Mon. Dec 23rd, 2024
alert-–-the-wonder-of-woolies:-how-us-institution-became-as-british-as-fish-and-chips-before-suddenly-disappearing-from-the-high-street-–-as-woolworths-boss-hints-at-a-uk-comebackAlert – The wonder of Woolies: How US institution became as British as fish and chips before suddenly disappearing from the High Street – as Woolworths boss hints at a UK comeback

Woolworths was once a staple of the British high street, known for its pick ‘n’ mix sweets and its bargain prices’, it sold everything from clothes, to records and household goods.

Affectionately referred to as ‘Woolies’, the once-ubiquitous department store chain closed its doors for good nearly 15 years ago, much to the dismay of customers across the country.

Woolworths collapsed amid the financial crisis of 2008 as cheaper shops ate into its market share. 

There had been talk of a Woolies revival back in 2017, when former brand director Tony Page teased plans to buy the name back from Shop Direct, but the comeback never materialised.

It wasn’t until January this year that a return seemed possible, as the company’s German CEO revealed it was on his ‘bucket list’ for the ‘mid or long-term future’.

Now, we are taking a look back at the history of the iconic store and considering how an American-born institution became as quintessentially British as fish and chips.

Shoppers and pedestrians walking outside the Woolworths store at 311 Oxford Street in the West End of London, England, circa 1965

Shoppers and pedestrians walking outside the Woolworths store at 311 Oxford Street in the West End of London, England, circa 1965

Workers at one of the British Woolworths stores posing for a picture in their uniforms next to their manager

Workers at one of the British Woolworths stores posing for a picture in their uniforms next to their manager 

Frank Woolworth (pictured)

Frank Woolworth (pictured)

Woolworths was founded in 1879 by American entrepreneur Frank Winfield Woolworth, who opened his first five-and-ten variety store in Utica, New York.

After a false start, Frank relocated to Pennsylvania where he opened his next fixed-price store on June 21 the same year, which became a great success and led to a second store opening in nearby Harrisburg.

Over the next 20 years, Frank invited relatives and former co-workers to join him in his ambitions, establishing a syndicate of five ‘friendly rivals’ which operated independently but sold the same goods.

Frank Woolworth had always wanted to open a store in Britain and despite reservations from his management, he took the plunge in November 1909.

Upon searching for locations, Frank and his cousin Fred — who was to lead this new overseas venture — were struck by the similarity of Liverpool to New York.

Architects plans to open the first Woolworths store in Liverpool. Frank and Fred Woolworth were struck by the city's similarity to New York

Architects plans to open the first Woolworths store in Liverpool. Frank and Fred Woolworth were struck by the city’s similarity to New York 

Woolworth's department store pictured in Sauchiehall Street, Glasgow, Scotland, as a horse drawn cart containing supplies pulls up outside, circa 1951

Woolworth’s department store pictured in Sauchiehall Street, Glasgow, Scotland, as a horse drawn cart containing supplies pulls up outside, circa 1951

Fred Woolworth (pictured)

Fred Woolworth (pictured) 

Both cities were large, expanding rapidly and had invested in new public transport links such as tramcars or trolleys.

Fred Woolworth cut the ribbon to the first British Woolworths store on November 5, 1909 on Church Street, Liverpool. 

In the period that followed, Woolworths scouts secured properties across Northern England.

Within just 12 months the chain stretched from Liverpool to Preston, and on to Manchester, Leeds, Hull and Middleborough, highlighting its glittering success.

Soon there would be Woolworths stores dotted across the capital, with the first in Brixton, just three miles South West of London’s city centre, followed by Woolwich to the East, Harlesden to the North and Croydon to the South.

Five years under Fred’s leadership and the results were exceptional:

  • A total of 44 stores had opened across England, Wales, Scotland and Northern Ireland
  • Every single branch was profitable
  • All but two stores were British-managed
  • Over 90 per cent of the products were British made 
  • The dividend had exceeded 20 per cent every year 

During the First World War, women stepped up to cover shifts of male staff members and store managers that were conscripted and Fred’s ‘Buy England’ policy meant that stores had enough high margin local goods to keep counters full and to avoid freight costs from America.

Just two years after the opening of the 100th Woolies store, Fred Woolworth suffered a stroke and died on January 27, 1923. He was known to have an active lifestyle, which subsequently impacted his health.

