This week it was announced Mothercare would cease trading, and will be closing all of its 79 UK stores. The company opened its first store in 1961, but it is thought the company had failed to compete with cheap supermarket ranges and the rise of online shopping habits. Now the closure could see the potential loss of 2,800 jobs right before Christmas.
Rick Smith, Managing Director of Forbes Burton, a company rescue and insolvency specialist, told Express.co.uk Mothercare had failed to “remain competitive” on the online market.
He said: “Mothercare failed to successfully move online.
“Shoppers have long cited Mothercare’s online offering to be disappointing, with a confusing interface and lack of real product detail.
“For brands to survive online, it is essential that they remain competitive.
“Whereas TUI have promoted their airline as an alternative to other discount airlines for some time. And their core package business does well.
“Mothercare had fairly soulless sheds in retail parks with poor brand adjacencies.
“For example, if you were going to B&Q or Curry’s PC World, you weren’t also planning to get nappies!
“When they sold ELC, they lost the opportunity to continue the relationship with parents after their kids were growing.
“Their high street stores were often in the wrong place, were too small, had high rents and offered nothing that Boots, the grocers and Amazon couldn’t offer.”
Christmas is sure to be an important trading period for all retailers this year.
After the festive period ends, only time will tell whether other shops will face the same fate as Thomas Cook and Mothercare.