Writing this issue’s Ed’s note straight after the annual BOSS Awards always gives me a warm glow about this industry. This year, in particular, two unexpected moments – one from an award winner and the other from someone collecting on a colleague’s behalf – were a beautiful reminder of what makes this industry so special.
Rising Star winner Volodymyr Pylypenko from Reckitt and Ian Buckley from Prima Software, who accepted the Unsung Hero award on behalf of Norman Hind, both delivered heartfelt, impromptu speeches that struck a chord. Their words brought more than a few misty eyes to the room. It was a night of celebration, community and pride – congratulations to all this year’s thoroughly deserving winners. Find out who took home the trophies on page 50.
Workplace360 CEO Steve Hilleard met with Office Friendly Managing Director Jeanette Caswell for this issue’s In conversation with... Coincidentally, the interview was arranged before the big merger announcement, giving us an exclusive inside scoop!
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Knowledge alone isn’t enough – a loyal, proactive team is the real secret to success
Over at COP29, the mood wasn’t quite as celebratory. These climate summits are always tense, with nations vying for their interests in the ongoing fight against climate change. This year’s negotiations even featured a dramatic walkout during final discussions.
Still, progress, no matter how incremental, is progress. The outcomes from COP talks and their implications eventually ripple through to businesses everywhere. Learn more in Falling short on page 38.
As the saying goes, knowledge is power, and the OPI European Forum, held recently in London, was a treasure trove of insights on AI, sustainability and B2B marketplaces. These topics are shaping the future of our sector, and the event provided plenty of food for thought – read the review on page 26.
These pages are filled with ideas to fuel your growth. Discover how to sell the humble battery more effectively ( Power up profits , page 24), explore fresh opportunities in catering and breakrooms (page 34), and delve into the latest innovations in packaging (page 44).
But knowledge alone isn’t enough – a loyal, proactive team is the real secret to success. In Backchat (page 52), Andrea Eli makes a compelling case for building an exceptional company culture –and offers a few ideas on how to do it.
All that’s left for me to say is enjoy the holidays, and here’s to a successful and exciting 2025.
Michelle Sturman, Editor
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ACS takes stake in Upstream
ACS Group has acquired a 50% stake in fellow reseller Upstream Workplace Solutions. It is a move aimed at offering both businesses extended reach and enhanced services, creating greater value for their customers.
With combined annual revenues of £36 million, the companies will continue to operate independently under their current brand names. However, by combining supply chains and leveraging shared platforms, expertise and added scale, they expect significant improvements in operational efficiencies and purchasing power.
Founded in 2008, ACS – the 2024 European Office Products Awards Reseller of the Year – operates across five divisions (Interiors, IT, Office, Print and MPS) and employs 115 staff. Upstream (formerly OfficeScape) has been in business for just 12 years but has built a strong reputation for delivering innovative solutions that enhance workplace efficiency and productivity. In 2021, it was named Reseller of the Year at the BOSS Awards.
“This strategic alliance will not only enhance our operational efficiency but also open up new avenues for innovation and growth. Together, we are poised to deliver even greater value to our customers and strengthen our competitive edge in the market,” said ACS Group Managing Director Mike Hussain.
Andy Greening, his counterpart at Upstream, added: “ACS and Upstream have demonstrated their appetite to work closely together for the betterment of both companies in the past, and we are looking forward to developing closer ties and exploring a vast range of opportunities in the coming months.”
Another acquisition for BSG
Business Supplies Group (BSG) has confirmed its second acquisition of 2024 shortly after publishing its latest annual financial results. The newest addition to the BSG portfolio is Office IS, a £10 million reseller based in Colchester with around 40 staff and a customer base and delivery network across London. The acquisition closed in August.
Effective 2 April this year, BSG acquired the trade of Talking Business Office Supplies following the decision of the latter’s Director Chris Hills to retire. This deal enabled BSG to open a new office and distribution centre in Slough.
The company affirmed it was on the lookout for more potential acquisition targets as it looks to expand across the UK and strengthen its offering in existing locations. Currently, the business operates out of ten offices and employs almost 200 staff.
