The shock shuttering of Jeanswest has rocked the retail sector with 90 brick-and-mortar stores as well as 600 jobs set to go. It comes after the owners Harbour Guidance Pty Ltd had to call in administrators. Harbour Guidance had previously saved the business from administration in 2020.
Truth behind 53-year Aussie icon’s collapse
A beloved Aussie icon has joined the scrap heap of huge brands forced out of Australia in recent years after yet another shock collapse.
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The business, which was started in Perth in 1972, became a staple in the 1980s and 1990s. But the winds of change have seen consumers go elsewhere for their shopping needs in recent years.
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QUT marketing expert Professor Gary Mortimer said the business had been hit by a "perfect storm". “Older, mid-tier fashion brands don’t really have a point of difference between them. I can buy men’s chinos in about five different retailers including the discount department stores. It’s an increasingly competitive market where you’ve got 10 to 20 of these same types of stores in every shopping centre," he said.
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In 2019, Ed Harry faced a similar scenario, closing 87 stores. “The sales Ed Harry expected to come during the busy Christmas trading period didn’t materialise, as shoppers took advantage of Roger David’s ‘slash and burn’ sale,” he noted.
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Jeanswest is just the latest domino to fall. The professor pointed to the death of Roger David as an example of the turning tide of retail. The store was forced to close its 57 stores in 2018.
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The Jeanswest situation comes hot on the heels of Ally Fashion being ordered to be wound up by the Federal Court, meaning 185 stores and more than 1000 staff would be affected. Picture: News Regional Media
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Professor Mortimer suggested that it might be a bad sign for Myer, particularly with exposure via some of their portfolio. Photo: NewsWire/ David Crosling
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Just Jeans would be sweating on its future after the collapse of Jeanswest. Photo: NewsWire/ David Crosling
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JayJays is another in the firing line. Photo: Instagram
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Same with Dotti.
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It's far from the only retailers who have bit the dust in recent years. Australian clothing giant The Mosaic Group went bust in late 2024, owing nearly $250m. Rivers was one brand they were hoping to sell off but were unable to find a buyer, announcing it would be closing all 136 stores as of January. Picture: The Australian
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The Mosaic Group also included brands such as Autograph, BeMe, Crossroads, Rockmans and W.Lane. It announced late last year that all of its stores would be shut before going into administration. Picture: Facebook
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Crossroads. Picture: Facebook
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Autograph. Picture: Facebook
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The closing of those other brands was supposed to make it so that the brands such as Katies, Millers, Noni B and Rivers would get additional investment. Picture: Facebook
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However, the restructure was unsuccessful and the businesses were also forced to close. “Following recent attempts by the company to informally restructure its operations, the board of Mosaic has determined that voluntary administration is now the most appropriate way to restructure the Group.” Picture: The Australian
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Millers and Noni B were the last of the Mosaic Brands stores to shut down in January. It means 252 stores were closed and 933 employees lost their job. Across all the Mosaic Brands, almost 3000 jobs were lost and over 700 retail stores were closed. Picture: Facebook
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If you don’t remember Sizzler, you were sadly deprived as a child. The American chain was an iconic staple of many people’s childhoods with many people still salivating when you bring up the Sizzler Cheese toast. Photo: Grant Parker
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Sizzler shut its doors for the final time in November 2020 after 30 years in Australia. But it had been having issues since 2013 and owner Collins Foods refused to invest any more money in its Australian operations. Picture: The Australian
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While it was Covid that finally killed off Sizzler in Australia, it was never the same after the 2006 salad bar poisoning scare. The company closed all self serve salad bars around Australia after rat pellets were found at two eateries. Police said a customer even found the pellets in soup. A woman was arrested over the poisoning scare but the scare hit the business hard. Photo: Grant Parker
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This sign was a death knell for Sizzler in Australia with changing tastes and the poisoning scare hitting the business’ bottom line hard. Photo: Grant Parker
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Hardware retailer Masters was a massive failure for Woolworths and US giant Lowes. The franchise spanned 63 stores across Australia as it looked to take on Bunnings. Woolies and Lowes poured a reported $3 billion into the venture, with the first store opening in late 2011. But after racking up $600 million in losses, Woolies pulled the plug in 2016. The failure was blamed on issues such as weird stock variety and putting up stores in less than ideal places - because Bunnings had already snapped up the best spaces. Photo: Brendan Radke
