The latest chain to go...

Graham_Devon

Comet

Comet, the electrical retailer, is close to going into administration, putting about 6,000 jobs at risk, reports say.

The company, bought by private equity firm OpCapita last year for just £2, has struggled from the downturn in consumer spending.

Two weeks ago, OpCapita said it was examining a number of potential bids for 240-strong chain.

But there are reports Comet will appoint an administrator imminently.
The Financial Times and trade journal Retail Week said that OpCapita had lined up Deloitte to act as administrator, which would run the business as a going concern while it assesses options for sales, closures and liquidation.

Will be a shame to see it go, though obviously theres saturation in the electronics market.

To be placed into administration next week.

System

Some of the worst service I've ever received was from Comet recently. Good riddance.

WestonDave

Looking at recent purchases I've made of items that Comet would stock, I recall that on none of them were Comet even close to competitive, and on the one occasion they appeared to be the last stockist of a particular fridge freezer I wanted, this turned out to be because they hadn't updated their website and didn't in fact stock it either!

I can see Curry's buying some of the stores in good locations but the rest will be history. Comet was stuck between the low price online retailers and the likes of independants or John Lewis etc who gave far better advice and service. The days of Woolworths style uncompetitive poor service in retail are rapidly disappearing and with them the remaining dinosaurs that still inhabit that "niche"

coastline

I'm guessing here if it was bought out for £2 ...then it must have come with a pile of debt....maybe theres no margin because of this..
I would have thought theres a place in the marketplace for Comet...but I've got to say the stores I've been in aren't appealing to the eye...which is half the battle these days.

molerat

BBC news just stated that they would have to "pay upfront" for their xmas stock so no hope for them really.

Loughton_Monkey

Graham_Devon wrote: »

Comet

Will be a shame to see it go, though obviously theres saturation in the electronics market.

To be placed into administration next week.

Maybe the only question is how it took so long.....

OpCapita bought it early 2012 for £2, and I expect it took, say 1 month to assess that full profitable recovery was 'too difficult', and so then it took another 6 months to asset strip it to have made the time spent worthwhile.

Now the creditors will have to pay.

wymondham

The high street is changing isnt it, first Woolys then Comet..... is this an indicator that online really is the way forward and all shops will be for eventually is last minute urgent essentials?

prowla

This should probably be merged with the "Comet close to administration? " thread.

Wheezy_2

Joeskeppi wrote: »

Some of the worst service I've ever received was from Comet recently. Good riddance.

Entering a Comet, it's always the same scenario

- enter Comet
- notice several sales advisors hanging around, not doing much
- one of them clamps onto you..are you ok, sir? Yes, thanks I'm ok.
- go to the shelves with product you're looking for
- sales advisor: Is there anything in particular you're looking for, sir? ...No, just browsing, thanks...
- see product, conclude it's suitable
- go home
- buy it on amazon, dabs, play or ebuyer.

Graham_Devon

Love the website now it's been removed.

"Were working on our website...
.... to make it better".

Loughton_Monkey

It's not all bad....

http://www.guardian.co.uk/business/marketforceslive/2012/nov/01/dixons-share-boost-comet-administration

UK's biggest electrical retailer sees shares jump 12% as rival is set to call administrators.

In the longterm Comet's collapse could be a boost for Dixons as another rival is taken off the high street. However, online retailers have squeezed Dixons for years in the competitive electronics market.

And in the short term, Dixons could suffer in the run up to christmas, as any closing Comets could take customers with heavily discounted stock it needs to shift.