By James Wells
The executive chairman of Narta, Kay Spencer, has estimated that up to 70 Retravision stores could join the group across the Betta, Kambo’s, Bi-Rite and Retravision brands.
Speaking to Current.com.au this afternoon, Spencer said that not every Retravision retailer is likely to fit within the buying group, with the smaller stores likely to be suited to the Leading Edge group.
“Narta membership DNA is small in numbers and large in volume, therefore it is not viable or effective for our existing membership to integrate all Retravision members into Narta,” Spencer said.
“Narta does not have the infrastructure or believe it would be beneficial to our existing membership and supplier partnership to do so. However within Narta’s existing member companies, there remains the potential to house many of the retailers.
“As far as Leading Edge is concerned, my feeling is that this will work better for some stores more than Narta. Although not a member of Narta, Leading Edge is a service-focused group offering important features such as catalogue support, marketing and finance and they offer a very personalised offer for retailers with these requirements.”
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Spencer said letters will be sent to Retravision stores within the coming days and weeks offering the opportunity to join one or more of the retailer’s companies.
“The chief executives of Betta, Bi-Rite and Kambo’s will be making offers to Retravision members as we understand that retailers require some certainty of which group they have the opportunity of joining.
“Transition of branding may not happen until February or March of next year, in order not to disrupt Christmas trading,” Spencer said.
“The Narta group of companies is likely to engage with about 70 of the 180 shopfronts,” she said.
“Within that 70, between 20 and 25 stores predominantly in Western Australia turning over above $5 million annually will be invited to trade as Retravision from 1 April 2013 in addition to the Dorsett group of stores. These WA retailers can accept this or alternatively they will have the option to join Betta or Kambo’s if they feel this option is more suited to their business,” Spencer said.
In the Eastern states, Narta intends to offer retailers generating turnover above $4 million in revenues the alternative of joining either Betta or Bi-Rite.