CCO Stephen Clare stated: “The businesses we acquire need to be a good fit with our team and culture. This industry is relationship-driven, not contract-driven, so maintaining personal connections and communicating with customers is vital. We are also highly focused on retaining and integrating employees from the acquired businesses, which is crucial to ensuring a smooth transition.”
Recently filed accounts with Companies House showed that BSG – formed in 2022 after the merger of the Clares and Prism dealerships – achieved revenue of around £29 million in the 12 months to 31 March 2024. Pre-tax profit for the period was almost £2 million.
Dealer group merger on track
Dealer groups Office Friendly and Integra Business Solutions have provided an update on their merger proposal. In September, the organisations confirmed they were in discussions about a potential combination. Now, they have announced the conclusion of the initial voting process, with shareholding members voting in favour of the transaction.
The next step is for each group to engage in further consultations with their respective tax and legal specialists. Subject to all legal and commercial requirements being met, they will then move forward with the next stage of the process. (For an interview with Office Friendly Managing Director Jeanette Caswell, read Community spirit on page 16).
LOTF Conference challenges imposter syndrome
The BOSS Leaders of the Future (LOTF) Conference 2024, held on November 28 in Birmingham, united approximately 70 professionals to confront imposter syndrome and embrace self-confidence.
Hosted by the BOSS Federation, the event marked the start of a two-year roadmap under new co-Chairs VOW Wholesale Account Director Amy Remmer, and Durable UK Managing Director James Day. Over this period, LOTF will host a mix of in-person conferences and webinars, focusing on equipping the next generation with the skills to grow.
With women comprising over half the attendees, it’s a positive sign for the future of the industry and the beginning of Remmer and Day’s tenure.
Confidence and Career Success Coach Angie McQuillin was the event’s keynote speaker and underscored how unchecked imposter syndrome fosters negative traits. She urged conference delegates to embrace their “stretch zone”, pushing the boundaries of their “comfort zone”
without having to step into the “panic zone”. Following the absorbing session by McQuillin, the agenda continued the theme of self-confidence, with a focus on overcoming imposter syndrome to unlock personal potential.
The panel featured a lineup of expert speakers including VOW Wholesale Managing Director Adrian Butler, Highlands Partner Gordon Christiansen and Springfield Business Supplies Director Frances Stephen.
In the afternoon, delegates rotated three workshop sessions, including ‘Being Your Best Self’ with Christiansen. His sage advice resonated with many attendees: “Everyone will get nervous – otherwise you’re either a psychopath or lying – but learning how to channel your nerves is key.”
The day ended with an audience-led panel, chaired by Avery UK Head of Sales and LOTF Committee member Shaun Tidman, exploring the synergy between confidence, career development and industry dynamics.
Exertis parent to focus on energy sector
DCC, the owner of tech and business supplies distributor Exertis, has announced it will focus the group around its Energy division.
In a strategy update in mid-November, the Irelandbased group said its energy-related activities presented the largest growth opportunity for maximising shareholder value. Consequently, preparations are already underway for the sale of the DCC Healthcare unit, which is expected to be completed in 2025. Meanwhile, “strategic options” are being considered for DCC Technology, the division in which Exertis sits. DCC does not appear to be in a hurry to offload the business – it confirmed the review would be concluded “within the next 24 months” and that financial support would continue to be provided to “ensure a smooth transition to the right partner”.
Euroffice UK celebrates 25 years
Euroffice marked its 25th anniversary in November. Founded in 1999, Euroffice began with the goal of providing accounting systems to small businesses via the internet. Although the idea was ahead of its time in the late ‘90s, the founders quickly identified a significant gap in the market: SMBs weren’t receiving competitive prices or quality customer service when sourcing workplace solutions. Euroffice set out to change this.
Over the past 25 years, Euroffice has become a trusted go-to provider of workplace supplies for SMEs across the UK. With a clear mission to deliver smart, simple solutions, the company has built its foundation on exceptional customer service. During the early 2000s, Euroffice connected with customers through search engines, affiliate websites and email promotions – an approach many in the industry have since adopted.
