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Draft:Norman Robert Tieck

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Norman Robert Tieck
Born(1916-02-02)February 2, 1916
Leichhardt, Sydney, New South Wales, Australia
Died2001 (aged 84–85)
NationalityAustralian
Occupation(s)Businessman, retail pioneer
Years active1938–1979
Known forCo-founding Franklins supermarket chain, introducing "No Frills" brand

Norman Robert Tieck (February 2, 1916 - 2001)[1] was an Australian businessman and retail pioneer. In 1954, as a director of Sargents Ltd., Tieck, along with Harold Cornock, acquired Franklins, a Sydney-based grocery chain. Under their leadership, Franklins developed into Australia's first discount supermarket chain, expanding from 10 stores at acquisition to 75 stores by 1978.[2]

In 1978, under Tieck's leadership, Franklins introduced the No Frills brand, Australia's first generic supermarket brand.[3]. Tieck's innovative approach to retail, focusing on a No frills business model and low prices, significantly impacted the Australian grocery industry. This innovation, along with Tieck's overall business strategy, helped shape modern supermarket practices in Australia and influenced retail trends across the industry.[4]

Early life and career

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Norman Robert Tieck was born on February 2, 1916, in Leichhardt, an inner suburb of Sydney, to Karl Ludwig Tieck and Maude Adeline Victoria Mace.[5] His father, Karl Tieck, had migrated from Germany around 1910 and operated a shoe repair shop in Five Dock, Sydney.[6]

Tieck's formal education ended at age 13 when he left Petersham Boys High School in 1929.[6] He began his career at Edwards Dunlop & Co., where he started in the office and studied accountancy in his spare time.[6]

Business career

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Early experience

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In 1938, at the age of 22, Tieck joined Woolworths Group (Australia) as their youngest trainee manager.[7] He quickly rose through the ranks, spending a year as a trainee, five years managing stores, and two years as a buyer. Tieck managed various city and country stores, including locations in Oxford Street, Sydney, Rockdale, Newcastle West, and Wollongong.[8]

Grocery & General Merchants Ltd

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In 1950, Norman Tieck was appointed general manager of Grocery & General's metropolitan store section.[9] Norman and his business partner Harold Cornock traveled to the United States to study developments in the industry abroad.[10]

In 1951, Tieck opened Australia's first supermarket in Hurstville on December 20.[11]

In 1952, Tieck became managing director of Grocery & General Merchants Ltd and its 36 subsidiaries.[9][12] He successfully rescued and rehabilitated the company, which had been facing significant financial difficulties. Under his leadership, the company returned to profitability within two years.[9]

Founding of Franklins

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In 1954, Tieck and his business partner Harold Cornock purchased all ten Franklin stores from Frank Lindstrom for approximately $15000-$20000, marking the beginning of Franklins Stores Pty Ltd.[2][13]

Under their leadership, Franklins rapidly expanded and became known for its no-frills approach and low prices. Key milestones in Franklins' growth include:

  • 1958: Acquisition of Oram's chain of 17 service groceries.[14]
  • 1960: Acquisition of McEwans chain of 10 stores.[14]
  • 1963: Purchase of five Big A food stores, bringing the total to 61 stores.[14]
  • 1978: Introduction of the No Frills brand of groceries.[3].

By 1979, Franklins had grown to 80 stores within a 20-mile radius of Sydney and achieved annual sales of $300 million.[15][16]

By 1982, Franklins stores had gained a reputation for offering competitive prices on grocery items, contributing to Sydney's status as the most affordable capital city for food in Australia.[17]

Sale of Franklins

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In 1979, Tieck and Cornock sold Franklins to the Hong Kong Dairy Farm Group for $33.6 million.[18][19][20] The decision was made to ensure a wider and more permanent base for the business beyond family ownership.[21][22]

Business philosophy and impact

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Tieck's business philosophy centered on offering low prices through a no-frills operation. Key aspects of his approach included:

  • Focusing on packaged goods, avoiding fresh meats and produce[23]
  • Maintaining a no-advertising policy to keep costs down[24][25]
  • Introducing the "No Frills" generic brand[24]
  • Emphasizing simplicity and clear communication in business dealings[26]
  • Prioritizing integrity and honesty in all business transactions[26]
  • Avoiding borrowing money or mortgaging assets[26]

This approach significantly influenced the Australian retail landscape, with Franklins consistently rated as the cheapest grocery chain in Sydney.[27]

Later career and ventures

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After selling Franklins, Tieck established The Gwynvill Group with his sons Garry and Paul.[28][29] Through this company, he engaged in various business ventures:

