GREENGROCER and gourmet providore The Herdsman has shut the doors of its city store just 14 months after launching the CBD outlet at the base of the one40william building.
The store was carefully designed to service time-poor city workers with a large selection of ready-to-eat meals, but weak sales have forced the retailer to close its city business.
The Herdsman chief executive Jim Fraser did not want to make any comment on the store closure, saying only the matter was “too raw” to discuss.
However in a statement on its website the retailer said that, due to a lack of sales, it was not able to sustain keeping the 140 William Street site trading.
The street has been marred by construction and road works in the past year, which have discouraged pedestrian traffic and potentially reduced walk-up trade.
Retail spending is also historically weak and the store’s location away from the big office populations on St Georges Terrace may also have contributed to the outlet’s poor performance.
The Herdsman’s decision to open a city store was many years in the making and a carefully considered expansion.
In 2008, the retailer abandoned plans to open a second store in the upmarket Claremont Quarter shopping centre, citing concerns about the impact of the economic downturn on spending.
The operation’s landmark Churchlands store has been trading for more than 30 years and draws customers from across the western suburbs.
But retail analysts suggest the location of The Herdsman city store was to blame for its poor performance.
Burgess Rawson sales and leasing consultant Michael Roberts said The Herdsman concept was a great idea and there was good demand for take-away food and groceries in the CBD.
He said its location put it on the “ant trail to the train station”, but being a bit removed from the main malls and the core office population around St Georges Terrace meant it missed out on that vital passing trade throughout the day.
“There is demand for that type of product but not necessarily in the city, we have a few clients looking for good locations for gourmet food stores and these are all very experienced operators,” Mr Roberts said.
“They feel that kind of market is strong with everyone going towards organic produce.”