Looking to the future, the company is expanding its product range to include packaging, warehouse and hospitality essentials.
Euroffice UK Managing Director Danny Berendsen said: “Our reputation is built on offering competitive prices and a hassle-free shopping experience, featuring fast, free delivery and returns. We also offer an extensive range of workplace supplies and a compelling loyalty programme.
“From a personalised browsing experience on our webstore to next-day delivery and interest-free credit accounts, we’ve always aimed to provide the best price guarantees, year-round promotions and outstanding customer service.”
Ryman celebrates recycling milestone
Ryman has said it has recycled more than 3.5 million pens since joining a BIC-sponsored scheme five years ago. The retailer signed up to the Writing Instruments Free Recycling Programme in 2019.
The initiative – part of BIC’s Writing the Future, Together sustainability programme – is managed by upcycling firm TerraCycle. It is an in-store service that allows customers to bring in any type of pen for recycling across all of Ryman’s 190 stores.
Not only does this scheme benefit the environment, but it also helps charitable causes. For every kilo of pens collected and shipped to TerraCycle for recycling, Ryman earns TerraCycle points, which are redeemed as donations.
Since 2019, over £34,000 has been raised, shared equally between Ryman’s charity partners: Starlight Children’s Foundation UK, the British Dyslexia Association and Helen Arkell Dyslexia Charity.
TerraCycle founder Tom Szaky commented: “Many waste products, including writing instruments, are technically recyclable but are not recycled via municipal kerbside recycling due to the complexity and cost of recycling. Some people might think a single pen is insignificant, but if you add up all the pens being used, it comes to a considerable volume.”
BOSS Midlands kick-offs
The BOSS Federation’s Midlands Committee held its inaugural event at the beginning of November. The launch gathering took place at Pride Park, home of Derby County, giving delegates the opportunity to connect and network in a relaxed atmosphere.
Sovereign Business Solutions’ James McKeever, who chairs the BOSS Midlands Committee, stated: “A special thank you to our generous sponsors, Prima Software UK & Ireland, Avery UK and Sylvamo, for their unwavering support. Your contributions made a significant impact on the event’s success.
“Most importantly, thank you to all the attendees! Your enthusiasm and engagement truly brought the day to life.”
Bunzl adds UK jan/san provider
Bunzl has announced the acquisition of UK cleaning and hygiene supplies reseller Arrow County Supplies, confirming the deal in its Q3 2024 trading update.
Shropshire-based Arrow has a strong own-brand portfolio and generated revenue last year of £24 million. Arrow underlined that it will continue to operate from its Shrewsbury headquarters and two further distribution centres, supported by the same account management teams, ordering processes and contact information.
Arrow is one of several companies Bunzl has bought in the past few months. Others include Spanish regional distributor Cermerón and two New Zealand businesses: Cubro and DBM Medical Group. So far in 2024, Bunzl has acquired 11 companies and has allocated around £700 million per year for “value-accretive acquisitions” to the end of 2027.
MOVERS & SHAKERS
ACCO UK announces senior promotions
As part of a companywide reorganisation, ACCO Brands UK has combined the sales and marketing teams of its Consumer Office Products and Derwent businesses.
Tom Lewington has been appointed Sales Director UK & Ireland and Derwent, while Martina Alexander has been named Marketing Director UK & Ireland and Derwent. Both execs previously held roles solely at the Derwent subsidiary.
United appoints Purchasing Manager
Independent dealer United UK has appointed Jeni Simfield as its new Purchasing Manager. Simfield brings extensive expertise in purchasing management, having previously held roles at Banner UK, Complete and Bluefish.
Victor Stationery has appointed Jordan Kemp (left) as Account Manager for the Trade team. Kemp joins the supplier after more than five years with OT Group where he was an Account Manager at wholesaler Spicers.
