Harris Scarfe
Encyclopedia
Harris Scarfe Department Stores was founded in Adelaide
Adelaide
Adelaide is the capital city of South Australia and the fifth-largest city in Australia. Adelaide has an estimated population of more than 1.2 million...

, South Australia
South Australia
South Australia is a state of Australia in the southern central part of the country. It covers some of the most arid parts of the continent; with a total land area of , it is the fourth largest of Australia's six states and two territories.South Australia shares borders with all of the mainland...

 in 1849. At its peak, Adelaide
Adelaide
Adelaide is the capital city of South Australia and the fifth-largest city in Australia. Adelaide has an estimated population of more than 1.2 million...

 was home to several major South Australian department stores (including Harris Scarfe, John Martins, Peoplestores, Miller Anderson, Cravens, Cox Foys (which Harris Scarfe acquired and closed in 1977), Charles Birks and Charles Moores), of which Harris Scarfe is the sole survivor. Adelaide is now the only Australian capital city with three major department stores in the main shopping strip (the other two stores being David Jones and Myer). In New South Wales and the ACT, the stores have operated under the Allens brand but have since been rebranded to Harris Scarfe.

Today Harris Scarfe has two formats, one for its flagship multi-storey Rundle Mall store, and another for its smaller stores found elsewhere. These smaller stores sell a range of items, similar to discount department stores such as K-Mart, Big W
Big W
Big W is one of the largest chain of discount department stores in Australia, with over 150 stores. It is a division of Woolworths Limited, the second largest retailer in Australia. Its main competitors are Kmart and Target, both owned by Wesfarmers....

 and Target
Target (Australia)
Target Australia Pty Ltd is an Australian department store chain owned by Wesfarmers . It operates 172 Target stores and 119 Target Country stores making 291 combined stores with its head office located in North Geelong, Victoria. It sells clothing, cosmetics, toys, homewares, electrical and...

, though the range is limited by the relatively small amount of floorspace.

Establishment of the business

Harris Scarfe traces its history to 10 February 1849, when the founding partners, Mr. George Peter Harris and Mr. John C. Lanyon, arrived in Adelaide
Adelaide
Adelaide is the capital city of South Australia and the fifth-largest city in Australia. Adelaide has an estimated population of more than 1.2 million...

 South Australia
South Australia
South Australia is a state of Australia in the southern central part of the country. It covers some of the most arid parts of the continent; with a total land area of , it is the fourth largest of Australia's six states and two territories.South Australia shares borders with all of the mainland...

 on the ship, "Candahar", to establish a hardware and ironmongery business. One of their first known adverts in the local Adelaide paper was on 11 April 1850. Mr Lanyon left the partnership on 22 February 1855 and returned to London where he subsequently opened up a buying house for Mr Geo. P Harris and other businesses in South Australia. This firm acted as the London house for many years. Additional partners, Mr. George Scarfe and Mr. Richard Smith, joined the business in 1866, on a hand shake. The deeds were drawn up on 10 July 1871.
Harris Scarfe grew to become a major supplier of a broad range of household, agricultural and industrial items. Mr Geo. P Harris returned to England in 1873 where he died on 26 November that year, aged 52. Mr George Scarfe continued on as chairman of the business until he passed away on 14 April 1903, aged 76. Their devotion to the business was such that the present company continues to carry the names of its founders.

Besides conducting its retailing business from its Adelaide premises, Harris Scarfe manufactured leather goods, including saddlery and luggage.
It also had a wholesaling operation, with a team of commercial travellers who visited country regions throughout South Australia. This business was supported with a promotional product catalogue, which became well known in country areas.
During World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...

, when the Australian Government enforced price controls, it used the Harris Scarfe catalogue as the price guide.

After World War II, Harris Scarfe's prosperity grew with South Australia, as it supplied building materials during the postwar building boom.

