Masters failure doesn’t come as a surprise, but what’s next?

25 August, 2016 Company

Masters failure doesn’t come as a surprise.

Australian​ consumers already had a successful, established offering from Bunnings yet Masters failed to deliver a point of difference that appealed to the market.

Their aggressive store rollout, paired with an inability to differentiate the business, presented a number of challenges and this week Woolworths has confirmed the closure of its Masters stores by December 11.

A consortium of private investors (including Aurrum Group, Spotlight Group and Chemist Warehouse), will buy the 61 Masters stores and 21 development sites, and has voiced plans to turn the sites into multi tenant large format centres.

It’s not surprising that they have taken this approach. As retailers with different businesses, the multi tenant format allows them to house their own brands whilst providing customers with the convenience of other complimentary retail offerings.

It’s an existing formula that makes sense. However, it’s important to acknowledge that Australians don’t want more of the same thing. Customers crave new brands and experiences that raise the bar and exceed expectations.

After much of the same, hopefully we will see the centres house some new brands that customers can get excited about.

 

2 Responses to “Masters failure doesn’t come as a surprise, but what’s next?”

  1. wazwallaby says:

    I thought much the same..the moment I read of the Masters ‘masterplan’ from Woolies x number of years ago I thought ‘how r they going to be any different to that monster Bunnings? How r they going to make it fly? It’ll never fly!’ Had the same thought every time there was news of Masters – nearly always bad or indifferent news, promises n hopes but the reality something else altogether. No surprise at all in the news now. How many billion down the drain? Blimey. How did anyone think that it’d work? Makes u wonder sometimes about who is running the big corporates.

  2. john peters says:

    having been in a masters store it appears that the americanisation of that brand had a lot to do with the failure , similar to the dick smith failure which moved to a more retail brand type instead of its original tandy type supplying computer parts.the name type didnt gel either,just like applying for a job,not a role as the yanks like to call it,a role being something played by a stage actor or actress! yes female is actress ! yes im in the older generation bye now!

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