Fifty ABC Shops to be closed
Three ABC Shops in Adelaide will be affected by the national broadcaster’s decision to close its bricks and mortar stores across Australia.
The ABC announced today that 50 stand-alone shops nationwide would go in a “phased exit” as it concentrates on online sales.
ABC-branded outlets in other retail stores will not be affected by the changes and will continue to sell DVDs, music, books, toys and merchandise, as will the ABC Shop Online.
Eighteen staff are employed across all the ABC Shops and outlets in South Australia, and were among 300 staff across the ABC’s retail division informed last night of the planned changes.
The broadcaster said there would be some redundancies, but it was too early to say how many.
A spokesman told InDaily this morning that no timeline for the ABC Shop closures had yet been established, as it would depend on lease arrangements.
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The ABC has operated a shop in Adelaide since 1983 and currently has three stand-alone outlets: in the Myer Centre in Rundle Mall, Westfield Tea Tree Plaza at Modbury and Westfield Marion. Three ABC-branded stores operate in SA at the Dillons Bookshop at Norwood, and Collins Booksellers at Clare and Mt Gambier.
“The ABC Shops have been an important part of the ABC’s relationship with its audiences for the past 35 years and this decision has not been taken lightly,” said Robert Patterson, director of ABC Commercial.
“However, this strategy will create a more cost-effective, nimble and flexible approach to servicing customers.”
The viability of the ABC stores has been affected by changes within the broader media and entertainment environment, where customers are increasingly accessing content digitally through subscription services and downloads, as well as buying products online.
ABC managing director Mark Scott told AM this morning that the shops had made a lot of money over the years, but “they’re not making money now”.
“It’s very hard to project them making significant money in the future and we can’t cross subsidise a retail business by taking money out of broadcasting and investing it to prop up a retail business anymore.”
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Peter Malinauskas, state secretary of the Shop Distributive and Allied Employees Association (SDA), said all shops selling “discretionary items” were doing it tough, and the closure of shops selling books and DVDs was an unfortunate trend.
“The truth is that retail across the country, but particularly in South Australia at the moment, isn’t going great guns, particularly in the areas of discretionary spend side of retail,” he told 891 ABC.
“There’s no doubt that customers in this day and age who are doing shopping in bricks and mortar retailers are looking for an experience as much as they are for the products themselves.
“This is the great challenge that retailers find themselves in – to deliver that experience does come at a cost.”
Head of ABC Retail Regina Hoekstra said the welfare of staff would be a primary focus over the next few months.
“We are conscious that the ABC Shop is close to the hearts of our teams and we appreciate their ongoing hard work and dedication.”
