Eight Wild Cards and Gifts businesses in NSW are listed as being for sale. In each ad is details of the franchise structure:
With a low franchise fee of 4% + GST, no marketing fees and a low franchise fee of $42,000 + GST we offer our franchisees our competitors simply cannot. The level of support we offer our franchisees is second to none, from training and store operations to stock selection, marketing and promotions, all of which is covered by the low 4% franchise fee.
Further on in the ad is this:
No other Card and Gift group offers the potential for profit equal to Wild franchisees
Wild is owned by the UK WH Smith group.
Researching online I found two businesses – a Wild and a Supanews – for sale in Queensland. Supanews is another franchise business owned by WH Smith. Another business had 18 Wild businesses listed.
I have no insight on what is happening here. All I know is the businesses are for listed sale.
This interests me because the parent company, WH Smith, is massive in the newsagency space in the UK. In Australia they are in newsagencies in a small way as well as transit and gift. I suspect they need/want more retail outlets here to justify their investment in the country.
This is a space to watch.
Adrian Gaskin did well to sell his empire when he did. His son Patrick recently won a ‘start up’ award for new business “Cardly”
Clever people make things happen
What a load of crap this company has become.
WHSmith Street total revenues are shrinking . The travel division appears to be improving as extra outlets are added. Outside of the Travel Division, WHSmith sales are falling worldwide, both in total and on a like for like basis (ie after most severe loss makers are eliminated).
Unable to run High Street stores profitably under management (despite operating a UK monopoly of over 50% market share), WHSmith has resorted to enticing overseas franchisees to succeed where they have no clue. They would be laughed at if they attempted the same in the UK.
I would urge anyone looking for a franchise to steer well clear of WHSmith. If in doubt, check out SA stores available for less than set up cost.
In writing this post I have not included comments from a Wild franchisee critical of the time since the WH Smith takeover of Wild. It will be interesting to see how these sales proceed.
never ever buy a franchise. This is a warning from our experience if you don’t want to see your hard earn money gone in few years. The only people success in francise business is the master franchisor. You better put your money in real estate and becomes a landlord
Eric,
An over simplification. I personally know of investors who have done very very well from the franchisee model. McDonalds being the extreme example.
Don’t touch WHS though. Eagle Boys also.
You know there are only 4 NSW Wild Stores.
There are eight listed as available for purchase.
Obviously an expansion plan where WHS has committed to new stores and space with the Shopping Centres and is now looking for the poor bugger to take on the lease and franchise.
Might be new stores? But of existing only 4.
I am looking into buying a Wild Franchise in NSW. Could anyone who has ran a business please make contact with me.