A collection of vintage photographs depicting some of the Woolworths stores in Britain

A collection of vintage photographs depicting some of the Woolworths stores in Britain 

A picture depicting the Woolworths Windsor store in Canada which opened in 1923

A picture depicting the Woolworths Windsor store in Canada which opened in 1923 

All buyers, executives and directors of Woolworths posed for a photograph on January 24, 1923, as Woolworth Corporation gathered for their annual meeting

All buyers, executives and directors of Woolworths posed for a photograph on January 24, 1923, as Woolworth Corporation gathered for their annual meeting

READ MORE: Woolworths’ German boss gives strongest hint yet that collapsed high street chain – once beloved for its pick ‘n’ mix sweets and bargain prices – could return to Britain 15 years after stores shut during financial crisis

Fred’s leadership, his hard work and strict high standards set the store on a path for a long history of success. It is understood that he gave each store the same level of attention, ensured all growth should be funded from profit and established a local brand identity in the UK, setting it apart from its American sibling.

By the 1930s, the British firm was experiencing an unrivalled period of prosperity, with record levels of sales and profits.

This continued into the 1950s when Woolies celebrated its Golden Jubilee in 1959 with record profits and saw its 1,000th branch open in West Sussex.

In 1980, the company bought the B&Q retail chain, but board members faced backlash for this decision for funding this through the sale of two major London stores.

By the 2000s, Woolworths’ period of success seemed to be coming to an end, as it faced severe competitive and financial pressures. The market for one of its main money makers — physical copies of music — shrank dramatically, as specialist music chains collapsed. 

In 2008, the country entered into a financial crisis which ultimately led to reduced customer spending.

On December of that year, administrators announced that all 807 Woolworths stores would close by January 2009, with a total of 27,000 job losses.

Pedestrians pass by a Woolworths general store in London, U.K., Tuesday, March 27, 2007

Pedestrians pass by a Woolworths general store in London, U.K., Tuesday, March 27, 2007

Customers shop at a Woolworths general store in London, U.K, Tuesday, March 27, 2007

Customers shop at a Woolworths general store in London, U.K, Tuesday, March 27, 2007

By the 1930s, Woolworths was experiencing an unrivalled period of prosperity, with record levels of sales and profits.

By the 1930s, Woolworths was experiencing an unrivalled period of prosperity, with record levels of sales and profits.

A Woolworths store is pictured in Bramhall, near Manchester, north-west England, on November 27, 2000

A Woolworths store is pictured in Bramhall, near Manchester, north-west England, on November 27, 2000

Mary Mullins, (pictured) a shop assistant at Woolworths, straightens the Pic 'n' Mix display at a Woolworths general store in London on March 27, 2007

Mary Mullins, (pictured) a shop assistant at Woolworths, straightens the Pic ‘n’ Mix display at a Woolworths general store in London on March 27, 2007 

Woolworths shop front, 6-8 The Homend, Ledbury, Herefordshire, pictured in 2000

Woolworths shop front, 6-8 The Homend, Ledbury, Herefordshire, pictured in 2000

Fans cheer as 'X Factor' finalist Ray Quinn (not seen) performs prior to a Woolworths instore signing as part of a one-day tour of the UK to promote his eponymously titled debut album, March 12, 2007

Fans cheer as ‘X Factor’ finalist Ray Quinn (not seen) performs prior to a Woolworths instore signing as part of a one-day tour of the UK to promote his eponymously titled debut album, March 12, 2007

Pedestrians pass a Woolworths store in Camden, London (pictured) on Monday, January 31, 2005, just two years before the closure of the chain's UK stores

Pedestrians pass a Woolworths store in Camden, London (pictured) on Monday, January 31, 2005, just two years before the closure of the chain’s UK stores 

Stores were closed in stages, with 207 on December 27, 37 on December 29, 164 on December 30 and 200 on January 3.

Some historians believe that Woolworths revolutionalised the retail industry in the UK, with founders in America being surprised at how well it had been adopted by the British people.

Woolworths’ lower prices, loyalty bonuses and its broad range of items meant customers could buy anything and everything all in one place. Its biggest competitors were penny bazaars such as Marks & Spencer’s which has stood the test of time.

Most Brits have a tale to tell about their local Woolies store, memories of brown paper bags with string handles behind the tills, Pac-a-macs on a display near the front doors, browsing the toy section, or taking advantage of the listening booth.

CEO Roman Heini is pushing to ‘make Woolworth great again’, as he looks to expand both domestically and abroad.

While there are no immediate plans to open in Britain, he told Retail Week that there were peculiarities about the UK market that made it attractive for Woolworth Germany.

Woolworth Germany has no connections to the former UK outlet beyond a shared parentage with the American F. W. Woolworth Company. 

Woolworth Germany also suffered financial problems, but mapped a recipe for survival that allowed it to weather the storm of the financial crisis. The profitable company is targeting €1bn sales in the year to April. 

To find out more about Woolworths, visit woolworthsmuseum.co.uk.

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