Big Retailer Looks To Move Into Appliances Despite Resistance From Suppliers
ChannelNews has been told that local suppliers of appliances especially coffee machines and small cooking appliances at not happy at the thought of another retailer moving into the appliance market.
One major supplier said “When JB Hi Fi moved into the appliance market we realised that problems were emerging relating to the extent of the retail networks we would have to service. Retailers are demanding more marketing involvement from suppliers and we do not have the resources or the funds to keep supporting an expanding network. If anything we will cut back on retailers allowed to sell our products” they said.
“Today retailers want instore displays and better instore training, this is costly especially if you have multiple retailers making demands on our marketing funds”. They added.
ChannelNews has been told that the retailer has approached several leading brands in Europe with a view to bringing appliances into Australia via a local distributor who the retailer will support.