For Whitcoulls, read WHSmith

By SIMON HENDERY retail writer

One of the country's best-known shopping brands, Whitcoulls, will soon be consigned to the history books as the 30-year-old chain's new international owner, WH Smith, stamps its mark on the local retail scene.

Plans to rename the 65 Whitcoulls stores under the international WHSmith brand were revealed by WH Smith's chief executive, Richard Handover, during a flying visit to Auckland yesterday.

The London-based retail giant bought the Whitcoulls and Bennetts Booksellers group, and Australian book chain Angus & Robertson, from US Office Products for $126 million.

"We wouldn't have bought the business had we not had designs, over time, to move towards WHSmith," Mr Handover said.

"But we're not in any hurry to [rebrand]. What we are going to do is make sure we listen to what consumers say about the business."

He said the company would try out the WHSmith brand through a small number of test stores.

WHSmith has 1200 stores employing more than 27,000 staff in 11 countries in Europe, North America and Asia.

Mr Handover said the store size and product range of the Whitcoulls and Bennetts chains fitted well with WHSmith's other operations.

"Seven per cent of the public buy 35 per cent of the books. They are the people that specialist stores [such as US giant Borders] cater for.

"We cater for the 93 per cent of the public who buy 65 per cent of the books - the mass market - many of whom actually feel quite intimidated going into Borders."

The group would bring its WHSmith-branded stationery and book titles to New Zealand and believed it could export successful elements of the New Zealand business to other countries, he said.

While a handful of WH Smith managers would be sent to help run the business here, there were no plans to make any of the 1400 local staff redundant.

"Our intention is to grow the business," Mr Handover said.

Whitcoulls was formed in 1971 with the merger of South Island-based companies Whitcombe & Tombs and Coulls Sommerville Wilkie.

Subsequent owners have included Brierley Investments and entrepreneur Graeme Hart.

US Office Products' subsidiary Blue Star bought the group in 1996.