unusual items? I checked 3 random things that I have previously bought from Argos (A dehumidifier, a portable hard disk, and a set of plates), and they were all in stock there.
The small store at my mother's local Sainsbury's had a (full size) dehumidifer in stock when I wanted one, which saved me a lot of messing about.

 

[Dentonian]

Yes, but they are cheaper - sometimes much cheaper. It seems to be working for them, their profits have risen impressively over the last 5 years or so.

There used to be a Superdrug on Piccadilly Station but that has gone. I can't speak for cosmetics(!) but as regards over the counter meds they were virtually the same prices as Boots. Similarly, the Stockport branch last time I looked. In fact, I think there has been a long running cartel with some products. I have hay fever, and have always used beconase and wherever I shopped the price was fixed at £6 last year.

 

[beeza1]

Bargain Booze (Conviviality plc) is the latest to go under. Won't be missed - horrible name for a dubious company selling cheap beer to people who can't afford it.

Apparently they have a £30million black hole due to unpaid duty and tax.

 

[Up_Tilt_390]

I don't know if it's just the ones local to me, but they seem to be spreading themselves a bit thin. They sell Airfix kits for example. If I wanted an Airfix kit, I wouldn't think of going to Waterstones.

I know I've had a while to reply, but I think since I paid a visit to Lancaster today and found the Waterstones there to be rather standard and unimpressive, I think it's safe to say I was just lucky to have a large shop in the Liverpool One area. That Waterstones is a great place to visit for books, but the one in Lancaster I visited as like a standard book shop form what I've seen. Nothing overwhelming really.

 

[amateur]

Poundstretcher

 

[Cowley]

Then again I’m 6”3 with a 34 inch waste. I mean this as politely as possible, their clothes come up tight on me, I’m probably far from the typical measurements on here...

You’re almost exactly the same as me BB. Although I can still just about squeeze into a 32 inch waist
.
I’ve got to the point of nicking our oldest girls boyfriends clothes now. They keep leaving them when they stay (I’m sure they were just too hot when they slept fully clothed on the floor). I’m currently sporting a nice ‘Western Tree Works’ hoodie that one of them left behind. It’s ever so comfortable...

Back on topic, as mentioned earlier I struggle to see how Homebase are still going. Overpriced and with a poor range. B&Q do it better but in my opinion they are pretty poor too and sell stuff to the unsuspecting public that is way below par, yet everyone goes there because it’s what they’ve always done.
In Exeter we have a massive new Ikea opening in a few weeks time and I think they’ll probably knock a few other businesses (like possibly Homebase which is just around the corner) out of business.
This has been an interesting thread to read.

 

[Busaholic]

On WH Smiths, their customer facing stores just seem to be in 2 minds as others have said. Their travel stores in stations airports are doing well, and I use them fairly often (buy a newspaper/magazine for journey, and maybe a bottle of water and a snack). But the high-street stores however are dire and I only go into the local one for the post office it has in the back, which is the only area they seem to attract customers.

Boots is safe in my opinion. While they might not seem it, they actually specialize very well in several areas (which is v tricky to pull off). For most places I've been to, boots is the main pharmacy on the high street, with a wide range of off the shelf or over the counter products (as well as prescription services). Then on the other side, they are also one of the biggest high street cosmetic sellers. Not the high end stuff, but still a good selection from cheap make-up to fairly pricey premium brands. There is only one company really challenging them on the high street and that is:

Superdrug (who get my vote for next to fail). Superdrug seem to try and do the same as boots, with a mixture of pharmaceuticals and cosmetics, but they just seem to do it in a cheaper tattier way (and only a few of their stores have actual pharmacies). I only go there as a last resort if for some reason whatever I want isn't in boots.

Penzance actually has three branches of Boots, the two smaller ones really only existing to service prescriptions from local surgeries. Superdrug has one branch, no pharmacy, and seems to attract schoolkids at the end of the school day, which probably explains why they rarely have anything I want to buy.

 

[johntea]

Poundstretcher

A few months ago I would have agreed, but I read recently Chris Edwards decided he wanted a challenge after flogging off Poundworld and he is a very shrewd Yorkshire business man! They've even managed to give the Castleford store a much needed lick of paint now so things are moving in the right direction!

I was in CeX today and noticed they still had quite a few PS2 games on the shelves, for 50p! I'm not sure how either CeX or the poor customer that brings them in make any money at all with that!

 

[takno]

I was in CeX today and noticed they still had quite a few PS2 games on the shelves, for 50p! I'm not sure how either CeX or the poor customer that brings them in make any money at all with that!