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Blockbuster held on for dear life in Australia with the last store only leaving Australia in 2019. Morley in Perth was the last to close in 2019 after the business was basically killed by the streaming wars. At the time of its closure in March 2019, the Morley store was the second last Blockbuster in the world. Picture: Netflix
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But they may have given up too early with one Blockbuster still remaining to today. Bend, Oregon’s Blockbuster is still surviving, although more of a landmark at this point. Most of the business the store makes is from merchandise because they can’t even buy DVDs from vendors and instead purchase any movies from local Walmart and Target stores. PHOTO: RYAN BRENNECKE/THE BULLETIN/ASSOCIATED PRESS
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Video Ezy was an Australian alternative to Blockbuster and went the same way. After starting in Hurstville in Sydney in 1983, by 2005, there were over 560 stories in Australia. The company expanded into New Zealand and Asia. By 2011, the company moved into kiosks but the wave of streaming eventually overwhelmed the company and in March 2021, the company was wound up and it was liquidated. Picture: Wikipedia
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Yet another casualty of the streaming wars was the likes of Sanity. An institution in Australia, music streaming basically killed the CD shop. In April 2023, Sanity moved into an online only business, having closed its final 50 brick and mortar stores after having operated for more than 40 years in Australia. Picture: Peter Carruthers
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Another was HMV, although it went into administration back in 2013. The first HMV was opened in London in 1921 and had a large network in the UK and Ireland. However, it collapsed in 2013 and was a harbinger of things to come.
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The iconic Australian brand Dick Smith Electronics closed all 363 of its stores in 2016 after it was placed in to recievership. However, it still survives online. Photo: Aaron Francis/The Australian
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Book giant Borders came to Australia in 2003 but was gone after closed its final nine stores in Australia in 2011. While at the time the business refused to blame the online age, it’s pretty clear that didn’t help.
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Toys ‘R’ Us went into liquidation in 2018 - taking many of our childhoods with it. But it has continued online. Picture: Justin Brierty
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While you think this Hungry Jacks might look weird, there actually was Burger King in Australia - at least for a short time.The US fast food giant tried to come into Australia in the 1970 but there was already an Adelaide restaurant with the name.
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Jack Cowin, who had also brought KFC to Australia was tapped to bring Burger King, but as they couldn’t name it Burger King, settled on Hungry Jacks. However, in the 90s, Burger King tried to enter the market after the Adelaide trademark expired. But Cowin sued as Burger King set up some locations under the US branding and in 2001, won a $45 million court judgement in his favour.
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Burger King then bailed and rebranded its locations in Australia to Hungry Jacks and the rest is history. Picture: Google Maps
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Dunkin’ Donuts was another US brand that tried to come into Australia, setting up locations in the 1980s. But all the stores were closed by the late 2000s and the company reportedly has no plans to return. Photo: Mark/Cranitch
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Another American burger brand that flopped in Australia was Carl’s Jr. Mid last year, the company went into administration in Australia, despite having plans to open 300 stores. It had 24 stores. Picture: NewsWire / Max Mason-Hubers
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But it’s also not yet dead with the company announcing just days ago that it would look to open five new restaurants in Australia in the next 18 months. Picture: NewsWire / Max Mason-Hubers
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While many might know of their local Starbucks, the business entered Australia in 2000. But within eight years of launching, the company had to close 61 of its 87 stores at a $105 million loss. However, it has grown back from then and as of March 2024, there were 69 locations around Australia. Picture :NewsWire / Valeriu Campan
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Denny’s Diner has over 1700 restaurants across the world. But after landing in Australia in 1982. It expanded across several stated by it was sold in 1989 and closed soon after that. Picture: Facebook
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Old American food chain The Red Barn had sites across Australia including in Melbourne. But by the early 1970s, the businesses were sold to McDonalds.
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Sumo Salad was founded in 2003 and popped up around Australia with 100 stores as well as shops around New Zealand, Singapore, the UAE and Brazil. But the business hit a snag when it went into administration in 2018, believed to be because of the high cost of rents at Westfield shopping centres. While it survived, it was a stay of execution, being wound up after it again went into administration and failed to find a buyer in 2022.
