back to article Another miserable quarter for Dixons

Dixons Store Group International saw sales fall ten per cent in the 12 weeks ended 10 January because customers delayed buying TVs and computers until after Christmas, once the sales had begun. Like for like sales were down 10 per cent overall - southern Europe performed worse with falls of 14 per cent - UK computing sales …

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  1. Greg

    They own Pixmania??

    Didn't know that. No wonder the place is so crap.

  2. Anonymous Coward
    Anonymous Coward

    More cost-cutting, that'll fix it

    Wonder if it will be the same sort of cost-cutting that was the driver for outsourcing the IT function? The result of which was to leave the already flaky and badly designed e-commerce systems, in the hands of staff with little or no experience of the technologies they were expected to support. Hence, when the web-sites too a little lie down, they had to resort to calling ex-employees to ask how to put up a holding page.

    If their cost-cutting has a similar effect in other areas or the business, then I fear for my former colleagues jobs.

    Anonymous, as the DSG mafia are everywhere

  3. Anonymous Coward
    Anonymous Coward

    PC City - Spain

    I had a list of things I was waiting to purchase from PC City in the sales. Despite huge signs announcing the sales outside the store everything on my list is exactly the same price as before Christmas or more correctly Los Reyes. Also there is little mention inside the store as to what is in the sales and what isn't just the normal tags stating what the discount is, which is the normal pre-Christmas discount. Not a single netbook is any cheaper, even a 10 euro discount would have pushed me over the edge. In fairness, all the other retailers are selling everything on my list at the same price. So much for competition.

  4. Robert E A Harvey
    Paris Hilton

    Not surprised

    The general demise of the high street and the economic downturn were hardly likely to leave Dixons untouched. They are an entirely unremarkable box shifter, so they are likely to have exactly the median experiences.

    I don't think their habit of trying to shift stock that is 1 to 2 years behind the leading edge helps. Nor yet their habit of charging rather more than the 'street' price for things.

    The spotty youths and the 'warranty' sales are too soft a target to bother going on about, of course.

    Paris, 'cos she was hoping to get a job behind the counter.

  5. richard
    Thumb Down

    excellent news

    i do feel sorry for any job losses, but the companies within the group are terrible! pcworld or pixmania anyone? the ratings for pixmania on reviewcentre are the worst i've seen for an online retailer...

    if you work for the group, i'd get the local job paper quick...

  6. Mister Cheese

    Uncompetetive

    Speaking of 'miserable', that's how they perform on price-comparison websites too. Maybe I'll want to pay 5% more for the convenience of being able to go into a shop and by whatever immediately instead of waiting for home-delivery - but 60% more on a TV is really taking the urine. Clearly people have noticed and are going elsewhere.

  7. Anonymous Coward
    Anonymous Coward

    In other news

    companies who charge you a tenner for a CD pen find customers not wanting to spend money in their stores.

  8. Anonymous Coward
    Stop

    No Credit Crunch?

    I am very happy that you didn't do what the BBC did and lay this at that particular door.

    DSGi have big problems, their stores are poorly merchandised and staffed by people who have little or no training on what they sell. The concept of having a greeter at the front of the store would work if they could actually say more than 'good morning sir'. Perhaps they could ask what it is you are after and take you there?

    This particular company is in a big vice being (not so) slowly crushed by Amazon on one side and Tesco on the other.

  9. Will

    The problem is

    As has already been stated, I'm happy to pay between 5 and 10% over internet prices for the convenience of walking in to a store to get the thing today, however I', not prepared to pay 60%. Of course, the problem for DSG is, that running a retail business cost more than 5-10% more than internet operations. The only solution is to train your staff really well, make them very knowledgeable, then maybe you're prepared to pay those high prices. The danger is that punters come in to a store, do all their research and then buy it online. However, Richer Sounds seem to be doing a pretty good job of it.

  10. Anonymous Coward
    Anonymous Coward

    DSGi

    "DSGi have big problems, their stores are poorly merchandised and staffed by people who have little or no training on what they sell."

    They outsource everything before i left there, they can;t afford knowledgable people because they have to make money somehow and wages are easy to cut.

    They sell the low range pcs and printers for a LOSS and have to make money elsewhere (i.e on accessories), not a good way of doign things maybe but its the current retail market.

    Also remember running the tech desk ain't cheap, if they actually charged for all the advice given they would make a fair bit, but lots is given out free, most other stores require you to phonea phone line, lots lots cheaper than having people in store but people don't like phone lines.

    while i can see lots for you here rejoicing when they die, you better be careful what you wish for..

  11. Anonymous Coward
    Stop

    Doom and Gloom

    No one yet has said they will go the way of Woolworths or Zavvi. People being polite ?

    I'm afraid that with next day delivery only costing £5 more, many people will buy online and take the 50% saving and wait 24h. If the stores offered practical advice, good returns policies etc. that might be a different case - in this downturn, John Lewis's results are excellent compared to other "discounters" because people will pay more if they are getting better service.

    I forsee PCWorld merging their stores with Currys to save on retail space costs. That won't work of course and I don't see any light at the end of the tunnel for the group. Their online Dixons outfit has some good deals but you have to track down the discount codes which can be a pain.

  12. Anonymous Coward
    Anonymous Coward

    Pixmania

    Used to be excellent - got a TV off them at a cracking price; but last year I wanted an Asus Eee, they were the only place with them in stock, but refused to ship unless I sent them a copy of my passport or driving licence.

