Woolworths have confirmed that it is divesting its Dick Smith’s chain with various options being touted including closing non-performing stores and selling others.
Dick Smiths have been part of the electronics “dumb-down” as retailers fight over ever decreasing margins. The appliance category has suffered from decreased customer satisfaction with a recent study showing that JB HiFi and Harvey Norman came in about average whilst Dick Smith’s was below average.
The study by broker Linwar Securities suggested that customer service was the single most important factor for differentiating specialty retailers.