The iconic Dick Smith electronics brand will be consigned to history by the end of April after receivers for the failed chain announced its schedule of store closures. Ferrier Hodgson will pull down the shutters for the final time on 35 Australian stores by April 16 with the outstanding outlets shut by May along with the 62 New Zealand stores. Staff from the first 35 stores will be served with redundancy notices or moved to other stores, where possible.
Dick Smith has made the "saddest decision" of his life to shut down his two-decade-old food company behind Ozemite, saying Aldi "basically forced us out of business". The announcement comes a day after the year-old slammed the "secretive" German supermarket in an open letter to owners Karl Albrecht Jr and Beate Heister, calling on the pair to show their faces in Australia. The closure of Dick Smith Foods, which markets Australian-made products including jams, spreads and cereal under a licensing arrangement and donates the profits to charity, will put three employees out of work and will indirectly affect "thousands".
Dick Smith has announced that he is closing Dick Smith Foods due to increased competition from German-based discount supermarket Aldi. Ultimately, Smith hopes that the amount of Australian workers impacted by his decision is low, though worries about the state of the supermarket industry moving forward. In anticipation of this announcement, Smith released an open letter yesterday afternoon to the owners of Aldi, Karl Albrecht Jr.
Background: The receivers sent an email mid-March offering to get subscribers off the hook by unsubscribing before Kogan or 'the new owner' took over the data assets - some people probably did, the majority would not have. First: What could have happened. But, what has happened?
Dick Smith Holdings Limited formerly Dick SmithDick Smith Electronics or DSE was an Australian chain of retail stores that sold consumer electronics goods, hobbyist electronic components, and electronic project kits. The chain expanded successfully into New Zealand and unsuccessfully into several other countries. The company closed inwithin several years of its acquisition by Anchorage Capital Partners.
Dick Smith are meant to be a cheap place to get electrical and electronic kit, but they seemingly abandoned that cause a while ago, and are now selling products to unsuspecting consumers at unjustifiable prices. HDMI cables carry digital signals. Digital signals either get there or not — there is no degradation.
After the receivers stiffed gift card holders, extended warranty holders and deposit payers, it's unlikely anyone holds any hope for for Dick Smith's closing down sale to set any new benchmark for after-sales service. Nevertheless, Consumer has issued a warning to those who shop at the chain over its final eight weeks. In contrast, claims against a manufacturer are limited to compensation for loss in value of the product plus any consequential losses.
One of New Zealand's best known retail chains is marching ever closer to oblivion, with all of Dick Smith's local outlets set to be closed by April Receivers Ferrier Hodgson, who took control of the business after it collapsed in January, released the final store closure dates this afternoon. According to the statement, Dick Smith has 55 outlets still trading in New Zealand and Pukekohe will be the first of those to close today. Dick Smith's central Auckland and Newmarket stores will be some of the last to close on April 29, while the last of the Aussie stores will stop trading on May 3.