One of the oldest camera retailers in the world is desperately on the ropes. KitGuru takes a look at Jessops’ predicament and likely outcomes.
Established in 1935 by Frank Jessop in Leicester, more than 2,000 people work for the chain and all of their jobs are now at risk.
The news comes after 6,000 people were given the bad news about their jobs at electrical retailer Comet, just before Xmas.
HSBC has been trying to do everything it can to support Jessops, but the problem is that there are too many stores – paying too much rent – to be in the all important high street locations you need to run a photography business.
The most positive solution could be for a takeover bid, which results in the closure of all the least profitable stores and a huge cut in workforce.
That’s the most positive.
The worst case scenario is that no one thinks the brand name has equity and it fails completely – like Woolworths.
KitGuru says: Following the collapse of the Jacobs photography chain earlier this year, the bad news from Jessops puts a lot of camera enthusiasts in a difficult situation. KitGuru asks, “By browsing in the high street, then purchasing online, have photographers shot themselves in the foot?”
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