retail news in context, analysis with attitude

In Ireland, the Independent reports that the nation’s Competition Authority has approved the acquisition of iconic retailer Superquinn by Musgrave, concluding that the purchase will not have a negative impact on consumers there.

The purchase of Superquinn will cost Musgrave the equivalent of $350 million (US).

According to the story, “The decision will create a grocery business with a market share roughly as big as Tesco's in Ireland and bigger than that of Dunnes Stores. It also secures in the region of 3,000 jobs,” though turning the company around will be an enormous challenge for Musgrave.

Superquinn was sold by founder Feargal Quinn to a consortium of investors in 2005. Select Retail Holdings hoped that they would be able to secure better real estate in order to make Superquinn more effective, but a worsening economy and tougher competitors worked against the new owners.
KC's View:
In addition, the new owners lacked Feargal Quinn’s magic touch with marketing, merchandising and people skills. Hopefully, Musgrave can recapture a little bit of that ... though it won’t be easy.