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Hooters first opened in 1983 in Florida and soon expanded into Australia. The chain, which was known for its scantily clad waitresses, struggled to get a foothold in Australia. By 2018, Hooters was all but gone.
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Taco Bell is in Australia but it’s the third time it’s tried to make a play at the market. After trying and failing to launch in 1981 and 1997, Taco Bell returned to Australia with seven stores in Queensland, which remain open to this day. According to the Taco Bell Australia website, there are 39 locations across Australia. Picture: NCA NewsWire/Tertius Pickard
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Deliveroo pulled out of Australia in 2022, with the market only making up 3 per cent of the company’s entire Gross Transactional Value in what is a busy market. Picture: NCA NewsWire / David Swift
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Delivery service Foodora had already pulled out of Australia back in 2018. Picture: NCA NewsWire / Andrew Henshaw
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Franklins was a discount supermarket which had been in Australia since 1941, selling its No Frills generic product. But in 2011, the company was bought by Metcash, which sold off, shut down or converted all the remaining stores by 2015. Picture: Facebook
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BI-LO once had 180 stories but after Wesfarmers, who also own Coles, began to rebrand the business under the Coles banner from 2006, the brand was eventually phased out by 2017 when the final store in Shailer Park, Queensland was closed. Picture: Wikipedia
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Grace Bros was founded in 1885 until it was bought by Myer in 1983. They were slowly phased out and rebranded to Myer by 2004. Picture: Facebook
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Amart All Sports was founded in 1976 but it was bought by the Super Retail Group, who also operates Rebel, in November 2011. They rebranded the chain to Amart Sports the following year. But in 2017, Super Retail Group rebranded the stores under the Rebel umbrella. Picture: AMART SPORTS
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Iconic vacuum cleaner retail Godreys failed to find a buyer last year, with 160 stores closing and 600 staff left without jobs. Picture: Alan Barber
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But miraculously, it’s returned a year later with the brand starting an online retailer presence and a wholesale business model.
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Homeart’s story began in 1970. The business was originally known as Copperart, before it changed its name in 2001. By 2015 however, liquators were brought in for the 116 remaining stores, all of which were closed when they failed to find a buyer for the business. Photo: contributed
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British fashion chain Topshop Topman finally closed its last Australian store in 2020, nine years after its spectacularly successful launch. Picture: news.com.au/Benedict Brook.
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eQUIP no longer operates in Australia. Picture: Yelp
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Diva was trademarked in 2009 but it was liquidated in May 2014 with the stores closed or rebranded as Lovisa. Picture: Reddit
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Debenhams, the 240-year-old UK store chain wanted to open 10 stores around Australia, selling fashion, beauty and homewares. But it opened one store on Collins St in Melbourne and never made it past there. It’s an online store only now. Photo by Oli SCARFF / AFP
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Allans Music was established in 1850 as a music warehouse in Melbourne, by 1977, it was the biggest musical warehouse in the southern hemisphere. In 2010, the business merged with Billy Hyde Music to become Australia's biggest music retailer. In in 2012, the company was placed into receivership, but was saved by Gallins Music at the last second. However, this only lasted until 2018 when the company was placed in voluntary administration. Picture: Bianca De Marchi
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Out of the ashes of that, Billy Hyde opened a "Super store in Nunawading, Victoria, as well as opening another in Marleston, South Australia (pictured). In December 2023, a second Victorian store was opened in Ascot Vale, but it closed the following year and it currently runs just the two super stores. Photo: Facebook
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German “hypermarket” Kaufland never as much as a wave in Australia, despite spending $500m to buy 20 store sites across Victoria, NSW, South Australia and Queensland. But it pulled out in 2020 without having opened a store. Photo: Stuart McEvoy/The Australian.
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Wonderland Sydney opened in 1985 and was the biggest theme park in NSW for it’s entire life. But it closed in 2004 with everything from September 11 to bird flu and the collapse of Ansett Australia blamed on the closure. Picture: Tracee Lea
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Might not be a big brand but women’s sports bar The Ladies League never really took off. It lasted just a few months in Sydney’s Oxford St. Picture: Richard Dobson
Original URL: https://www.news.com.au/finance/business/tragic-fall-of-onceloved-aussie-stores/image-gallery/0c3e9e80f1b6f5a0e27bca0683d17bf4