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Lechmere

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Lechmere
Company typeSubsidiary (former)
IndustryRetail
FoundedJanuary 1, 1913; 113 years ago (1913-01-01) in Cambridge, Massachusetts, United States
FounderAbraham Cohen
DefunctNovember 7, 1997 (1997-11-07)
FateClosed following parent company bankruptcy and liquidation
SuccessorNone
Headquarters
Cambridge, Massachusetts
,
United States
Area served
New England, Alabama, Georgia, New York, North Carolina
Key people
Abraham Cohen (founder), C. George Scala (CEO from 1980)
ProductsConsumer electronics, appliances, general merchandise, sporting goods, housewares, tires
ParentDayton Hudson Corporation (1968–1989), Berkshire Partners (1989–1994), Montgomery Ward Holdings (1994–1997)

Lechmere[lower-alpha 1] was a retail chain based in the United States, established in 1913 by Abraham Cohen. The brand took its name from the Lechmere Square area in Cambridge, Massachusetts, where its inaugural store was situated. Initially operating as a harness shop, the business expanded over time to include tires, electronics, and a broad assortment of general merchandise. While the majority of its outlets were concentrated in New England, Lechmere also operated stores in states such as Alabama, Georgia, New York, and North Carolina. The chain ceased operations following the bankruptcy and liquidation of its parent company, Montgomery Ward, in 1997.

History

The enterprise began in 1913 when Abraham Cohen, an immigrant from Russia, acquired a harness shop located in Cambridge, Massachusetts.[1][2] Cohen renamed the establishment Lechmere Harness Shop after the Cambridge neighborhood of Lechmere Square where it was based.[2] With the rise of automobile use over the following decade, the store diversified into tire sales and adopted the name Lechmere Vulcanizing Company.[2] After World War II, Cohen’s children—Maurice, Philip, Norman, and Nan—joined the firm and expanded its product offerings to include consumer appliances. In 1948, the business was incorporated under the name Lechmere Tire & Sales Company.[2] During the 1950s, the inventory grew to encompass household items, televisions, luggage, sporting goods, toys, and garden supplies.

File:Vintage Advertising For The Jewel Model T.S.-10 Transistor Radio In A Lechmere Store Ad In The Boston Globe Newspaper, June 27, 1962 (32857642478).jpg
A 1962 advertisement for a transistor radio at Lechmere

In 1956, the original store relocated to a renovated former bus garage at 88 First Street in Cambridge, allowing further expansion of product lines. During this decade, Lechmere also initiated television advertising campaigns and adopted a pricing strategy where all prices ended with "88," reflecting its street address.[2] The First Street location was enlarged in 1962 into a 100,000 square feet (9,300 m2) retail space that introduced additional categories such as office equipment, jewelry, and hardware. A second outlet commenced operations on November 1, 1965 in Dedham, Massachusetts.[3]

Acquisition by Dayton's

In 1968, seeking to accelerate expansion, the Cohen family sold the retail chain to Dayton's, a department store headquartered in Minneapolis, Minnesota. Shortly following the acquisition, the parent company was renamed Dayton Hudson Corporation, which later evolved into what is now known as Target Corporation. Dayton chose to operate Lechmere as an independent subsidiary, largely allowing the Cohens to continue managing daily operations. Leveraging the backing of Dayton Hudson’s resources, Lechmere launched new locations in Danvers and Springfield. The well-known logo that became synonymous with the brand was unveiled in the fall of 1970 and remained in use until the stores closed.

The Cohens maintained operational control over Lechmere until their retirement in the mid-1970s. After their departure, the product assortment shifted toward a discount department store format. Facing a downturn in sales, the chain responded by reducing prices. Additional stores opened in Manchester, New Hampshire in 1977 and Framingham, Massachusetts in 1978.

Lechmere was recognized for pioneering several retail innovations such as discount pricing and implementing a centralized pick-up counter designed to enhance customer convenience. Their merchandising approach involved offering products at various price levels to appeal to a broad customer base. Notably, prices for major appliances were encoded, requiring shoppers to consult sales staff for exact costs. A distinctive annual event was the Washington's Birthday sale, featuring promotional items like 22-cent cherry pies to attract shoppers.

Despite expanding its footprint with new outlets, Lechmere’s revenue continued to decline until 1980 when C. George Scala assumed the role of CEO. He revamped the merchandise strategy once more, focusing on housewares, appliances, sporting goods, electronics, and music products. In 1981, the company formally shortened its name to Lechmere, Inc. The retailer also extended its reach beyond New England into markets such as Charlotte, North Carolina, Birmingham, Alabama, and Atlanta, Georgia. Between 1983 and 1988, annual sales surged from approximately $200 million to over $700 million, while operating profits increased from about $19 million to $22 million.

Decline and liquidation

In 1989, the retail chain was acquired from Dayton Hudson by Berkshire Partners alongside Boston-based mall developers Steve Karp and Steve Wiener. As part of this transaction, outlets located in the Southeastern United States were shut down. In 1992, the company prevailed in the Lechmere, Inc. v. NLRB case before the Supreme Court, which prohibited union organizers from accessing their premises. Two years later, in 1994, Berkshire Partners sold Lechmere to Montgomery Ward Holdings for a sum exceeding $200 million (approximately $Template:Format price adjusted for inflation).

On August 1, 1997, Montgomery Ward declared it would close all remaining Lechmere stores as part of its bankruptcy restructuring efforts. At that point, 27 stores were still operational, with 20 located in New England and 12 of those within Massachusetts. Additionally, all six "Home Image by Lechmere" specialty stores ceased operations simultaneously. The final day of business for every Lechmere location was November 7, 1997, marking the end of the consumer electronics retailer’s presence.

Notes

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References

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External links

Template:Montgomery Ward


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