They probably take a dozen for a quid of part payment towards a 3 quid 360 game. If you've got some spare shelf space and the staff are in the store anyway then you might as well. You'll actually still make a couple of quid off every sale because people will just buy 4. It's not a sustainable business on its own, but there are plenty of people who go in that sort of place specifically to buy retro games, and some of them have got plenty of money if they see something shinier while they are in there.

 

[Mojo]

Poundstretcher

I do wonder if there’s the market for all these cheap chains, especially now Poundland and Poundworld are selling so many products for more than £1 that Poundstretcher/B&M/Home Bargains sell too. Whilst I know which shop to go to for different items, I am sure that the average ill-informed shopper couldn’t put a fag paper between them.

 

[D365]

In my town a few years back we had both a Starbucks and a Costa. The Starbucks always seemed to have quite a number of people sat in it but they closed the branch while Costa survived, obviously those sat in Starbucks weren't spending enough to keep the business going.

Exactly as in my town. We’ve also had the recent move of Argos into our Sainsbury’s, which itself was once upon a time planned to move into a major new devlopment...

GAME recently outfitted the Milton Keynes store with a gaming lounge, and from what I hear its fairly popular as well.

Oh that’s what it is! I’ve popped in a few times recently but only to purchase gifts. For preorders Smyths seems to be quite reasonable.

CEX seem to exist for the benefit of a rather 'niche' sector of society, most of which seem to usually be stood outside smoking 'herbal' cigarettes!

Glad it’s not just me who sees that!

I’ve got to the point of nicking our oldest girls boyfriends clothes now. They keep leaving them when they stay (I’m sure they were just too hot when they slept fully clothed on the floor). I’m currently sporting a nice ‘Western Tree Works’ hoodie that one of them left behind. It’s ever so comfortable...

I’ll bear that in mind for the future...

 

[northwichcat]

I do wonder if there’s the market for all these cheap chains, especially now Poundland and Poundworld are selling so many products for more than £1 that Poundstretcher/B&M/Home Bargains. Whilst I know which shop to go to for different items, I am sure that the average ill-informed shopper couldn’t put a fag paper between them.

The pound shop business model relies on some customers presuming everything is a bargain and buying it regardless. If all customers only bought the items which would cost more than £1 in a supermarket then the pound shop would go out-of-business.

The strangest one I find is paracetamol. A pound shop will sell you 3 packets of 16 for £1, Aldi will sell you a packet of 16 from the same manufacturer in a different packet for 20p - you're getting 3 packets for the price of 5 from the pound shop. What's even stranger, unless you have a prescription for paracetamol, if you walk in to a pharmacist's and ask for more than 2 x 16 packets or 1 x 32 packet you'll have to convince the pharmacist as to why you need to buy that many all at once.

 

[Mojo]

The pound shop business model relies on some customers presuming everything is a bargain and buying it regardless. If all customers only bought the items which would cost more than £1 in a supermarket then the pound shop would go out-of-business.

Absolutely, however Poundworld and Poundland are now selling a significant number of items for more than £1, which will surely over time make people more suspect as to whether they are getting a good deal. It started out with a little section where there were “premium” items and now it seems that the higher priced items are mixed in the shop in the appropriate sections.

 

[Mojo]

Costa does have one unique feature: which is that it operates branches in small country towns that wouldn't support a Pret, Starbucks or Nero, and as such is the only chain coffee cafe of its type in those places.

I think it depends on the location, in medium sized traditional working class towns, Costa’s is considered to be a really cool and hip place to be seen. So much so that even a Starbucks is opening in the town. This seems in contrast to larger cities or more affluent towns where an independent place is considered a better place to go.

 

[radamfi]

What's even stranger, unless you have a prescription for paracetamol, if you walk in to a pharmacist's and ask for more than 2 x 16 packets or 1 x 32 packet you'll have to convince the pharmacist as to why you need to buy that many all at once.

This is a measure to prevent overdose. That's also why you no longer get bottles of 100 paracetamol pills any more that you could simply pour into your mouth.

 

[birchesgreen]

Yes an elderly lady in front of me at the checkout queue in the supermarket last week wasn't allowed to buy 3 packets of paracetamol. Nothing stopping her going elsewhere and getting dozens more of course.

 

[Mojo]

This is a measure to prevent overdose. That's also why you no longer get bottles of 100 paracetamol pills any more that you could simply pour into your mouth.