Property development

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Cordeaux Heights: A 440-acre development near Wollongong, resulting in 1,000 suburban dwellings[30]

Shopping center developments in Moorebank, Chester Hill, and Hillsdale (Southpoint)[31]

International ventures

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Jacksonville, Florida: Property development projects in the United States[32]

Payless Shoes: A joint venture with Graeme Skilbeck to establish a chain of shoe stores in Australia[33]

Community involvement

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Tieck was active in various community and advisory roles:

  • 1977-1979: Member of CSIRO State Committee in New South Wales[34][35]
  • 1979-1982: Following his departure from Franklin's, Norman Tieck was appointed to the newly formed Canberra Development Board in August 1979. This appointment recognized his significant business experience, having built Franklin's turnover from $300,000 to $300 million over 26 years.[36]
  • 1986-1993: Director of ANUTECH Pty Ltd, the research organization of the Australian National University. In March 1987, he was appointed as a director of ANUTECH Pty Ltd, the research organization of the Australian National University.[38][34]

Personal life

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Tieck married Jean Albon Bowmaker on August 28, 1941.[39] They had three children: Garry (born 1944), Paul (born 1946), and Beverley Jean (born 1948).[40]

In his personal life, Tieck lived in Lane Cove, enjoyed fishing and gardening, and was known to cut his own grass. He drove a two-door Chrysler and occasionally gambled at the American Club.[41]

Recognition and legacy

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In 1984, Franklins was honored as one of the six inaugural members, worldwide, of the US Food Marketing Institute's International Hall of Fame in Dallas, Texas.[42] This recognition highlighted the significant impact Tieck and Franklins had on the retail industry both in Australia and internationally.

Norman Tieck's career, particularly his success with Franklins, established him as a significant figure in Australian retail history. His innovative approach to retail management and accurate predictions about industry trends influenced the development of the Australian supermarket landscape.

In December 1997, Tieck resigned as chairman and director of all Gwynvill Group companies, passing the business to his sons Garry and Paul.[43]

