Ben Franklin (company)

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A Ben Franklin Store in Middlebury, Vermont.

Ben Franklin is a chain of five and dime discount stores found in small towns throughout the United States currently owned by Promotions Unlimited. They are organized using a franchise system, with individual stores owned by independent proprietors. It was perhaps the first retail franchise, starting in 1927. They are named after Benjamin Franklin, taking a cue in their merchandise offerings from Franklin's saying, "A penny saved is a penny earned."

History[edit]

Origins[edit]

The chain originated in Boston in 1877 as Butler Brothers, a mail-order wholesaler selling general and variety-store items. At the turn of the 20th century, Butler Brothers had over 100,000 customers in the United States. As variety stores were penetrating their market, the company founded the Ben Franklin chain, which sold in 1959. At Ben Franklin's peak the chain had 2,500 stores nationwide.

Walmart founder Sam Walton started in retailing operating a Ben Franklin store. In 1973, Michael J. Dupey converted a Ben Franklin store to start the Michaels chain in Texas.

Duke & Ayres[edit]

Ben Franklin Stores purchased Texas retailer Duke & Ayres in the early 1970s. Duke & Ayres was a chain of 5 and 10 cent stores based in Dallas, Texas, with stores that were located throughout the state from approximately 1910 to 1990.

Bankruptcy[edit]

The chain had functioned largely as a wholesaler of variety and craft merchandise sold to its franchisees under the name Ben Franklin Retail Stores Inc. In the early 1990s it began opening its own stores. Those stores were not successful, and their financial problems ultimately interfered with the chain's ability to deliver goods to its franchisees, 860 locally-owned stores in 47 states. [1] The company went bankrupt and closed these stores in 1996–1997.

Promotions Unlimited[edit]

Promotions Unlimited had stepped in as a supplier for many Ben Franklin franchisees during the corporation's descent into bankruptcy. It acquired the name of the chain in 1997 as the old corporate entity was moving into Chapter 7. It has continued operating as a distributor servicing individual franchisees and advertising the products sold there through direct mail services and newspaper inserts. The chain comprises about 209 craft stores and 123 variety stores, the latter being akin to five and dimes. Promotions Unlimited provides similar advertising and promotional services for thousands of other retail stores unaffiliated with Ben Franklin Stores.

Retail focus[edit]

Ben Franklin Variety stores carry household items, sundries, seasonal products, crafts, food and snacks, health and beauty aids. Some stores also provide services like pharmacies or custom framing departments and stores are also full-line grocery, drug, or hardware stores.

Ben Franklin Crafts stores carry creative products like needlecrafts, florals, wicker, paints, fabrics, yarn, and offer services like custom framing, craft classes, and the Ben Franklin Crafts Club.

The company logo, a key giving off a spark, refers to Franklin's famous experiment to prove that lightning was a form of electricity using a key suspended from a kite.

References[edit]

  • Sandra S. Vance and Roy V. Scott "Butler Brothers and the Rise and Decline of the Ben Franklin Stores: A Study in Franchise Retailing." Essays in Economic and Business History: Selected Papers from the Economic and Business Historical Society, East Lansing: Division of Research, Graduate School of Business, Michigan State University 11 (1993), pages 258-271
  • Mexia Blackcats 1959: Duke & Ayres
  • www.benfranklinstores.com/about_ben_franklin.asp
  1. ^ Kavita Kumar (8 September 2012). "Ben Franklin store, a throwback to the five-and-dime, finally closes". STLToday. Retrieved 28 September 2012. 

External links[edit]