IMFC takes over Harris Scarfe Limited

In 1971, Baradeen Quest Pty Limited, a subsidiary of Investment and Merchant Finance Corporation Limited ("IMFC") made a successful takeover bid for Harris Scarfe Limited, which at the time was a company listed on the Australian Stock Exchange
Australian Stock Exchange
The Australian Securities Exchange was created by the merger of the Australian Stock Exchange and the Sydney Futures Exchange in July 2006. It is the primary stock exchange group in Australia....

.

The Rundle Street (now Rundle Mall) store continued trading, with expansion of its frontage to establish a new womenswear department.

The Trescowthick era

Charles Davis Limited
Charles Davis Limited
Charles Davis Limited was a company established in Hobart Tasmania in 1847.The company was founded by Charles Davis, an Englishman who had been transported to the Tasmanian penal colony as a convict....

, a listed Tasmania
Tasmania
Tasmania is an Australian island and state. It is south of the continent, separated by Bass Strait. The state includes the island of Tasmania—the 26th largest island in the world—and the surrounding islands. The state has a population of 507,626 , of whom almost half reside in the greater Hobart...

n company controlled by Sir Donald Trescowthick, acquired control of Harris Scarfe in 1976, when Charles Davis took over IMFC.
Sir Donald wished to acquire Harris Scarfe, and his research indicated that the cheapest way of doing so was to take over its parent company.
The Trescowthick era started with growth and ended with collapse in 2001.

Sir Donald focussed Harris Scarfe's activities on its retailing business, and disposed of all of its other activities.
The Rundle Mall store continued to develop as a full line department store, while the industrial products outlet at Mile End
Mile End
Mile End is an area within the East End of London, England, and part of the London Borough of Tower Hamlets. It is located east-northeast of Charing Cross...

 evolved to become Harry's, a large hardware retailing business. The success of Harry's led Harris Scarfe's parent company, Charles Davis Limited, to acquire other hardware retailers, including Lloyd's in South Australia, Campbell's in Queensland, and McEwans in Victoria and New South Wales.

In 1989, these hardware businesses were sold in a management buyout.
The Rundle Mall department store continued to prosper, offering a broad range of items at "value for money" pricing, with aggressive advertising.
Sales were facilitated by a range of purchase options, including an inhouse credit card and lay-by.
Harris Scarfe's business was heavily promoted, with press and television advertising, and colourful advertising catalogues. These catalogues were broadly distributed in the Sunday Mail newspaper.
As a result, Harris Scarfe built a large phone and mail order business, supported by the advertising catalogues.

In 1994, Harris Scarfe opened its first store in suburban Adelaide, at Parabanks in Salisbury
Salisbury, South Australia
Salisbury is a northern suburb in Adelaide, South Australia. It is the seat of the City of Salisbury, and in the South Australian Legislative Assembly electoral district of Ramsay and the Australian House of Representatives divisions of Wakefield and Port Adelaide...

. Following this successful store opening (in a former Venture
Venture (department store)
Venture was a chain of discount department stores operating across Australia. It was developed by South Australian department store John Martins and was first opened in 1970. The chain grew to cover much of the country...

 store), Harris Scarfe acquired more sites in South Australia, as well as expanding its activities to other States.

During 1995, Harris Scarfe assumed control of the FitzGerald's Department Stores
FitzGerald's Department Stores
FitzGerald's Department Stores was Tasmania's largest chain of department stores.The chain was rebadged and relaunched as Harris Scarfe in 1995, and the renamed stores continue to trade today.-History:...

 chain, which previously was operated as a separate subsidiary of Charles Davis Limited (since it was acquired in 1986).
Also in 1995, Charles Davis Limited changed its name to Harris Scarfe Holdings Limited, and it then focussed on its department store activities - disposing of all of its other businesses and investments.
Harris Scarfe continued to grow, becoming Australia's third largest department store retailer, with 38 stores, and trading in all States of Australia.

In 2000, Harris Scarfe established an online retailing subsidiary, leveraging on the existing successful mail and phone order business. As part of this expansion strategy, it acquired dStore
DStore
dstore is an Australian-based online retailer. It offers a range of goods across a number of sectors. The company has established sales both to Australian and select overseas countries through its international website.- History :...

