Smiths City
{{Short description|Department store chain in New Zealand}}
{{Use dmy dates|date=January 2015}}
{{Use New Zealand English|date=January 2015}}
{{infobox company
| name = Smiths City
| logo = Smiths_City_2020_Logo.png
| logo_size =
| logo_caption = The Smiths City logo used since 2020
| former_name = City Market {{small|(1918–1938)}}
Smiths City Market {{small|(1938–1988)}}
| type =
| predecessor =
| successor =
| foundation = {{start date|1918}}; {{years ago|1918}} years ago in Christchurch, New Zealand
| founder = Henry Cooper Smith
| defunct =
| location_city = Christchurch
| location_country = New Zealand
| location =
| locations =
| area_served = New Zealand
| key_people = {{Unbulleted list|Colin Neal (owner)|}}
| industry = Retail
| products = Furniture, home appliances, consumer electronics
| services =
| revenue =
| operating_income =
| net_income =
| aum =
| assets =
| equity =
| owner =
| num_employees =
| parent = Polar Capital Limited
| divisions =
| subsid = {{Unbulleted list|Smiths City Commercial|Smiths City Finance}}
| homepage = {{URL|smithscity.co.nz}}
| footnotes =
}}
Smiths City is a New Zealand retail chain selling furniture and home appliances. It was originally founded by Henry Cooper Smith in 1918 as City Market initially involved with auctioning grain and product.{{cite web|title=History - Smiths City Group|url=https://smithscitygroup.co.nz/about-us/history/|website=smithscitygroup.co.nz|publisher=Smiths City Group}}
History
=Early history=
In 1918, Henry Cooper Smith established City Market on Colombo Street in Christchurch. The business initially auctioned grain, livestock and general goods, but later began to specialize in new and used furniture and hardware. The business eventually became Smith's City Market, or Smiths City.{{cite news |last1=Shaw |first1=Aimee |title=Retailer Smiths City set to be sold, seven stores to close |url=https://www.nzherald.co.nz/business/retailer-smiths-city-set-to-be-sold-seven-stores-to-close/GFQW2OPWNCA4K235OOMAS7DA54/ |agency=The New Zealand Herald |publisher=New Zealand Media and Entertainment |date=5 June 2020}} The flagship Colombo Street store was still operating more than 100 years later, in 2020.{{cite news |title=New home for Smiths City's flagship store |url=https://www.odt.co.nz/star-news/star-business/new-home-smiths-citys-flagship-store |work=Christchurch Star |via=Otago Daily Times |date=22 July 2020}}
Smiths City opened its first store outside Christchurch, in Filleul Street, Dunedin, in 1977. By March 2020, it had 29 stores.
In 1983, Smiths City purchased 80% of Noel Leeming Television Limited. Following the company being placed into receivership in 1991, the receivers sold both the North Island division and Noel Leeming Television Limited.
In 2004, Smiths City purchased 80% of local Wellington retailer LV Martin & Son. LV Martin & Son was founded in 1934 as a Wellington household appliance store.{{Cite web|title=Wellington.scoop.co.nz » Was LV Martin, now Smiths City|url=http://wellington.scoop.co.nz/?p=84449|access-date=2021-03-05|language=en}} LV Martin & Son merged with Smiths City at the end of 2015 with all stores now displaying the Smiths City branding.
=COVID-19 pandemic=
Smiths City was placed into a trading halt on 27 March 2020, two days into New Zealand's COVID-19 lockdown, after it was initially denied permission to operate as an essential business.{{cite news |last1=O'Neill |first1=Rob |title=Covid-19: Smiths City retail chain in talks with potential investors |url=https://www.reseller.co.nz/article/672292/covid-19-smiths-city-chain-talks-potential-investors/ |agency=Reseller News |publisher=IDG Communications |date=30 March 2020}} It held talks with its primary lender ASB Bank,{{cite news |last1=Carroll |first1=Melanie |title=Retailer Smiths City in trading halt, in talks with ASB: Kathmandu cutting costs |url=https://www.stuff.co.nz/business/industries/120630538/retailer-smiths-city-in-trading-halt-in-talks-with-asb |publisher=Stuff |date=27 March 2020}} and the bank agreed to delay a debt repayment.{{cite news |last1=Carroll |first1=Melanie |title=Smiths City, feeling coronavirus lockdown pain, gets extension from ASB |url=https://www.stuff.co.nz/business/industries/120666688/smiths-city-feeling-coronavirus-lockdown-pain-gets-extension-from-asb |publisher=Stuff |date=30 March 2020}} However, the company's share price plunged when the trading halt ended on the following trading day, 30 March.{{cite news |last1=Harris |first1=Catherine |title=NZX reverses early losses to climb 1 per cent, Smiths City shares plunge 42% |url=https://www.stuff.co.nz/business/120666039/nz-sharemarket-inches-up-after-wall-st-dip |publisher=Stuff |date=30 March 2020}}
