Light, bright makeover for Bond & Bond

Retail chain Bond & Bond is getting a makeover.

New owner Gresham Equity, which bought the chain along with Noel Leeming and Big Byte from Eric Watson's Pacific Retail for $138.5 million last year, is planning to update Bond & Bond's look as well as shift stores from shopping strips to malls and main streets.

Noel Leeming Group chief executive Nick Lowe, who was appointed by Gresham and joined the group in September, said stores in Queen St and Moorhouse Avenue in Christchurch would debut the new look early next month.

"We've looked at the strategy of both major brands, Noel Leeming and Bond & Bond, and for Noel Leeming we're pretty much where we need to be ... but we're just in the process of redefining Bond & Bond."

He said the chain's identity would be made over with a lighter, brighter look after the company found significant differences between shoppers attracted to Bond & Bond, and those buying at Noel Leeming.

"Bond & Bond customers tend to be a bit younger, more into technology," he said.

An exclusive distribution deal announced last week, which will see Fisher & Paykel appliances supplant all other brands except US alliance partner Whirlpool in Noel Leeming stores, would also help define the separate identities of the two chains. Bond & Bond would carry brands such as Haier, Simpson, Samsung and Mitsubishi.

Lowe hopes that move will help boost market share for appliances across the group, which have been held back by its lack of access to Fisher & Paykel. That was less than 20 per cent, even though the group's chains enjoy market share of 25-30 per cent excluding appliances.

Apart from the Fisher & Paykel deal and the rebirth of Bond & Bond, Lowe said the key strategy adopted since his arrival has been to bring fresh blood into the group, with a new chief financial officer, general manager of operations and general manager of marketing.

"We have brought in the right people at a senior level to take the business forward. It's a good profitable business but with lots of opportunity to improve and grow further," he said.

The group still sees room for a few new stores for both Noel Leeming and Bond & Bond, which have 45 and 34 stores respectively.

Both will get new stores in Te Rapa, north of Hamilton, before the end of the year.

While the chains have only just changed hands, Lowe was not ruling out an eventual opportunity for New Zealand investors to buy back into the brands.

"With any business bought by an equity fund, there's always the likelihood that will happen.

"But we're not even thinking about that at the moment, we're very much looking at moving the business forward and will look at that in due course."