Thread: GMC goes into receivership

Both retailers are focused on Home Brands/Private label and are moving away from recognized ones

Originally Posted by Big Shed

I can see how Bunnies did Bob, but M10 and Home Hardware?

All in all, the demise of GMC was largely self-inflicted as I see it.

He was refering to GMC which is still 100% Aussie owned

Originally Posted by Ruddigar

Oh. Which Aussie company were you referring to here then?

I really hope Triton & GMC continue for a long time to come . Wishing all the best to all the crew up there .

Of course it was GMC self-inflicted. Blaming it on ranging by major retailers in the hardware segment is pure denial.

The major retailers are just hardware supermarkets and the dynamics of shelf space are played out the same way as their food cousins. If you know what budget it takes to get your product on the shelf at eye-height in food supermarkets then you will understand.

You just had to scratch your head when first Hills and then GMC purchased the Triton brand. A major part of Triton's success was the common evangelical enthusiasm of George and his customers. Changing company culture almost never works and slotting Triton's ethos into either the Hills or GMC businesses was very brave (or foolish).

Yep, shelf space is very expensive, for some brands about $60K.

Originally Posted by kymcha

Of course it was GMC self-inflicted. Blaming it on ranging by major retailers in the hardware segment is pure denial.

The major retailers are just hardware supermarkets and the dynamics of shelf space are played out the same way as their food cousins. If you know what budget it takes to get your product on the shelf at eye-height in food supermarkets then you will understand.

You just had to scratch your head when first Hills and then GMC purchased the Triton brand. A major part of Triton's success was the common evangelical enthusiasm of George and his customers. Changing company culture almost never works and slotting Triton's ethos into either the Hills or GMC businesses was very brave (or foolish).

thanks for the knowledge sinsei....but in Hardware we dont pay for shelf space whereas in groceries you certainlyl do. I have worked in both industries and whilst there is things that compare much of what they do are different...

Well all is said and done, the poor employees of this company are the ones who will suffer first. Where are they on the list of people being paid out if they go bust? Talking to a mate of a mate who knows one of the guys I think in the warehouse (Triton or GMC not sure) says a couple employees are overseas and some from other places. Will the company help these people return to their lives in Australia or wherever? You'd think they'd want their due monies first wouldn't you.

I hope it works out for the employess.

Good point . . . Without us I doubt there will be a him either

Originally Posted by cagga

eagle & boys if you are keen page 43 of yesterdays Aust Fin Review - Business for Immediate Sale - GMC Worldwide Pty Ltd.

Interesting what will happen to the Tool Workshop on Sydney Rd that sells all GMC stuff ex warranty & 2nds goods???
Some bargains to be had for the chrismas tree i reckon.

All is good with our OS Buddies. They are already started their way back

All employees are near the top of the pecking order when it comes to claiming entitlements . . . . PHEW!

Originally Posted by COS

Well all is said and done, the poor employees of this company are the ones who will suffer first. Where are they on the list of people being paid out if they go bust? Talking to a mate of a mate who knows one of the guys I think in the warehouse (Triton or GMC not sure) says a couple employees are overseas and some from other places. Will the company help these people return to their lives in Australia or wherever? You'd think they'd want their due monies first wouldn't you.

I hope it works out for the employess.

Originally Posted by echnidna

Sadly the demise of GMC means lower competition which will translate to higher prices across the board.

Higher prices no doubt but also the possibility of higher average quality too


Ross

Originally Posted by echnidna

IMHO M10 and Home saw the market established by gmc for economical tools and introduced their own house brands.

Isnt that called competition ?


Ross

Originally Posted by Different

Higher prices no doubt but also the possibility of higher average quality too


Ross

When has less competition ever led to higher quality?

Originally Posted by switt775

When has less competition ever led to higher quality?

Simple if a large supplier of low quality products goes belly up then the average quality of what is then available goes up. The key word here is average!
No doubt only for a short time untill some other manufacturer of cheap tools fills the void.


ross

Sorry to see GMC in a bit of strife and hopefully it will all turn out for everyone concerned including staff and customers.

I personally don't have any GMC tools (apart from Triton Superjaws) however I know that GMC and other budget manufacturers have enabled a lot of woodworkers to get started which is fantastic.

Some woodworkers are satisfied with this equipment and others develop further and save to purchase more accurate and substantial equipment.

No matter which is the case, their appearance in the market place has been very good for these reasons.