‘Once it’s gone, it’s gone’: Home shopping network TVSN prepares to shut down
Specialist home shopping broadcast network TVSN has kept suppliers in the dark about its impending closure as it announces a shutdown sale beginning Tuesday after its parent company failed to find a buyer to keep the channel running.
TVSN, which has been free-to-air for over three decades and advertises hundreds of fashion, homewares and accessories through Seven Network’s channels as well as its own livestream, urged customers to stock up on Christmas gifts as the business prepares to wind up operations.
“Direct Group, the owner of TVSN, has spent recent months seeking new investment or a buyer for the business. Unfortunately, it has not been possible to secure a transaction that would allow TVSN to continue in its current form,” an email sent to customers on Sunday and Monday, seen by this masthead, said.
“Absent finding such a buyer, the board expects to close TVSN.”
A closing-down sale will begin on Tuesday to liquidate stock, but the sale will end if a buyer is found, the email continued. Customers were urged to use their gift cards, vouchers or store credit.
“We recommend shopping early as quantities are limited and there will be no restocks. Once it’s gone, it’s gone.”
Two suppliers, who spoke to this masthead, said they were not directly informed of the closure and are owed thousands of dollars by the shopping network that they fear they will never get back.
Alison Lennard, the owner of women’s fashion label Philosophy Australia, said TVSN was her biggest wholesale client and owed tens of thousands in unpaid invoices.
“This is a significant loss. I’m already feeling very volatile for my business plan going forward,” Lennard told this masthead. “I have no idea whether there is any possibility of recovering that money, or even whether I’ll be able to access the stock of mine that they are currently holding.”
Over the past few months, TVSN has become slower at paying outstanding invoices. Despite that, it had attempted to place a fresh order just last week, she said.
“I don’t think I’ll end up getting anything out of them. Apparently, the creditors’ list is going to be substantial,” she said. “To be honest, I feel sick. It’s the worst news I could have received.”
TVSN, which has been airing since 1995, is owned by direct-to-consumer retailer Direct Group, which targets customers over 45 years old and also publishes Reader’s Digest Australia. The two companies and Direct Group chairman and TVSN director Bernie Brookes, a former chief executive of Myer, were contacted for comment.
More to come.
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