, an online retailer which had experienced financial problems.
The year 2000 was difficult for all retailers, as the Australian Government introduced a new retail turnover tax (the GST
GST
-Computing:* Generalised suffix tree, a tree-like data structure* GNOME System Tools, part of the GNOME desktop environment* GNU Smalltalk, an implementation of the Smalltalk language* GST Computer Systems, a group of companies based in Cambridge, England...

). Many retailers suffered a reduction in sales and profits after prices increased due to this new tax. Like many other retailers, Harris Scarfe felt the pressure of this trading challenge.

1990s Expansion

In the 1990s, Harris Scarfe began an era of unprecedented growth, both within South Australia and interstate. It expanded from its single large store in Rundle Mall into a smaller format for suburban and regional shopping centres (several of these stores were formerly occupied by the defunct Venture chain), as well as acquiring full line department store sites from other retailers (including David Jones (Cairns, Townsville and Campbelltown NSW), John Martins (Elizabeth and Arndale), Myer (Colonnades), Centre Fair (Shepparton) and Stirlings (Albany, Bunbury and Geraldton)).
This growth began from the company's base in South Australia, and was aided by the demise of the Venture
Venture (department store)
Venture was a chain of discount department stores operating across Australia. It was developed by South Australian department store John Martins and was first opened in 1970. The chain grew to cover much of the country...

 chain of stores previously found throughout the country. At Harris Scarfe’s peak, the company operated 38 stores in all Australian States.

The company continued its aggressive expansion interstate, opening stores in New South Wales
New South Wales
New South Wales is a state of :Australia, located in the east of the country. It is bordered by Queensland, Victoria and South Australia to the north, south and west respectively. To the east, the state is bordered by the Tasman Sea, which forms part of the Pacific Ocean. New South Wales...

, Queensland
Queensland
Queensland is a state of Australia, occupying the north-eastern section of the mainland continent. It is bordered by the Northern Territory, South Australia and New South Wales to the west, south-west and south respectively. To the east, Queensland is bordered by the Coral Sea and Pacific Ocean...

, Tasmania
Tasmania
Tasmania is an Australian island and state. It is south of the continent, separated by Bass Strait. The state includes the island of Tasmania—the 26th largest island in the world—and the surrounding islands. The state has a population of 507,626 , of whom almost half reside in the greater Hobart...

, Victoria
Victoria (Australia)
Victoria is the second most populous state in Australia. Geographically the smallest mainland state, Victoria is bordered by New South Wales, South Australia, and Tasmania on Boundary Islet to the north, west and south respectively....

 and Western Australia
Western Australia
Western Australia is a state of Australia, occupying the entire western third of the Australian continent. It is bounded by the Indian Ocean to the north and west, the Great Australian Bight and Indian Ocean to the south, the Northern Territory to the north-east and South Australia to the south-east...

. The company acquired a large amount of its retail space (and its largest stores) as a result of Australia’s two largest department store chains Myer
Myer
Myer is Australia's largest department store chain, retailing a broad range of merchandise including women's, men's and children's clothing, footwear and accessories; cosmetics and fragrance; homewares; electrical; furniture and bedding; toys; books and stationery; food and confectionery; and...

 and David Jones
David Jones Limited
David Jones Limited , colloquially known as DJs, is a high-end Australian department store chain.David Jones was founded in 1838 by David Jones, a Welsh immigrant, and is claimed to be the oldest continuously operating department store in the world still trading under its original name. It...

 rationalising their chains. The company’s expansion into Tasmania was accelerated by the merger with the Tasmanian department store chain FitzGeralds
FitzGerald's Department Stores
FitzGerald's Department Stores was Tasmania's largest chain of department stores.The chain was rebadged and relaunched as Harris Scarfe in 1995, and the renamed stores continue to trade today.-History:...

 (better known to locals as "Fitzys") in 1995.
Hence, Harris Scarfe played a key role in the rationalisation of Australian retailing in the 1990s.