See also

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History of Retail

Supermarkets in Australia

Franklins

References

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  1. ^ Stephens, Eric. No Frills: Pages from the Life of Norman Tieck. Sydney: Self-published, 1999, p. 9. (Birth date) Cumming, G.H. "Bro. Norman Robert Tieck (1916-2001)." Masonic Historical Society of NSW, Paper No. 117, 21 March 2005. https://linfordresearch.info/fordownload/Masonic%20Hist%20Soc%20NSW/Paper%20No.117%20-%20Bro.%20Norman%20Robert%20Tieck%20%281916-2001%29.pdf. Accessed September 5, 2024. (Death year)
  2. ^ a b "Franklins founded". Australian Food Timeline. 18 September 1940. Retrieved September 5, 2024. In 1954 the chain was bought by the caterers Sargents Ltd., with directors Harold Cornock and Norman Tieck. They developed it as Australia's first discount supermarket chain. By 1978, when they sold the business to Hong Kong based Dairy Farm International, there were 75 Franklins supermarkets.
  3. ^ a b "No Frills (brand)". Wikipedia. Retrieved September 5, 2024. No Frills was established in 1978 by the Australian supermarket Franklins. It was the first generic brand in Australia. Originally the No Frills brand was only used on peanut butter, honey and chips. Coverage was later expanded to over 800 different products.
  4. ^ "Franklins". Wikipedia. Retrieved September 5, 2024. In retaliation, Woolworths later launched "Home Brand" and Coles launched "Scotch Buy" (later rebranded as "Savings"). Around this time, Bi-Lo began operations in Adelaide, using a similar format to Franklins.
  5. ^ Stephens, Eric (1999). No Frills: Pages from the Life of Norman Tieck. Sydney: Self-published. p. 9.
  6. ^ a b c Stephens, Eric (1999). No Frills: Pages from the Life of Norman Tieck. Sydney: Self-published. p. 11.
  7. ^ Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 41.
  8. ^ Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 43.
  9. ^ a b c Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 335.
  10. ^ "Here's a break for "Mrs. Sydney" (Her shopping will be streamlined)". The Daily Telegraph. Sydney, NSW. 1951-12-02. p. 11. Retrieved 2024-09-06 – via Trove. The new supermarket is in charge of a bright young man named Norman Tieck, who went to America to see what it was all
  11. ^ "Here's a break for "Mrs. Sydney" (Her shopping will be streamlined)". The Daily Telegraph. Sydney, NSW. 1951-12-02. p. 11. Retrieved 2024-09-06 – via Trove. For next Friday Hurstville will see the opening of Australia's first "supermarket" — an idea taken from the United States.
  12. ^ "Shareholders critical at company meeting". The Daily Telegraph. Sydney, NSW. 1952-12-12. p. 6. Retrieved 2024-09-06 – via Trove. Mr. Norman Tieck, recently appointed managing director, said that the company had always met its commitments. He said the company was again trading profitably.
  13. ^ "'No Frills' built grocery giants a fortune". The Sydney Morning Herald. Sydney, NSW. 1979-07-22. p. 13. Retrieved 2024-09-06 – via Newspapers.com. The two partners, who paid between $15,000 and $20,000 for 10 Franklin's Stores' back in 1955, are selling out to the Dairy Farm Ice and Cold Storage Co, a wholly owned subsidiary of Hong Kong Land.
  14. ^ a b c Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 333.
  15. ^ Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 247.
  16. ^ "Melbourne broker leads growth body". The Canberra Times. Canberra, ACT. 1979-08-16. p. 1. Retrieved 2024-09-06 – via Trove. Mr Norman Tieck, of Sydney, who was, until recently, joint owner and chairman of the Franklin's chain of stores and helped build its turnover from $300,000 26 years ago to $300 million. He is the second interstate appointee on the board.
  17. ^ "Cut prices on fruit, vegetables, by George!". The Australian Jewish Times. Sydney, NSW. 1982-12-02. p. 15. Retrieved 2024-09-06 – via Trove. This is borne out by the success of grocery operators such as Franklins stores, who provide a really good deal in dry grocery goods and have led the way in making Sydney the cheapest capital for food in Australia.
  18. ^ "The Tieck family". Australian Financial Review. 6 April 1990. Archived from the original on 2024-09-06. Retrieved 2024-09-06.
  19. ^ Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 334.
  20. ^ "DFI Retail Group". Wikipedia. Retrieved 2024-09-06. In 2001, the company sold the 287-store Franklins chain in Australia which it acquired in 1978.
  21. ^ Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. pp. 237–238.
  22. ^ "'No Frills' built grocery giants a fortune". The Sydney Morning Herald. Sydney, NSW. 1979-07-22. p. 13. Retrieved 2024-09-06 – via Newspapers.com. Five years ago, Tieck and Cornock decided that Franklin's must be an ongoing business. Should one of them die, probate problems would arise and the other family might not want to continue alone.
  23. ^ Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 226.
  24. ^ a b Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. p. 249.
  25. ^ "'No Frills' built grocery giants a fortune". The Sydney Morning Herald. Sydney, NSW. 1979-07-22. p. 13. Retrieved 2024-09-06 – via Newspapers.com. There is no piped music or air-conditioning and the company never advertises except in its own windows.
  26. ^ a b c Stephens, Eric (1999). No Frills: Pages From The Life Of Norman Tieck. Sydney: Self-published. pp. 272–273.
  27. ^ Cite error: The named reference franklins_growth was invoked but never defined (see the help page).
  28. ^ "Financial Review Rich List 2023", Wikipedia, 2024-10-07, retrieved 2024-10-09
  29. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 292.
  30. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 294-295.
  31. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 296-298.
  32. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 276-277.
  33. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 287-290.
  34. ^ a b Stephens, E. (1999). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 334-335.
  35. ^ "THE SATURDAY PAGE". The Canberra Times. Canberra, ACT. 1983-06-18. p. 13. Retrieved 2024-09-06 – via Trove. Both were later members of CSIRO's NSW advisory committee; Mr Whiffen chaired the energy committee.
  36. ^ Andrews, Ross (1979-08-16). "Melbourne broker leads growth body". The Canberra Times. Canberra, ACT. p. 1. Retrieved 2024-09-06 – via Trove. Mr Norman Tieck, of Sydney, who was, until recently, joint owner and chairman of the Franklin's chain of stores and helped build its turnover of $300,000 of 26 years ago to $300 million. He is the second interstate appointee on the board.
  37. ^ "Members appointed to planning committee". The Canberra Times. Canberra, ACT. 1985-11-16. p. 11. Retrieved 2024-09-06 – via Trove. Mr Norman Tieck has been named one of two members with special qualifications. Another will be named soon.
  38. ^ "Annual Report 1988 - The Australian National University". Parliament of Australia. Australian Government. p. 247. Retrieved 2024-09-06. Norman Robert TIECK Investor. Experienced in retailing, property and finance Member Canberra Development Board 7 years Member National Capital Planning Committee Director since March 1987 {{cite web}}: Unknown parameter |note= ignored (help)
  39. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 331.
  40. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 331-332.
  41. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 195.
  42. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 335.
  43. ^ Stephens, E. (Year). No Frills: Pages From The Life Of Norman Tieck. Publisher. p. 293.
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