EXCLUSIVE: GFK OZ Sold, Revenues Set To Fall
GFK Australia who are facing a dramatic downturn in revenue after two of Australia’s largest consumer electronics retailers Harvey Norman and JB Hi Fi stopped the German Company from collecting sales data in their stores, has been sold to another GFK subsidiary.
Earlier this year GFK Australia Pty Ltd was sold to GFK Retail and Technology Pty Ltd via share purchase that cost $1,967,00.
Additionally, GFK Retail and Technology Pty Ltd also acquired the net assets of GFK Australia for $12,858,000 which was the total of a debt owed by the local operation to its parent Company GFK SE.
According to the latest financials GFK generated revenues in Australia of $11,922,764 in 2016, an increase of 1.9% over the prior year.
Catherine Eddy the CEO of GFK Australia, who confirmed our exclusive story last month, that the German research Company has been stopped from collecting data from Harvey Norman stores has refused to say how much of the $11.9 million revenue came from selling retail data to manufacturers and distributors.
ChannelNews understands that manufacturers are being offered new services to retain the retainers that GFK had in place for the supply of weekly retail sales data.
As at December 2016 GFK Australia which was sold on January 1st, 2017, had trade debtors of $1,885,562.
Recently it was announced that GFK is set to merge with Taylor Nelson Sofres (TNS) a UK research Company.
ChannelNews was told at IFA that job cuts are expected in Australia to the merger and the loss of their ability to collect data.
The global deal worth $4.4 billion will save TNS over $152 million over three years as they plan to cut jobs globally.
The UK research Company, plans to create the world’s second largest market research company in the world with the acquisition of GFK who are responsible for the measurement and tracking of sales in mass retailers in Australia.