Bankruptcy

In 2001, Harris Scarfe's suppliers and customers, and even a large number of the company’s staff, were shocked when the thriving business was suddenly faced with cash-flow problems. The company made headlines in South Australia when concerned suppliers, from whom Harris Scarfe had purchased large amounts of stock on credit, entered the flagship store in Rundle Mall, and began retrieving their stock directly from the shelves, before shocked staff and customers.

The company soon entered voluntary receivership, and its shares were withdrawn from the Australian Stock Exchange
Australian Stock Exchange
The Australian Securities Exchange was created by the merger of the Australian Stock Exchange and the Sydney Futures Exchange in July 2006. It is the primary stock exchange group in Australia....

. Examination of the company’s books revealed that assets had been re-valued well above market value in an effort to conceal its spiralling losses. This practice had left the company with multimillion-dollar debts.

Revitalisation

Harris Scarfe was sold to a private consortium, with the shareholders receiving little or no proceeds of the sale. The consortium set out to firstly stabilise the business, with possible expansion and a refloat on Australian Stock Exchange in the future.

The consortium began a store rationalisation program as a measure to help restore profits. In the days after the purchase all stores in Queensland and New South Wales, where Harris Scarfe was under represented, were closed. In its home state of South Australia, two suburban stores were closed: Munno Para in the north, and Woodcroft
Woodcroft, South Australia
Woodcroft is a metropolitan suburb of Adelaide, South Australia, located 20 km south of the Central Business District of Adelaide. It is bordered to the north by Reynell Road, to the south by Bains Road, to the west by Panalatinga Road and by the Hills Face Zone to the east.- History :Originally...

 in the south. The same occurred in Victoria and Tasmania, with a limited number of unprofitable store closures. In the final stage of rationalisation it was decided the business would also withdraw from the Western Australian market.

The company then started a revitalisation program. The remaining stores were remodelled with new stock, new layouts and a new company logo. This was then followed by an extensive advertising campaign. As a result Harris Scarfe soon began to enjoy record sales.

Today

In 2002 Harris Scarfe opened its first new store after the revitalisation at Werribee in Victoria. This was seen as a major step forward for the new company and resulted with much success in the growing Werribee area. This store was divested to Myer
Myer
Myer is Australia's largest department store chain, retailing a broad range of merchandise including women's, men's and children's clothing, footwear and accessories; cosmetics and fragrance; homewares; electrical; furniture and bedding; toys; books and stationery; food and confectionery; and...

 in 2007, as part of a deal whereby Myer have acquired a minority shareholding in Harris Scarfe.

In 2004, the Allens department store chain in New South Wales and the ACT was taken over by Harris Scarfe from the Allen family.

In 2006, Harris Scarfe reopened their completely refurbished store at Colonnades SA, as part of the centre's refurbishment. The store reopened with a reduction in floor-space, occupying only the ground floor of its original 3-floor store. The upper levels are planned to house a new Best and Less, JB Hi-Fi, and Cheap as Chips discount store. It was sold to Myer in 2007, along with the Elizabeth store .

In 2007, Harris Scarfe opened new stores in Sunbury and Warrnambool in Victoria. With the Forest Hill store sold to Myer, Harris Scarfe opened two new stores at Eastland Shopping Centre and one at Box Hill.

On 17 September 2008, Harris Scarfe opened a brand new store at Tea Tree Plaza in Modbury, South Australia
Modbury, South Australia
Modbury is a suburb of Adelaide, South Australia in the City of Tea Tree Gully. Modbury is located at the end of the Adelaide O-Bahn and is home to the Tea Tree Plaza shopping complex and a Hospital.It was named Modbury by R...

. This store is aimed to start a new era and new attitude to Harris Scarfe. The aim of this store for Harris Scarfe is to have two specialised stores under one roof, both homewares and fashion. Unfortunately this approach has still not changed the level of acceptance of Harris Scarfe, as they are still considered as a Target and Kmart and not a Myer or David Jones of the retail world.
On 2 October 2008, Harris Scarfe rebranded its Allens stores across NSW and ACT as Harris Scarfe.

