Pound World folds – 30 jobs lost
Tuesday 3rd February 2009, 3:00PM GMT.
ALMOST 30 Islanders are to lose their jobs after Pound World became an unlikely victim of the economic downturn.
The budget chain thought that the looming recession would lead to a surge in profits this year as Islanders looked for ever cheaper ways to shop.
But yesterday the retailer announced that it was closing its four Jersey stores and its Guernsey branch after suffering long-term problems following the introduction of GST and a surprise 30% drop in sales last month.
It is not known when the business, which is now in voluntary liquidation, will close its outlets. Twenty-six full and part-time staff in the branches in King Street, Les Quennevais, Gorey and St John will lose their jobs, and four staff will be made redundant from the Guernsey store.
• Picture: Pound World at Les Quennevais Precinct, St Brelade
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gst+ the downturn, more nails for the coffin of the high street.
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Now here is an idea:-
Cutting GST and getting the freight companies to cut their costs for goods coming into Jersey (in line with the falling oil prices) would generate confidence in the economy, increased footfalls in shops and higher revenue for the troubled retail sector.
This isn’t rocket science, it just calls for a Chief Minister that can admit that government needs to adapt to a changing society. Trouble is, we have a Chief Minister that will not speak to the public and has few if any communication skills.
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here we go again!
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yup another one hits the dust less choice again but hey we are going to get new look
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Think about it people… the Poundworld business model was doomed from the outset and I suspect was never intended to last. No one is to blame for this other than those who came up with the idea of Poundworld in the first place.
Poundworld has been in Jersey 10 years or so. Clever though it was, the products they were selling for £1 ten years ago, e.g. shampoo, will eat into their margins far more today due to 10 years worth of inflation. Poundworld’s alternative is to now sell ‘cheaper’ items for £1 meaning it’s all junk and no one wants to shop there. Mark my words – Poundworld will be disapearing in the UK over the next couple of years – either that or it has to become Two Pounds World. The only reason it died here first is due to shipping costs that couldn’t be absorbed.
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Of all the companies that would survive a recession most people would have thought this was one of them
Today Bauger has gone into liquidation – they own Watches of Switzerland, Mappin and Webb, French Connection, Karen Millen amongst others – all have outlets in St Helier
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Woolworths yes, but not Pound World!
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It had to happen! I could buy somethings cheaper in High street stores for as much as 20p less. It was amazing how they added the extra onto goods i.e. Polish foodstuffs, garden items and general items that would cost the same in any supermarket.
Last summer Poundworld was selling teacup/saucer plant pots for 19.99 and better quality ones were being sold at Ransom’s for £14.99.
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joker – poundland (based in the uk) has yet again reported year on year growth and a positive interim trading statement for 2009. the difference between the two is that poundworld buys in a load of junk, half the stuff they sell is actually worth less than a pound as opposed to poundland who buy close to 100% liquidation stock and thus have greater profit margins.
p lee – bauger’s liquidation status will not affect the stores you list. he holds shares in these firms. he will sell his shares, if necessary, and the business will continue to operate its day-to-day business as previously with no changes.
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agree with you james 3 tins of cornbeef for £1 4 tins polish pate £1 etc in poundland uk when will these retailers wake up and realise we are not the mugs they take us for
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Wilkinsons in the uk is better value and have lots for less than a pound why can’t we have one in jersey? and the staff from Pound world have first choice of the jobs
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I hardly ever go in this shop so cannot really comment on its value for money. But when passing I always thought it was a bit of a gimmick.
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