WH Smith to disappear from high streets but flies high across the travel network
Susannah Streeter, head of money and markets, Hargreaves Lansdown: ‘’The name relied upon for essentials for home, work and play will disappear from Britain’s high street for good. It’s been such a struggle for sales across WH Smith’s high street estate that management were desperate to sell off the traditional stores and focus on its travel hub business, which has been flying high.
WH Smith’s high street stores have been up against the same challenges which beset Wilko and even Woolworths. It’s a hugely competitive market for stationary, books, music and entertainment with online retailers typically able to undercut bricks and mortar stores with their higher overheads.
There will be relief that a buyer has been found to remove what’s been more of a burden than a diversified blessing. Although the new owners of the high street chain, Modella, say the TG Jones name carries “the same sense of family” as WH Smith’s, it will take time to resonate with the British public, and many will mourn the loss of a high street brand which has been a hub for shoppers for more than two centuries. Nevertheless, there is sure to be interest piqued at how the new owners can help revitalise sales, and whether products sold will be at a more competitive price, to help the chain turn a corner.
The WH Smith name will live on across travel hubs worldwide, infusing the old brand with a new lease of life. Travel outlets can benefit from a highly captive market with consumers prepared to pay for extra little treats, splash out on paperbacks or buy forgotten bits of electronic kit to make their trips that bit more enjoyable. WH Smith has been expanding this more lucrative part of its operations, and this will be front and centre for its future growth prospects, with a raft of store openings planned in the United States.’’