In 2009, Harris Scarfe opened 2 new concept stores – hs home. hs home in Gepps Cross (South Australia) opened its doors in June and hs home The Glen (Victoria) opened in November.

In 2010, Harris Scarfe closed its store in Bega NSW to focus on building its Merimbula and Moruya stores on the south coast. A Harris Scarfe store was also opened in Westfield Fountain Gate
Westfield Fountain Gate
Westfield Fountain Gate is a super regional shopping centre located in Narre Warren in the outer south-eastern suburbs of Melbourne, Australia...

, Narre Warren, Victoria.

Departments

Most Harris Scarfe stores, particularly the smaller format stores, carry the following departments:
  • Manchester
  • Homewares
  • Cookware
  • Personal Care & Laundry Electrical
  • Kitchen Electrical
  • Travel and Outdoor
  • Menswear
  • Womenswear
  • Sportswear



The hs home stores carry the following departments:
  • Manchester
  • Homewares
  • Cookware
  • Personal Care & Laundry Electrical
  • Kitchen Electrical



Like other department stores, Harris Scarfe also has its own concession departments.

Stores

Harris Scarfe currently has 42 stores across Australia: in South Australia, Victoria, Tasmania, Queensland and New South Wales. There are also 3 ACT stores, with a fourth to be opened at Belconnen in March 2011.

Future

On 16 March 2007 Momentum Private Equity took a controlling interest in Harris Scarfe in a deal worth $80 million.
Harris Scarfe chief executive Robert Atkins said the buyout involved retailer Myer
Myer
Myer is Australia's largest department store chain, retailing a broad range of merchandise including women's, men's and children's clothing, footwear and accessories; cosmetics and fragrance; homewares; electrical; furniture and bedding; toys; books and stationery; food and confectionery; and...

 taking a 20 per cent stake in the business while the current Harris Scarfe management team would retain a 15 per cent interest.

Four Harris Scarfe stores also would be converted to Myer outlets: two in Adelaide (Colonnades and Elizabeth) and two in Victoria (Werribee and Forest Hill). That would leave Harris Scarfe with 35 outlets in South Australia, NSW, Victoria, the ACT and Tasmania. The stores in NSW and ACT currently operate under the Allens brand.

Long term Harris Scarfe employee Lionel Penley wrote the history of Harris Scarfe, which the company published in 1991. This book tells the story of the growth of the business, and its close links to the development of South Australia's economy.

In 2011, Harris Scarfe will relocate its flagship Adelaide City store within the Rundle Mall precinct. It also plans to open a new store in Belconnen (ACT) in March and Ballarat (Victoria) in May. A significant/aggressive new store roll-out plan within regional areas will follow thereafter. Harris Scarfe also plans to expand its digital presence and provide its customers with an ecommerce avenue.

See also

  • Boans
    Boans
    Boans is the name of an iconic department store that operated in Perth, Western Australia between 1895 and 1986. The store was founded by Harry Boan and his brother Benjamin who both came to Perth in 1895 from Broken Hill in western New South Wales. Harry and another brother, Ernest, had...

  • Charles Davis Limited
    Charles Davis Limited
    Charles Davis Limited was a company established in Hobart Tasmania in 1847.The company was founded by Charles Davis, an Englishman who had been transported to the Tasmanian penal colony as a convict....

  • FitzGerald's Department Stores
    FitzGerald's Department Stores
    FitzGerald's Department Stores was Tasmania's largest chain of department stores.The chain was rebadged and relaunched as Harris Scarfe in 1995, and the renamed stores continue to trade today.-History:...

  • Homeart
  • Myer
    Myer
    Myer is Australia's largest department store chain, retailing a broad range of merchandise including women's, men's and children's clothing, footwear and accessories; cosmetics and fragrance; homewares; electrical; furniture and bedding; toys; books and stationery; food and confectionery; and...


External links

The source of this article is wikipedia, the free encyclopedia.  The text of this article is licensed under the GFDL.
 
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