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GUS (retailer)
Encyclopedia
GUS plc was a FTSE 100 retailing group based in the United Kingdom. GUS is an abbreviation of Great Universal Stores, the company's former name before 2001. On 10 October 2006, the company was split into two separate companies which continue to exist as Home Retail Group and Experian
.
, England by Abraham, George and Jack Rose. A private company, The Universal Stores (Manchester) Ltd, took the business over, and the company was incorporated in 1917. In 1930, the company changed its name to The Great Universal Stores Limited. The next year it was listed on the London Stock Exchange
. At this stage, it was the leading mail order
business in the UK
, with a single cataglogue, Great Universal. A second catalogue, John England, was launched later in the 1930s.
In 1932, Isaac Wolfson
joined the company as merchandise controller. He became joint managing director in the same year. He was Chairman
from the late 1940s until his retirement in 1987. Through his wealth gained at Great Universal Stores, he established the Wolfson Foundation
in 1955. His son, Leonard Wolfson, followed him as Chairman, to be succeeded by David Wolfson
(1996–2000).
Great Universal acquired Kay & Company Ltd in 1937, and continued to run it's catalogue, Kays, as a separate title. Based in Worcester, Kay & Company began life in the 1880s and was an established mail order company at the time of the GUS takeover. The company continued as a distinct entity within the GUS holding company.
Two chains of furniture stores were acquired by GUS, one in 1943 and one in 1945. These stores continued to trade under the names Cavendish or Woodhouse. This was followed in 1958 by the acquisition of a paint and wall covering chain of shops, which GUS expanded to form a much larger and more comprehensive chain of DIY stores. GUS also purchased or developed stores selling women's and children's clothing, buying up the Burberry
's and Scotch House businesses in 1955. Burberry's also included a clothing manufacturing business.
GUS developed its manufacturing businesses in the 1950s, with products including clothing, bedding, upholstery, textiles and pottery.
GUS acquired A & S Henry & Co group in 1971. This group was primarily a group of manufacturing businesses, which GUS sold off, and a mail order business trading as John Noble which GUS retained. This was followed in 1976 by the acquisition of S & U Stores Ltd with its catalogues, Greenbank and Meridien; the acquisition of Henry Wigfall & Son Ltd in 1977 along with its catalogues All Yours, Wigfalls at Home and Choice Mail Order, and in 1983 GUS acquired United Drapery Stores Ltd which ran the John Myers Home Shopping catalogue. Unlike Kay & Company, all of these acquisitions were brought into the main GUS business and not run as distinct companies. So there were two mail order companies within the GUS group at this stage: the British Mail Order Corporation Ltd (BMOC) and Kay & Company Ltd.
By 1983 the company had expanded its range of operations significantly. Catalogue mail order was by far the company's primary business but the company was also engaged in retailing through shops, the manufacture of clothing and household goods, financial services, property investment and travel. By this time the business was international, with operations in Sweden, the Netherlands, France, Austria, Canada, South Africa and Australia and smaller interests in Belgium, Switzerland, Spain, the United States and Hong Kong.
The Company acquired Argos
in 1998 and the UK's second largest online retailer at the time, Jungle.com, in 2000 for £37 million.
In 2001 the company changed its name to GUS plc using the identifier GUS on the London Stock Exchange.
In 2004, the company sold its traditional home shopping (catalogues) division to the Barclay twins
, who later merged the Littlewoods
mail order operations into it. This included the iconic Great Universal Stores catalogue, from which the company took its name, and completed the departure of GUS from its original business areas. Around the same time, the Barclays announced the closure of the Littlewoods Index catalogue showroom chain, the principal rival to Argos in the UK, selling around 35 stores to Argos.
In May 2005, it announced that it would divest its stake in Burberry
by distributing Burberry shares to its own shareholders. The Burberry demerger was completed in December 2005.
On 28 March 2006, it was announced that the Company would split into two separate businesses, Home Retail Group and Experian
, with both companies listed separately on the London Stock Exchange
as of 11 October 2006. GUS plc became a wholly owned subsidiary of Experian plc after the demerger and was renamed to Experian Finance plc.
GUS plc ranked as the highest-spending online advertiser in the US, according to Nielson
NetRatings, spending over $659m in 2006. Interestingly, the next-ranked online advertiser, Vonage
, was a distant second at just over $294m.
In the year ended 31 March 2005, GUS had sales of £7.8 billion and profits (before goodwill, exceptional items and taxation) of £910 million.
In 1993 or 1994, the Canadian company was fined $45,000 (Canadian) for misleading advertising, the largest total fine during that fiscal year. At that point, the company was doing business under the name of Légaré Woodhouse in Montreal and elsewhere in Quebec.
Experian
Experian plc, formerly known as CCN Systems, is a global credit information group with operations in 36 countries. The company employs 15,500 people with corporate headquarters in Dublin, Ireland and operational headquarters in Nottingham, England and Costa Mesa, California, US...