I think everyone understands that! The point of the comment (at least how I read it) is that Poundland sells 3 packages of 16 for a £1.

 

[radamfi]

I think everyone understands that! The point of the comment (at least how I read it) is that Poundland sells 3 packages of 16 for a £1.

Oh yeah, oops!

 

[Iskra]

Amazing how different perceptions can be - reference my earlier comments about Volvo which were off the mark.

Along similar lines, I’d disagree with your analysis above. Supergroup’s revenue and profits went through the roof last year.

Good quality, well cut stuff (albeit always comes up very small for my frame - I’m a size bigger in Superdry stuff than other clothes).

Superdry make clothes people actually want to buy, unlike M&S.

Then again I’m 6”3 with a 34 inch waste. I mean this as politely as possible, their clothes come up tight on me, I’m probably far from the typical measurements on here...

Yes, but I'm talking about now. Their share price has collapsed since January and their stores are always empty, the more fashion conscious are turning away from them, they are now having to discount regularly and fewer retailers are choosing to stock their clothes all of the above twinned with the current squeeze in disposable incomes mean troubled times ahead, in my opinion at least.

 

[Skimble19]

Poundstretcher

This wouldn't overly surprise me. They recently closed my local branch which had been open for as long as I can remember.. the store was incredibly run down and tatty, but seemed reasonably well used. Poundland opened up on the other side of the town centre quite a few years back and these days isn't anywhere near as busy as it used to be so not sure it can be blamed on them.

With regards to GAME, they've also now closed one of my local branches, with the nearest one they recommend so far away that I can see very few travelling to it - lots of sales will now almost certainly be lost to Argos (who have recently opened a brand new store of their own after moving out of the pokey set up they had in Homebase!) and Amazon. In the last few years they've closed at least 4 branches in this area leaving just one (which was ironically the worst branch), as well as their Gamestation branches a few years back when they last went into administration.

 

[Dai Corner]

Isn't the whole concept of the mainstream shop becoming obsolete?

Amazon started with books where their system of keeping all the stock centrally with an easily searched stock list and dispatching to order won hands down over bookshops who had to keep a small range and hope that they happened to have what the customer wanted. This then extended to CD and DVD and now the advent of fast Internet and downloads means a physical stock isn't even needed.

Supermarkets have 'dark stores' , not open to ordinary customers, in some places where home delivery order pickers work.

Online clothing retailers, in particular, have high return rates because customers are ordering a range of goods to try on at home and return the ones they don't want.

 

[NorthernSpirit]

If a fashion brand were to go bust, my money would be on Superdry. Their shops are always empty, they have to discount heavily, their share price has crashed and the brand seems to be increasingly uncool.

From my point of view, Superdry seems to be aimed at the "hooded yoof" in society. It is noticable in Halifax where some of the local inhabitants still wear a coat in the height of summer.

Speaking of which there are a few makeup firms who have a rep in larger Boots stores, this was discovered when I was told that they didn't work for Boots when enquiring about a Boots product. I don't think it'll be long before these rep firms are sold off as the stands just don't look busy.

 

[Tetchytyke]

Sort of makes me wonder how long Littlewoods has left. Yes it's online so cheaper to run and is the same company as Very (both terrible!) but there's so much online competition these days.

Shop Direct Group- the owners of most of the online catalogue companies- make their money from the credit services they sell, not the hard products they sell. The profit comes from the weekly credit lines, not the stuff in the shop.

They're profitable, but the real squeeze will come if default rates rise or if regulations get tighter.

 

[richw]

GAME, I can see having problems so a good call, it provides nothing you can't get online. House of Fraser seems to be in trouble too. WHSmiths is still in the 1980's so another good shout.

HMV can't have much of a future for me: streaming and downloading has become the norm, and those who still want physical copies tend to use Amazon or independents (which seem to have had a bit of a revival).
.

Both HMV and Game have been through the administration process and survived to tell the tale with approved CVAs,

Their food offering on the other hand is excellent. Some of the products are better than Waitrose, in my view, and priced more reasonably.

My closest M&S is now food hall only. They have planning requests in place to open a number of other food halls in this area.

From what I’ve read in the motoring press low interest rates and cheap money have created something of a bubble in this area. It doesn’t surprise me as there are *a lot*of £40k+ cars on the road and earnings haven’t really increased to support that.

