Deathwatch: Beginning of the end for Comet?

16 May 2011

retail deathwatch It’s not quite Deathwatch, but significant changes are afoot at Comet, with the eventual sale of the electrical retail chain on the agenda as its European owner Kesa seems set to admit that it just isn’t working out.

Reports are suggesting that Kesa could be looking to flog off Comet and head back to the continent with their tales between their legs after a pretty wretched set of recent sales figures – a 13.7% fall. Meanwhile, in France, their Darty chain have reported a 7.6% rise in sales.

new comet logoComet plan to cut annual costs by £10m by consolidating its 14 regional service centres to two sites, reducing its warehouse network from three to two and reducing head office staff numbers. Last week, Thierry Falque-Pierrotin, Kesa’s chief executive, said of electrical retail, “It’s a very price competitive market, it’s a bit over spaced and it’s changing very fast towards the web.” Which might not be the best approach by someone who might be looking to get the maximum possible return for a business.

It’s all got us wondering as to who would actually buy Comet. And if they did, what would they do to revive its fortunes? Maybe it should just be towed out into the sea? Your thoughts?

TOPICS:   High Street News


  • Bill K.
    Worked for the Company for a short time after I retired.Sad to see them in this situation but I wonder if the whole UK market just isn't too crowded in electricals.They did come up with some daft ideas in selling which made me think they were really not up to the job.Pity
  • Nick T.
    I've no particular love of Comet but if they do go, the thought of Dixons having more market share and power scares me shitless.
  • Delenn
    I guess we will see if the Best Buy acquiring Comet rumour from last year has any legs. Can't see it myself, although it does give Best Buy purchasing power.
  • w0nKeY H.
    Nick T needs to get out more if the thought of Dixons having more market share is troubling.
  • Mat C.
    I couldn't read the rest of this article after spotting that "tails" had been misspelled as "tales". Spell-check wasn't a friend to you there. Unless they really did have a fictitious or true narrative or story between their legs, in which case my bad.
  • Naddy
    It is shame as so many people will loose their job. The electronic retail world has changed drastically in the last 15 years. 1. Products make as much money - margins on laptops for example have slipped from 25%+ 15 years ago to around 1-10% now 2. Competition has changed - online retailers/clicks and mortar make up a large part of the market now and comet dont appear to have kept up very well. 3. Buying a product isn't always about price - the service you get in store and afterwards makes all the difference, look at John Lewis for example, people are willing to spend more with them as the service is top notch and you tend to get a longer guarantee as standard There are many more reasons as to why, but they are just a few of the main reasons
  • Nick T.
    Apparently I need to get out more, says the man who bums foxes.
  • abbadd0n
    Yay Dixon's win.
  • Mutineer
    Good riddance to the cunts, I say.
  • chalky
    what he said ^ lying theiving barstards I loathe them
  • steve t.
    Prime for a takeover by BestBuy ??????
  • dave
    lol thought Dixons shut down years ago? theres 3 comets around where i live. cant think of a Dixons store in any of the major towns or cities for miles..
  • bittertraveller
    @dave I think Dixsons has gone to being just online. Their stores (at least the ones I knew about) were converted to other shops owned in the same group.

What do you think?

Connect with Facebook, Twitter, or just enter your email to sign in and comment.

Your comment