Friday, August 19, 2022

Comet offered 7 figure sum for website

E-commerce retailer Appliances Online has confirmed today that it has offered failing retailer Comet a seven figure sum to acquire its website as the electricals specialist looks set for a purely e-commerce future.

Comet announced that it had entered administration at the start of this month following unending difficulty dominating the market and administrator Deloitte announced this week that 41 stores will close by the end of month, causing hundreds of redundancies.

In recent years, Comet has failed to compete with rival Currys which is owned by Dixons and it is hoped that the modernisation of the Comet brand will allow for healthy competition within a limited market.

Importantly, Dixons announced in October that it is to close down its online offering, allowing Comet to fill a gap in the market though Dixons claimed that the move was part of a bid to “focus its efforts and innovation on multichannel.”

While this presents an opportunity for Comet, John Roberts, CEO and Founder of Appliances Online, said that it is important to act quickly in order to resuscitate the business before too much damage is done to its reputation.

Roberts explained: “Appliances Online would hope to be able to run the Comet brand online but that will depend on whether they are able to rescue the brand before too much damage is done through the administration process.

“However, Appliances Online‘s unrivalled reputation for outstanding customer service and value combined with the Comet brand‘s resonance and recall would make for a powerful force online.

“We believe it is unlikely that Comet will survive in any form on the retail parks which leaves Currys in a very strong position.

“Our job is now to make sure we deliver a choice for the customers to keep Currys honest and ensure a competitive retail market that retains an alternative for customers on who they trust for value and service with their hard earned cash.”


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