Fretter
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| Fretter | |
|---|---|
| Fate | Bankrupt |
| Founded | 1970s |
| Defunct | May 1996 |
| Location | Detroit, Michigan |
| Key people | Oliver Fretter, founder |
Fretter was an electronics store based out of Detroit, Michigan, with locations nationally, founded during the 1970's. In 1992, Fretter acquired their biggest competition of the time Silo Electronics, a company that had previously not turned a profit since the 1980's. This was an attempt by Fretter to compete with its new major competition, electronic superstores Circuit City and Best Buy, which were much larger stores than Fretter. This move would lead the company into serious debt and Chapter 11 bankruptcy and forcing the chain to close many locations by 1993. All Silo Electronics stores were closed by 1995, with the following of all Fretter locations closing by May 1996.[1][2][3]
[edit] References
- ^ Lisa Holton (December 17, 1991). "Not always better to shop at Fretter's: Ward's suit". Chicago Sun-Times. “Montgomery Ward slapped Fretter Inc. with a federal lawsuit Monday, alleging that the Detroit-based electronics superstore made false claims in a recent TV ad saying Fretter's prices were better than Ward's.”
- ^ Jerry Ackerman (November 10, 1995). "Fretter closes all NE stores, retail promises to honor warranties, refund deposits". The Boston Globe. “With its brand appeal apparently waning and new competition on the horizon, Fretter Superstores yesterday quit New England, closing its 15 electronics outlets in Massachusetts and New Hampshire and directing queries to a toll-free 800 number. Although doors were locked and telephones went unanswered at local stores, Fretter Inc., based in Livonia, Mich., told state officials that consumers who have made deposits on merchandise or have warranty claims would be protected.”
- ^ Matt Roush (December 2, 1996). "How Fretter fell.". Crain's Detroit Business. “'Whole bunch of things' led to demise of appliance icon. Don't feel sorry for Ollie. It is true that the collapse of Fretter Inc. cost founder Oliver Fretter millions of dollars in paper profits, as he watched his remaining 3.5 million-share, 33 percent stake in the company decline to virtual worthlessness.But between the company's 1986 initial public offering and its 1993 combination with the Silo chain, owned by British electronics giant Dixons plc, Ollie Fretter already had cashed out of the company twice, putting about $35 million in his pockets. Of note is the founder, Ollie Fretter, who was well known in the Detroit Area in the 1970’s via his comical TV commercials in which he hawked – “I’ll give you five pounds of coffee if I can’t beat your best deal. The competition knows me, you should too!” Ollies very first store was located on Telegraph Road just north of Interstate 96 in the city of Redford, MI, and the main warehouse, warehouse store and company headquarters, was located on Schoolcraft Road (I-96 service drive) in Livonia, Michigan.”
