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Maplin shutdown sale prices still HIGHER than rivals

Anonymous Coward
Anonymous Coward

I'm sure that if maplin were competitive on price with online retailers that they would still be around now.

That's true, but not terribly helpful. If they were an on-line only retailer they'd have the same relatively low cost base of other online retailers, but then they wouldn't be a bricks and mortar retailer with a wide geographic footprint. And for on-line only we've already got people like Farnell and RS, a range of smaller specialists, not to mention Amazon skimming the non-specialist market, aided and abetted by that company's devious tax avoidance.

There's no way for a high street retailer to compete with online sales, because of business rates, sales staff costs & the support overheads, property lease costs, and the low turnover per square foot of a retail outlet. My local Maplin has/had a business rates bill of about £50,000 a year for a large retail park unit. Staff costs I'd guess at 4 FTE, so fully loaded for corporate costs that's £120,000, lease costs I'd guess at £200,000 a year for this location, plus utilities, insurance, maintenance, etc that I'll guess at £30k, giving me a neat round £400k a year for one retail park store. That's £400k extra that Farnell or RS don't have to factor in. It's over a thousand quid a day in this store that on average probably only sells about a thousand quid of product a day....

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