Australia’s Couriermail looks into the back story of The Brothers Neilsen chain of surf shop and what could drive a successful business into collapse. While the brothers aren’t really talking, others seem to point to the vertical integration of the action sports fashion world.
“You could call it the perfect storm,” the former international surfing champion [Paul Neilsen] said of the factors that combined to sink the multimillion-dollar Queensland business. “I don’t want to comment further about it, except that I’m not blaming anyone,” said the 56-year-old Godl Coast company director.
According to an industry insider and former shop owner, vertical integration (control from manufacture to retail) by leading surf brands such as Quiksilver, Billabong and Rip Curl is “putting the squeeze” on smaller independent operators.
And from the retailers’ perspective we know exactly what this “industry insider” is talking about.
[Link: Couriermail.com.au]
