In a media release, ABC Retail, which currently comprises 50 physical stores, said it will review its lease arrangements with landlords and develop a revised retail model with a focus on ABC Shop Online and ABC branded outlets in other retailers.
This strategy aligns with the changing retail environment, as consumers increasingly access content digitally through subscription services and downloads and purchase physical products online.
The ABC said it is no longer possible for it to sustain a large network of leased stores, traditionally reliant on DVD and CD formats. However, ABC DVDs, music, books, toys and merchandise will still be widely available for customers to purchase through ABC Shop Online and other retailers.
Robert Patterson, director of ABC Commercial said the decision to close the ABC Retail stores has not been taken lightly.
“The ABC Shops have been an important part of the ABC’s relationship with its audiences for the past 35 years,” Patterson said. “However, this strategy will create a more cost-effective, nimble and flexible approach to servicing customers.
“This direction is also in keeping with the shift of ABC audiences to accessing content across an array of digital platforms, while maintaining an appropriate level of physical retail distribution. The ABC is confident that this new strategy will ensure continued audience engagement.”
“ABC Shop is a trusted brand with a strong product offer, loyal customers and an engaged, committed team,” added head of ABC Retail, Regina Hoekstra. “ABC Retail will continue to adapt to an ever-changing retail climate in order to provide a sustainable retailing experience for customers.”
Each year approximately 1,000 new consumer products are created, licensed or released by ABC Commercial, including DVDs, digital downloads, music, books, magazines, toys, novelties and clothing.
