Northland Age
  • Northland Age home
  • Latest news
  • Sport
  • Rural
  • Opinion
  • Kaitaia weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • Sport
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology

Locations

  • Far North
  • Kaitaia
  • Kaikohe
  • Bay of Islands
  • Whangārei

Weather

  • Kaitaia
  • Whangārei
  • Dargaville

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • What the Actual
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / Northland Age

Editorial: This is making a better community?

By Peter Jackson
Northland Age·
28 Nov, 2016 11:30 PM7 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

Peter Jackson, editor, Northland Age.

Peter Jackson, editor, Northland Age.

Big box stores are a fact of life these days. And there is obviously a place for them.

But plans by The Warehouse to open a 'pop up' store in Kawakawa over the coming summer go well beyond the pale.

The Warehouse in Kaitaia, as elsewhere, boldly states that it is 'Partnering with you to make a better community.' And to be fair, the company does make some effort to be a good corporate citizen, but raiding a tiny Far North town over the busiest retail months of the year says something else altogether.

Keeping a business going in any small town is not easy, and in many cases depends upon a few months of the year when customers are at their most abundant.

Kawakawa might not be quite as vulnerable as some small communities, thanks to the impact of the Bay of Islands Vintage Railway and the Hundertwasser toilets, although it is unlikely that many people travel there specifically to see those attractions.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.

Even if the train and toilets do have real pulling power, this decision will still harm local businesses at that time of the year when they can expect to do well.

The Warehouse obviously believes there is money to be made in Kawakawa over the summer, and that money can only be made at the expense of those who keep their doors open every day of the year, rain, hail and shine, the people who pay rates and wages, who support the community in all sorts of ways, from sponsoring children's sports teams to staging the Halloween Trail.

And most importantly just by being there when they are needed.

Advertisement
Advertise with NZME.

To its credit, The Warehouse has reportedly listened to local concerns and requests regarding what it will and will not stock.

The plan seems to be that only goods that are not available from local retailers will be offered. That remains to be seen.

The decision is further open to question given that The Warehouse already has permanent stores in Waipapa and Kaikohe; adding a temporary outlet in Kawakawa really does seem like a case of making as much hay as possible while the sun shines, and that can only be done at the expense of local retailers.

Whatever concessions are made to avoid competing directly against local retailers, it is hardly surprising that Kawakawa's business community won't be rolling out the red carpet.

It is equally unsurprising that some prospective Warehouse customers are reportedly delighted.

That's always been the problem for small communities when it comes to co-existing with big box stores - the latters' enormous advantage in terms of purchasing power is generally welcomed by customers who, understandably, will go where the prices are lowest, and often, just as importantly, the selection is greatest.

Any appreciation of the fact that by spending their money with an out-of-town competitor they are harming the businesses they depend upon to keep their towns alive doesn't seem to last long.

Even when locally-owned businesses do manage to hold their own, as with some notable exceptions has largely been the case in Kaitaia, cheaper doesn't always represent best value for a town in its entirety.

In Kaitaia The Warehouse has a large, comprehensively stocked, brand new store, with Noel Leeming immediately adjacent.

One cannot help but wonder how many locally-owned businesses would be doing better, or could establish themselves, without that competition.

Advertisement
Advertise with NZME.

Kaitaia's issue is exacerbated by the fact that The Warehouse has built on the northern edge of the town, well outside the traditional CBD (if that is not too grand a term), just across the road from the community's only supermarket, also built brand new a few years ago, and a brand new McDonald's.

There were clearly good reasons for all three shifting there, in terms of the space available in their former locations, but that conglomeration of big businesses has not done the town's main street any favours.

The Warehouse, Pak'nSave (locally-owned) and McDonald's all have the ability to take their customers with them though.

Their mission is to maximise patronage and profits, and all have invested heavily to do so, and effectively gutting the main street has not hurt them. Nor is it likely to bother them.

It has long been recognised, in Kaitaia's case, that the drawing of customers away from Commerce Street could actually offer the local businesses there the motivation to evolve by turning the street into some sort of mall.

That is an opportunity that the business community really should be considering now.

Advertisement
Advertise with NZME.

The other advantages that small businesses often have are product knowledge and the ability to provide a level of before- and after-sale service that big box stores might not be able to match.

That opportunity has been exploited by some in Kaitaia, not so much by others, but remains one of the few effective tools the local has with which to fight big opposition.

At the end of the day it's price and product range that make the difference though, and while some customers might be able to afford to assiduously support their local businesses, most will generally shop where their money goes furthest and the choice is best.

It's worth noting though that the big box stores don't always offer especially significant discounts, if at all.

The perception that a big store will always be cheaper than a small, locally-owned one is not necessarily well-founded; it still pays to shop around, as it always has.

None of that really applies to Kawakawa's situation.

Advertisement
Advertise with NZME.

There could be few complaints if The Warehouse was planning to open there permanently, but moving in to make the most of the busy season and getting out once the bonanza is over, as one Kawakawa businessman has described it, amounts to "plundering the place."

Will it result in more empty shops? Quite possibly.

It is difficult not to believe that at least some of the empty premises that are now sprinkled around Kaitaia's main street would still be open if it wasn't for big box opposition.

And how many of those empty shops would have found new tenants if prospective retailers had not come to the conclusion that they would not be able to compete against the opposition that decimated the previous operators' customer bases?

For example, it's unlikely that Kaitaia will ever be home to a locally-owned shoe shop again.

There used to be a couple of them, the last one standing calling it quits years ago after The Warehouse unveiled a container load or two of school shoes, costing it the one profitable week or two of the year that had enabled it to survive.

Advertisement
Advertise with NZME.

New Zealand's small towns might not have suffered to the same extent that some of its US counterparts have at the hands of Walmart, which in many cases dominates small business communities to the point where locally-owned enterprises have been driven to extinction, but there is no doubt that the sometimes cheaper prices, and perhaps more importantly greater choices, that big box stores are offering in this country have done more harm than good to many communities.

That has to be balanced against the fact that however loyal some customers might wish to be, the ability to acquire goods that would otherwise be beyond their means has real value to them, and arguably to their communities.

It's worth remembering though that short-term price and long-term value are not necessarily the same thing, and that as good as the shopping might be, not every purchase represents a bargain.

Save

    Share this article

Latest from Northland Age

Northland Age

'Doctor-less' hospital: Alarm raised after stroke patient assessed by telehealth

09 May 05:00 PM
Northland Age

Stunning art on show at Whangārei's Sculpture Northland this weekend

09 May 01:27 AM
Northland Age

Sculpture Northland images

One tiny baby’s fight to survive

sponsored
Advertisement
Advertise with NZME.

Latest from Northland Age

'Doctor-less' hospital: Alarm raised after stroke patient assessed by telehealth

'Doctor-less' hospital: Alarm raised after stroke patient assessed by telehealth

09 May 05:00 PM

Sharon's husband was assessed via a digital consult with a US-based doctor after a stroke.

Stunning art on show at Whangārei's Sculpture Northland this weekend

Stunning art on show at Whangārei's Sculpture Northland this weekend

09 May 01:27 AM
Sculpture Northland images

Sculpture Northland images

Mayor backs hapū in Bay of Islands marina battle

Mayor backs hapū in Bay of Islands marina battle

08 May 04:35 AM
Connected workers are safer workers 
sponsored

Connected workers are safer workers 

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • The Northland Age e-edition
  • Manage your print subscription
  • Manage your digital subscription
  • Subscribe to Herald Premium
  • Subscribe to The Northland Age
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The Northland Age
  • The New Zealand Herald
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • What the Actual
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven CarGuide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP