Sears was one of the first revolutionary companies to open large stores that sold a wide range of everything, whether it be clothing, shoes, toys, home appliances, and much more. They were the pioneers of e-commerce and they had seen lots of success over the range of 6 decades, but all of it is seemingly coming to an end. Just a couple of days ago,it was announced that Sears was to liquidate all of their stores in Canada. Despite all the opportunities and success, what was the cause for the fail of Sears?
http://www.cbc.ca/news/business/sears-closures-impact-small-communities-1.4353011
It does seem like a shock that such a big franchise has reached the point of having to liquidate all their stores. However, few people were surprised by the news because it was such a long time in coming. These few people mainly include the employees and people working for Sears along with long-time customers. “I knew it was going to happen,” said 28-year employee Zobeida Maharaj. “Sears Canada has seen dwindling sales for several years, as the chain was waylaid by growing debt loads and shifting consumer tastes towards online sales, where the chain got left behind”.
Having said that, we can see some aspects in which Sears was failing to address or were falling behind. The main problem addressed by several articles is that despite beginning the use of e-commerce early on, they did not capitalize on those opportunities and fell short. According to a marketing professor from Ryerson University, Joanne McNeish, Sears was “a company that had all the elements for success in e-commerce, and squandered them all.” Today’s trends have all been shifting towards online shopping. As stated in George Xu’s blog, I totally agree with the fact that while previous shoppers enjoyed going to the mall to shop big stores, current generations much prefer efficiency and affordability.
https://www.directliquidation.ca/liquidation-3/
Personally, when I was younger, I really enjoyed going to Sears with my parents and walking around the entire store, checking everything out. Nowadays, with many more responsibilities and a busier life, I have adopted the habit of shopping online, looking for exclusive things from more exclusive websites. This is where I think Sears is also falling short. Along with not staying caught up with the current e-commerce trend, they are also failing to keep updated with current clothing trends and brands. Many people nowadays are interested in shopping in small stores with exclusive and trendy brands and pieces, while Sears continued producing mass products from unknown brands which do not have the best quality.
With all being said, it is definitely sad to see the end of an era for a franchise, but it is inevitable if a company does not stay updated.
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References:
http://www.cbc.ca/news/business/sears-closures-impact-small-communities-1.4353011
http://business.financialpost.com/news/retail-marketing/newsalert-sears-canada-granted-permission-to-liquidate-remaining-stores-2
Sears closing after 65 years in Canada; court grants complete liquidation
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