I know quite a few people driving brand new Audi’s and BMWs etc on pcp deals. Some excellent deals can be achieved on pcp, but you need to shop around and not have an exact make model you want.
Both of my cars we own now are outright cash purchased, but I’ve gone through PCP in the past and had some good deals. You tend to just pay the projected depreciation, which is money you would lose anyway, with low interest rates, the last one I did was on a Peugeot, interest rate was less than 1%. It’s an affordable way to a brand new car for many.

Indeed!
Except it's not millions.
It's up to 3... and not of every item... and usually not even the 3.

But then these days I shop online and pick up. Easier, no faffing.

With the advent of click and collect, I can see some supermarkets closing their larger stores. I'm sure Tesco said their express and metro stores do well because people like being able to pick up a few items every now and again instead of doing larger shops.

With the likes of Asda bringing in self-scan checkouts and self-scan guns, I'd be a little concerned if I was a checkout operator.

Online food shopping is booming, I’m an grocery online driver and we are maxed out everyday now where I am. We’re having a large extension at my store to double our online room and fridges/freezers, where we keep orders prior to loading each day. Once completed we are getting a fleet increase of 30%.

I just don't see that point in that, really. What purpose does the small branch serve?

Why does Argos need large branches? You go in and look at a catalogue if you haven’t preordered. Waste of rental expense having large public space for browsing catalogues. Most customers are click and collect these days, so a small floor space with huge warehouse is far more cost effective, especially if a Sainsburys store has a huge warehouse space. Base costs are cut enormously. This new trading model will more likely save Argos. Although owned by Sainsburys, Argos is still a totally seperate entity.

 

[amateur]

Fopp music retailer

 

[BestWestern]

Why does Argos need large branches? You go in and look at a catalogue if you haven’t preordered. Waste of rental expense having large public space for browsing catalogues. Most customers are click and collect these days, so a small floor space with huge warehouse is far more cost effective, especially if a Sainsburys store has a huge warehouse space. Base costs are cut enormously. This new trading model will more likely save Argos. Although owned by Sainsburys, Argos is still a totally seperate entity.

My point is that there isn't a huge warehouse, because they've got nowt in stock!

 

[AlterEgo]

From my point of view, Superdry seems to be aimed at the "hooded yoof" in society. It is noticable in Halifax where some of the local inhabitants still wear a coat in the height of summer.

Speaking of which there are a few makeup firms who have a rep in larger Boots stores, this was discovered when I was told that they didn't work for Boots when enquiring about a Boots product. I don't think it'll be long before these rep firms are sold off as the stands just don't look busy.

Superdry is generally seen on boring middle class people in their 30s and early 40s in the south.

As a boring man in my 30s I can get boring clothes much cheaper than that in H+M.

 

[Iskra]

I know quite a few people driving brand new Audi’s and BMWs etc on pcp deals. Some excellent deals can be achieved on pcp, but you need to shop around and not have an exact make model you want.
Both of my cars we own now are outright cash purchased, but I’ve gone through PCP in the past and had some good deals. You tend to just pay the projected depreciation, which is money you would lose anyway, with low interest rates, the last one I did was on a Peugeot, interest rate was less than 1%. It’s an affordable way to a brand new car for many.

I've just got a new Audi on PCH, I got it at a 14% discount off the list price which I was told was the best you can get. Only keeping it for 3 years so all under warranty and hand it back at the end so never have to worry about MOT's or anything, all I had to do was insure it and the rest was done- so easy. And I end up with a brand new car every 3 years. My car comes up for renewal in January which is a great time to get a car in terms of getting a good deal. But, yes you do have to keep an open mind. My Audi was built to order so I got to choose everything, but my previous PCP car was a Ford which I got a great deal on as long as I took the specific one they had at the garage and I therefore got no choice of colour etc, but I was happy with all that anyway in that instance.

 

[richw]

I've just got a new Audi on PCH, I got it at a 14% discount off the list price which I was told was the best you can get. Only keeping it for 3 years so all under warranty and hand it back at the end so never have to worry about MOT's or anything, all I had to do was insure it and the rest was done- so easy. And I end up with a brand new car every 3 years. My car comes up for renewal in January which is a great time to get a car in terms of getting a good deal. But, yes you do have to keep an open mind. My Audi was built to order so I got to choose everything, but my previous PCP car was a Ford which I got a great deal on as long as I took the specific one they had at the garage and I therefore got no choice of colour etc, but I was happy with all that anyway in that instance.

It’s a lot less hassle than ownership comparing my past deal to current ownership. My old Peugeot deal included serviceing witchin the monthly payments so didn’t have to worry about that expense neither. It’s also why the U.K. new car sales market continues to do so well