    So after a quick WTF, I decided to go somewhere else and wait.

    Knowing it's part of the Dixons group makes a bizarre policy almost understandable.

  13. James Le Cuirot

    Still waiting...

    ...for a telly I ordered on Boxing Day. I gather that there's a massive shortage of LG sets so I'm not too bothered as long as I get it. I didn't just wait till after Christmas because it was cheaper though. We moved house just before Christmas and that was just one of the things on my list.

  14. Anonymous Coward
    Thumb Down

    Customers delayed buying?

    "because customers delayed buying TVs and computers until after Christmas"

    I don't think so.

    Over the holidays my fridge freezer died. Consequently the hunt was on for a replacement ASAP as warm beer isn't nice. Dixons (despite what other posters have experienced) came in as one of the best prices for the particular model my other half had selected. However they said delivery wouldn't be for 14 days!

    So I went elsewhere and got the same model delivered for the same price (give or take a pound), on a Saturday and in 2 days. For items like this that most people *have* to have delivered then why would anyone shop with them?

    The best part of a £300 purchase walked away and straight into the welcoming arms of a competitor - hardly a viable business model.

    Clam.

  15. rhydian

    PC World, the hellfrauds of computing...

    I have to admit as a techie who has to cover a large area it is handy to have somewhere like PC World where you can pop in at sunday lunchtime and get kit. Ok, the price isn't always the cheapest but when you need to get a system back online in a hurry £5 isn't going to break the bank. Halfords is the same when it comes to cars, not the cheapest or the best but by far the most convenient.

  16. Anonymous Coward
    Anonymous Coward

    Currys

    not really surprised to be honest there's an attitude that "you should buy what's best for me"

    I know of a couple of potential customers after a £1800 Sony TV willing to buy at that point with the magazine reviews in hand when they ask to see it were taken to a £1200 Samsung. Result, customers turned round and walked out.

    now that's service

    BTW I work for a supplier so have come up against this time and time again that staff there would push a vastly cheaper set to try and boost the chance of getting an extended warranty, you really should read the ERT "Take a town" mystery shop reports, DSGi stores routinely get 0/10 result

  17. David

    The X in their name stands for FAILED !

    The keyboard failed on an PC which I use only for music software attached to my Yamaha Clavinova, so not too urgent, but, thought I, there is a sale at PCWorld. This was Boxing Day, so I headed off for my bargain. The car park was full and they were queuing to get in. WOW !! I only want a keyboard, so maybe I'll come another day. I sat across the road for about ten minutes talking to my son on the mobile phone, watching the mob fight their way into PCWorld. Slowly it dawned on me --- they are almost killing each other to get in --- and coming out empty-handed !!!

    I drove half a mile to Maplins where I was greeted by name (I shop there quite often) by staff who know what is in the store and how it works. I got a nice keyboard for the purpose and it cost me so little that I wasn'y even tempted to ask for a discount. Maplins have an excellent after sales service and the guarantee IS worth the paper its printed on. Trouble is that they don't sell everything 'technical' that I want, or they could easily become my number one port of call.

    Long ago Dixons was a camera shop. They pretended that professional photographers bought from them, which they didn't!! The guarantee in those days was five yards beyond the front door or five minutes, whichever came first --- hmmm --- hings haven't changed as much as I thought !!

    As an employer, Dixons is right at the bottom of the heap --- way below ASDA, Sainsbury, et. al. 'you'll be paid what we choose to pay you, you'll sell what we tell you to sell, and you'll lie like we tell you to lie --- the customer doesn't know what he wants, we do, so as long as we can extract something from his plastic, who cares if he can feed his kids !! Maybe make some half-hearted 'caring' noises whilst you ram a 42 inch Samsung up his arse !! '

    ------ thanks for the info on who else they own, I now know where to avoid !

  18. Anonymous Coward
    Flame

    PCWorld have lost me as a customer

    I would rather wait a month then buy a keyboard from them.

    I bought a netbook from them every couple of days the screen dies, but since their in house software testing doesn't find my hardware fault and testing for the hardware fault I described would be "an unreasonable demand on their time" they will not fix, replace or refund me in spite of the craptop being less then 5 months old. Buy from a supermarket at least they will not pretend they are qualified to assess faulty products and just give you the refund consumer law entitles you.

    Flame cause I've been burnt and I look forward to watching them burn.

  19. Anonymous Coward
    Anonymous Coward

    Pixmania

    Shopped with these buggers a number of years ago, they had a collection office on Fulham Road which I could pick stuff up from on the way home from work. The delivery charge (exactly!) was half that of getting it to your door. Their prices significantly cheaper than any other online retailers at the time.

    Why? Foreign kit - stuff not intended for UK sales, stuff requiring plug adapters and the like (euro plugs). Wasn't a major issue for the items I purchased, however, I could see it being a problem for others.

    Strangely enough, never went back. And the fact they are DSG? If I'd known I'd never have bought from them (just a good job that the stuff didn't break down during its guarantee period!).

    That said, was mooching around the local Currys in the retail park 10 days before christmas feeling in need of a gadget fix/purchase and wound up buying a big LCD tv at a serious bargain price (to the tune of 250+ quid cheaper than anywhere, even online). The sales guy was helpful, knew his stuff and was not pushy in the least. This must be my one and only positive experience the DSG monster.

    In the post-christmas sales the tv went up by 150 quid.

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