.
History
Universal Stores was founded in 1900 as a mail order business in ManchesterManchester
Manchester is a city and metropolitan borough in Greater Manchester, England. According to the Office for National Statistics, the 2010 mid-year population estimate for Manchester was 498,800. Manchester lies within one of the UK's largest metropolitan areas, the metropolitan county of Greater...
, England by Abraham, George and Jack Rose. A private company, The Universal Stores (Manchester) Ltd, took the business over, and the company was incorporated in 1917. In 1930, the company changed its name to The Great Universal Stores Limited. The next year it was listed on the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
. At this stage, it was the leading mail order
Mail order
Mail order is a term which describes the buying of goods or services by mail delivery. The buyer places an order for the desired products with the merchant through some remote method such as through a telephone call or web site. Then, the products are delivered to the customer...
business in the UK
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
, with a single cataglogue, Great Universal. A second catalogue, John England, was launched later in the 1930s.
In 1932, Isaac Wolfson
Isaac Wolfson
Sir Isaac Wolfson, 1st Baronet FRS was a businessman and philanthropist. He was managing director of Great Universal Stores 1932-1947 and chairman 1947-1987. He established the Wolfson Foundation to distribute most of his fortune to good causes. Great Universal Stores was a mail order business...
joined the company as merchandise controller. He became joint managing director in the same year. He was Chairman
Chairman of the Board
The Chairman of the Board is a seat of office in an organization, especially of corporations.Chairman of the Board may also refer to:*Chairman of the Board , a 1998 film*Chairmen of the Board , a 1970s American soul music group...
from the late 1940s until his retirement in 1987. Through his wealth gained at Great Universal Stores, he established the Wolfson Foundation
Wolfson Foundation
The Wolfson Foundation is a charity that awards grants to support excellence in the fields of science and medicine, health, education and the arts & humanities.- Overview :...
in 1955. His son, Leonard Wolfson, followed him as Chairman, to be succeeded by David Wolfson
David Wolfson, Baron Wolfson of Sunningdale
David Wolfson, Baron Wolfson of Sunningdale is a British politician and businessman.The son of Charles and Hylda Wolfson was educated in Clifton College and Trinity College, Cambridge, where he graduated with a Master of Arts in economics and law in 1956...
(1996–2000).
Great Universal acquired Kay & Company Ltd in 1937, and continued to run it's catalogue, Kays, as a separate title. Based in Worcester, Kay & Company began life in the 1880s and was an established mail order company at the time of the GUS takeover. The company continued as a distinct entity within the GUS holding company.
Two chains of furniture stores were acquired by GUS, one in 1943 and one in 1945. These stores continued to trade under the names Cavendish or Woodhouse. This was followed in 1958 by the acquisition of a paint and wall covering chain of shops, which GUS expanded to form a much larger and more comprehensive chain of DIY stores. GUS also purchased or developed stores selling women's and children's clothing, buying up the Burberry
Burberry
Burberry Group plc is a British luxury fashion house, manufacturing clothing, fragrance, and fashion accessories. Its distinctive tartan pattern has become one of its most widely copied trademarks. Burberry is most famous for its iconic trench coat, which was invented by founder Thomas Burberry...
's and Scotch House businesses in 1955. Burberry's also included a clothing manufacturing business.
GUS developed its manufacturing businesses in the 1950s, with products including clothing, bedding, upholstery, textiles and pottery.
GUS acquired A & S Henry & Co group in 1971. This group was primarily a group of manufacturing businesses, which GUS sold off, and a mail order business trading as John Noble which GUS retained. This was followed in 1976 by the acquisition of S & U Stores Ltd with its catalogues, Greenbank and Meridien; the acquisition of Henry Wigfall & Son Ltd in 1977 along with its catalogues All Yours, Wigfalls at Home and Choice Mail Order, and in 1983 GUS acquired United Drapery Stores Ltd which ran the John Myers Home Shopping catalogue. Unlike Kay & Company, all of these acquisitions were brought into the main GUS business and not run as distinct companies. So there were two mail order companies within the GUS group at this stage: the British Mail Order Corporation Ltd (BMOC) and Kay & Company Ltd.
By 1983 the company had expanded its range of operations significantly. Catalogue mail order was by far the company's primary business but the company was also engaged in retailing through shops, the manufacture of clothing and household goods, financial services, property investment and travel. By this time the business was international, with operations in Sweden, the Netherlands, France, Austria, Canada, South Africa and Australia and smaller interests in Belgium, Switzerland, Spain, the United States and Hong Kong.
The Company acquired Argos
Argos (retailer)
Argos is the largest general-goods retailer in the United Kingdom and Ireland with over 800 stores. It is unique amongst major retailers in the UK in that it is a catalogue merchant...
in 1998 and the UK's second largest online retailer at the time, Jungle.com, in 2000 for £37 million.
