Big_Blue_Dave said:
As Dim will probably tell you much better than I can, Threshers have/had its pricing strategy wrong for the last 5/7 years. Coupled with supplier mismanagement, and buying in stock that had very little or no demand.
Unfortunately, in that scenario you end up with the company going to the wall. If you are from the UK you will know all about the following, though for those who are not, here goes...
... Supermarkets here can sell alcohol, and often do so in promotions that are loss leaders, this gets feet through the door which the supermarkets make up on margins on regular products such as foodstuffs and household items. This coupled with other national competitors such as Bargain Booze (it does exactly what it says on the tin), who sell their items at a lower price and with a range that people want to buy, and you find that the original company who does not manage to adapt to the present times, loses custom and eventually disappears.
the pricing strategy has had its moments, 3 for 2 on wine worked brilliantly for a while, we just did a crap job of conveying it to the public.. yes the single bottle price was more expensive, but the 3 for 2 price did beat the supermarkets hands down.. we just didnt convey it well..
the bigger problem was range, point of difference, and the failure of management to understand that not every shop was the same.. over the last two years they have tried to make every thresher identical.. my shop, in a town centre, in a wealthy devon town, is not the same as a shop in the north east of england in the middle of a residential area, but they looked at what sold well on average across the company, got rid of the rest and said lump it... I had done massive trade for years on the back of decent quality wines more associated with wine rack, i had probably the biggest range of malt whiskys of any threshers in the country stocking over 50 malts, and having customers who drove 100+ miles to visit the branch.. when the malts went i lost about 10k in sales straight off, when the decent wines went i lost 20k a month.. but, the other side of the coin says that i was one of the few branches to do this, most branches sold 1 bottle a week.. (i actually xmas 2007 beat the wine racks in whisky sales, topping the company).. the range was reduced i January from something like 10,000 skus to 1000... some of us benefited from that, some where damaged irretrievably.. the damage was done years ago...
we unfortunately have a history if bright ideas and wasted money.. millions to gordon ramsey to stick his picture on the front of our shops, millions on new merchandising equipment that wasnt needed, very very bad deals made with suppliers two or three years ago that we are still paying for (one horrendous deal with bud that cost us millions because we agreed to buy x amount)..
the previous management did the damage, the current one finished off the job...
the stupid thing is, the managers, certainly the good ones (and the south west where i am probably has the best managers in the company) knew what was wrong and how to fix it.. we actually got a meeting last year with the head of the company he was that impresssed with us.. he took on a lot of our ideas over november december as a trial... and guess what.. THEY WORKED... and guess what.. the company didnt stick with them...
today theyve just said we carry on trading, while they find a buyer.. likeleyhood some shops will be closed and then the government will pay redundancy.. so right now im just hoping my shop is one of the ones going... even if its not, im sure i can take the redundancy and let another manager have my shop...
Dr. Maserati said:
+1... Thats the attitude.
I think it is an opportunity for you to get in to something you enjoy, get fulfillment and recognition from.
Your wife sounds like a wonderful and supportive lady, so I think you will benefit enormously from having some time off together before you take on your next challenge.
Hope all goes well today!
i enjoyed it, probably too much, and probably took it too seriously.. i had six branches and all of them at one time or the other was the best in the region for something.. i would argue blind with anyone that i am/was one of the top 2 or 3 managers in the south of england.. .i just tried a little too hard sometimes... every year my boss told me "worry about what you can control, not what you cant...", i always tried to change everything regardless... hardly surprising that when i saw them completely messing it up i ended up off sick...