Also from Spicers, Anthony Gouldthorp (right) has joined the team as National Account Manager. Gouldthorp spent more than 16 years at Spicers in a number of roles, most recently as Sales Operations Manager. One of his responsibilities at Victor will be to grow sales of its RHINO brand, particularly in the education sector.
Irish dealer Codex Office Solutions has promoted Audrey Jenkins to Head of Customer Experience. Jenkins has managed the Customer Service department at the reseller for over five years.
Her role evolved as she brought her extensive experience in customer service and process improvement to the team, ultimately leading to this new position at the company.
Hybrid working taking hold
According to a new study by workplace management consultancy AWA, UK workers are not even going to their offices two days a week.
AWA’s fourth Hybrid Working Index used a relatively small sample, surveying 34 offices, 14 organisations and a total population of 39,433. However, it revealed workers are now going into the office an average of 1.65 days per week. This was marginally up on the 1.5 days from its July 2022 report.
Desk usage has seen a more significant increase, up from 33% two years ago to 49%. Both attendance and desk usage are highest on Tuesdays. Meanwhile, AWA says desk provision has shrunk to 56 desks per 100 employees; in 2022, that number was 79. At the same time, just 13% of organisations are looking at downsizing their office space, suggesting companies may have reduced their real estate footprints as far as they can post-pandemic.
“Despite many recent stories in the media of large organisations – such as Amazon and McKinsey – demanding their employees spend more time in the office, AWA’s research has found that in-office mandates have decreased,” the consultancy firm stated.
It continued: “The findings revealed that 18% of UK organisations are now mandating in-office days, a decrease from the first index, when 49% were mandating at least one day in the office for employees.”
AWA founder Andrew Mawson added: “Our fourth hybrid index has shown that most organisations have fully bought into hybrid and flexible working strategies that maximise the use of the office space they have left. Now, the pressure is on property and facilities management professionals to ensure they provide offices where employees can not only find the room and amenities to do their work, but also thrive in environments that cater to their needs, support their wellbeing, and bring the best version of themselves.”
Declines accelerate at Slingsby
Slingsby has reported worsening top-line trends in the third quarter of 2024. In a trading update, the company confirmed revenue in the three months to the end of September had slipped by 11% year on year.
The fall was blamed on customers reducing or deferring spending following cost increases – caused by factors such as an increase in the minimum wage – lower sales of seasonal products, and uncertainty around the impact of future tax and regulatory changes.
A combination of lower sales and higher overhead costs resulted in a pre-tax loss of around £500,000 for the first nine months of 2024. This is compared with a profit of just under £300,000 for the same period in 2023.
“The market remains competitive and the group remains cautious regarding the outlook for the remainder of the financial year,” Slingsby noted in the statement, adding: “This is particularly the case given the recent lower level of sales and volatility in order intake, which makes demand going forward difficult to forecast.”
Victor expands team
CX appointment at Codex
BIRA provides Amazon lawsuit update
The British Independent Retailers Association (BIRA) has said its £1.3 billion collective action against Amazon is set for a key court decision.
In June, the organisation filed a damages claim against Amazon on behalf of sellers on the e-tailer’s marketplace platform. It accused Amazon of illegally using retailers’ data and manipulating the Buy Box to benefit its (Amazon’s) own commercial operations, revenues and profits.
Stationers’ names awards winners
The winners of the 2024 Innovation Excellence Awards were announced at the historic Stationers’ Hall in London. The awards showcase the range of innovations taking place across the UK’s content and communications industries. This year’s winners were:
• Business Process – Epic Print Ltd for Cupround
• Communications, including Marketing –Barley Communications for Purpose Plus
Now, BIRA CEO Andrew Goodacre has issued a progress update: “The first process of our claim against Amazon started this month [November 2024]. Because there was a second similar claim launched after ours, there has to be a decision made as to which one is allowed to proceed.”
He added: “We spent three days in Competition Tribunal Court, together with the other claim, putting forward the strengths of our claim. It was a fascinating experience and at the end, we remain quietly confident we will be successful.”
In addition to the uncertainty surrounding BIRA’s complaint, an official decision might not be received until the new year.