In 2001 the company changed its name to GUS plc using the identifier GUS on the London Stock Exchange.
In 2004, the company sold its traditional home shopping (catalogues) division to the Barclay twins
David and Frederick Barclay
Sir David Rowat Barclay and Sir Frederick Hugh Barclay are British businessmen. The identical twin brothers have very substantial business interests primarily in media, retail and property. The Sunday Times Rich List of 2007 estimated their wealth at £1.8 billion...
, who later merged the Littlewoods
Littlewoods
Littlewoods is the name of a former retail and gambling company founded in Liverpool, Merseyside, England by John Moores in 1923.It started as a shopping catalogue company, processing orders by post in the early 1970s. In 1981, it expanded to a call centre, processing orders via telephone. At its...
mail order operations into it. This included the iconic Great Universal Stores catalogue, from which the company took its name, and completed the departure of GUS from its original business areas. Around the same time, the Barclays announced the closure of the Littlewoods Index catalogue showroom chain, the principal rival to Argos in the UK, selling around 35 stores to Argos.
In May 2005, it announced that it would divest its stake in Burberry
Burberry
Burberry Group plc is a British luxury fashion house, manufacturing clothing, fragrance, and fashion accessories. Its distinctive tartan pattern has become one of its most widely copied trademarks. Burberry is most famous for its iconic trench coat, which was invented by founder Thomas Burberry...
by distributing Burberry shares to its own shareholders. The Burberry demerger was completed in December 2005.
On 28 March 2006, it was announced that the Company would split into two separate businesses, Home Retail Group and Experian
Experian
Experian plc, formerly known as CCN Systems, is a global credit information group with operations in 36 countries. The company employs 15,500 people with corporate headquarters in Dublin, Ireland and operational headquarters in Nottingham, England and Costa Mesa, California, US...
, with both companies listed separately on the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
as of 11 October 2006. GUS plc became a wholly owned subsidiary of Experian plc after the demerger and was renamed to Experian Finance plc.
GUS plc ranked as the highest-spending online advertiser in the US, according to Nielson
Nielson
Nielson is a surname. It refers to:*Claire Nielson , British television actress*Howard C. Nielson , American politician from Utah; U.S. Representative 1983–91...
NetRatings, spending over $659m in 2006. Interestingly, the next-ranked online advertiser, Vonage
Vonage
Vonage is a publicly held commercial voice over IP network and SIP company that provides telephone service via a broadband connection. The company's name is a play on their motto "Voice-Over-Net-AGE"....
, was a distant second at just over $294m.
Operations
The company had two main divisions:- ARG – The Argos Retail Group, now demerged to be Home Retail Group, which consisted of several subdivisions, including
- ArgosArgos (retailer)Argos is the largest general-goods retailer in the United Kingdom and Ireland with over 800 stores. It is unique amongst major retailers in the UK in that it is a catalogue merchant...
(previously an independent company, once owned by British American TobaccoBritish American TobaccoBritish American Tobacco p.l.c. is a global tobacco company headquartered in London, United Kingdom. It is the world’s second largest quoted tobacco company by global market share , with a leading position in more than 50 countries and a presence in more than 180 countries...
) – the UK's largest catalogue retailer - HomebaseHomebaseHomebase is a British home improvement store and garden centre, with 350 stores across the United Kingdom and the Republic of Ireland. It is well known by its green and orange colour scheme. Together with its sister company Argos , it forms part of Home Retail Group. Homebase recorded sales figures...
(formerly owned and founded by J SainsburyJ SainsburyJ. Sainsbury plc is the parent company of Sainsbury's Supermarkets Ltd, commonly known as Sainsbury's, the third largest chain of supermarkets in the United Kingdom with a share of the UK supermarket sector of 16.5%....
) – a DIY (home improvement) retailer - ARG Financial Services – provider of store card services, such as the Argos Card and ArgosArgos (retailer)Argos is the largest general-goods retailer in the United Kingdom and Ireland with over 800 stores. It is unique amongst major retailers in the UK in that it is a catalogue merchant...
insurance products.
- Argos
- ExperianExperianExperian plc, formerly known as CCN Systems, is a global credit information group with operations in 36 countries. The company employs 15,500 people with corporate headquarters in Dublin, Ireland and operational headquarters in Nottingham, England and Costa Mesa, California, US...
– a credit reporting agency
In the year ended 31 March 2005, GUS had sales of £7.8 billion and profits (before goodwill, exceptional items and taxation) of £910 million.
Canadian operations
Great Universal Stores of Canada Limited operated 150 furniture and appliance stores across Canada as of early 1963. Charles Wolfson, formerly president, became chairman as of January 1, 1963, and John P. Adderley became president and chief executive officer.In 1993 or 1994, the Canadian company was fined $45,000 (Canadian) for misleading advertising, the largest total fine during that fiscal year. At that point, the company was doing business under the name of Légaré Woodhouse in Montreal and elsewhere in Quebec.