The company's Blenheim store, the largest tenant of Marlborough District Council, was given a rent discount during the lockdown.{{cite news |last1=Ranford |first1=Chloe |title=Fate of Blenheim Smiths City uncertain |url=https://www.stuff.co.nz/national/politics/local-democracy-reporting/300007469/fate-of-blenheim-smiths-city-uncertain |agency=Local Democracy Reporting |publisher=Stuff |date=10 May 2020}} Within the first week of the lockdown, the company was also given permission to sell essential goods online.{{cite news |last1=Harris |first1=Catherine |title=Mitre 10, Briscoes join Smiths City and The Warehouse in selling essentials during lockdown |url=https://www.stuff.co.nz/business/120695471/the-warehouse-opens-for-limited-business-during-lockdown |publisher=Stuff |date=31 March 2020}}
In May 2020, Smiths City undertook a major restructure due to the ongoing impact of the virus.{{cite news |last1=Harris |first1=Catherine |title=Coronavirus: Job losses and store closures likely at Smiths City |url=https://www.stuff.co.nz/business/121420129/coronavirus-job-losses-and-store-closures-likely-at-smiths-city |publisher=Stuff |date=6 May 2020}} The board voted to go into receivership to fast-track a potential sale without time-consuming shareholder approval.{{cite news |title=Smiths City votes to go into receivership to hasten sale |url=https://www.rnz.co.nz/news/business/417315/smiths-city-votes-to-go-into-receivership-to-hasten-sale |publisher=Radio New Zealand |date=22 May 2020}} It laid off 115 workers, about a quarter of its national workforce.{{cite news |last1=Pullar-Strecker |first1=Tom |title=Smiths City rescue leaves 115 staff in the cold |url=https://www.stuff.co.nz/business/121608855/smiths-city-rescue-leaves-115-staff-in-the-cold |publisher=Stuff |date=24 May 2020}} It also closed seven of its 29 stores.
The chain's remaining stores were sold to new owners later the same month.{{cite news |last1=Foxcroft |first1=Debrin |title=Smiths City advertises for new staff days after making 115 redundant |url=https://www.stuff.co.nz/business/121625411/smiths-city-advertises-for-new-staff-days-after-making-115-redundant |publisher=Stuff |date=27 May 2020}} The sale took place over Zoom, without the buyer being able to visit any physical stores.{{cite news |last1=Cropp |first1=Amanda |title=Smiths City launches new brand and plans five new stores |url=https://www.stuff.co.nz/business/123216123/smiths-city-launches-new-brand-and-plans-five-new-stores |agency=Christchurch Press |publisher=Stuff |date=29 October 2020}}
=2020 relaunch=
The new owners closed Smiths City's operations in Auckland, where it had struggled against Australian rival chains like Harvey Norman and Freedom Furniture.{{cite news |last1=Hutching |first1=Chris |title=Smiths City jostling for position with big retailers in crowded market |url=https://www.stuff.co.nz/business/113982872/smiths-city-jostling-for-position-with-big-retailers-in-crowded-market |publisher=Stuff |date=6 July 2020}}
In June 2020, Smiths City opened its first new store after going into receivership in Petone. The store is the only store in the Wellington region following the closures of the previous three branches; Lower Hutt, Porirua and Kapiti.{{Cite web|date=2020-07-07|title=Smiths City starts a fresh chapter with its new Lower Hutt store|url=https://www.stuff.co.nz/business/122055350/smiths-city-starts-a-fresh-chapter-with-its-new-lower-hutt-store|access-date=2021-03-05|website=Stuff |language=en}}
In July 2020, Smiths City opened a new flagship store at The Colombo Shopping Centre in Sydenham.{{cite news |last1=Kenny |first1=Jake |title=Smiths City's flagship store moving to new site |url=https://www.stuff.co.nz/business/better-business/122211397/smiths-citys-flagship-christchurch-store-moving-to-new-site |publisher=Stuff |date=22 July 2020}} The original flagship store, on nearby Colombo Street, remained open.
In August 2020, Smiths City moved its Dunedin store from Andersons Bay Road in South Dunedin, where it had been for 14 years, to the Meridian Mall in the city's CBD, where Kmart had moved out after 23 years.{{cite news |last1=McNeilly |first1=Hamish |title=Kmart staying shut while Smiths City moving to Dunedin's Meridian Mall |url=https://www.stuff.co.nz/business/business-top-stories/300079451/kmart-staying-shut-while-smiths-city-moving-to-dunedins-meridian-mall |publisher=Stuff |date=11 August 2020}}
By October 2020, the company had returned to profit, had recruited more staff, and had plans to open another five stores.
The store at The Colombo in Christchurch was rebranded to Smiths Trade Outlet in July 2023.{{Cite web |date=2023-07-03 |title=New Smiths Trade store opens |url=https://www.odt.co.nz/star-news/star-christchurch/new-smiths-trade-store-opens |access-date=2023-07-03 |website=Otago Daily Times |language=en}}
References
{{reflist}}
{{Retailers in New Zealand}}
{{COVID-19 pandemic in New Zealand}}
Category:Furniture retailers of New Zealand
Category:Consumer electronics retailers of New Zealand