• Educational Technology – UCAS for Discover Your Choices
• Product Design – Kolbus UK Ltd for AutoBox BX Motion
• Start Up – Perlego for Perlego
Special guest Vint Cerf – regarded as one of the fathers of the internet –presented UCAS with the coveted top prize of Innovator of the Year.
SERVING UP solutions
Sovereign Business Solutions is rewriting the playbook on what it means to be a multifaceted dealer
On the outskirts of Birmingham city centre, a third-generation family business stands as a testament to adaptability and ambition.
Founded in 1982 by Gary Cox – now Group Managing Director – Sovereign Business Solutions has evolved from a local office supplies dealer into a workplace solutions powerhouse.
For Group Sales Director, James Mckeever, the journey has been one of constant transformation and shrewd strategy: “So much has changed over the years, but the supply chain is available for everyone; it’s about making it work for you. You can never sit back and say you’ve got it all figured out. You have to keep evolving.”
Originally known as Sovereign Office Equipment, the company’s former name, as Mckeever puts it, “was a bloody mouthful”. Recognising the need to shift away from a singular focus on office supplies, it rebranded to Sovereign Business Solutions in 2018 to reflect its broader capabilities.
Today, the dealer operates as a collective of companies, encompassing everything from workplace and facilities supplies to online furniture sales and bespoke furniture manufacturing.
Among the subsidiaries is wholesaling division Facility Supplies Group (FSG), which Mckeever describes as a “little side road” that has proven beneficial for the
£500,000
VALUE OF STOCK HELD IN WAREHOUSE
company. When sourcing new products and adapting to market demands, Sovereign often leads the way rather than relying on its suppliers. “We do it ourselves and FM is a great example – we run our own catalogue, hold stock and serve customers directly.”
This agility was particularly evident during the pandemic. With a warehouse stocked with masks, gloves, toilet paper and other essentials, the dealer was able to meet COVID-related product demands right off the bat. As competitors scrambled to source items, Sovereign was inundated with requests. “Buyers were willing to pay exorbitant amounts for these products, but we had to support our existing customers first,” Mckeever recalls.
Today, the warehouse – located at its headquarters since 1985 – spans 15,000 sq ft and holds around 85,000 SKUs, all ready for next-day delivery. This flexibility has proved crucial as the business continues to expand, procuring product from countries including Turkey and as far afield as East Asia. Mckeever says Sovereign is not waiting for the wholesalers but is proactive in sourcing independently.
BEYOND PRODUCTS
One of the company’s most important strategies is the move into managed services, drawing heavily on its success in FM to expand into solutions such as security and cleaning. “We’re managing the relationship and the payments for clients, and it’s very exciting,” Mckeever explains, clearly energised by this new direction.
The move from being a “box shifter” marks a repositioning of the business model. Service-led offerings have created new possibilities, such as long-term cleaning contracts and air-conditioning installations with subcontractors.
States Mckeever: “Managed services are opening doors all over the place. For instance, we’re collaborating with two companies – one involving pest control and the other in fire safety – where we are taking their offer to the market, realising a margin and building them into our service proposition.”
Interiors is also emerging as a winning proposition – with the biggest value orders, projects and opportunities, and, according to Mckeever, the most inspiring. This is unsurprising, given that the group includes the online furniture portal Fundamental Interiors as well as Stebul Furniture Group, a manufacturer acquired in 2022.
With Stebul, Sovereign made a bold decision to relocate the entire operation to its Birmingham headquarters. “Through Stebul, we import furniture components from Europe and East Asia, and like FSG,
sell into the channel, including supplying some wellknown furniture brands.”
It’s clever business manoeuvres like bolting on these new divisions that Mckeever believes are key to the dealer’s continued growth – with current sales hovering just below £10 million – while reinforcing its core business relationships.
The combination of FM and interiors alone has not only attracted a portfolio mix of big-name customers and local businesses but also provided the team with a deep knowledge base and diverse skill set. The result is the ability to branch out into different verticals, such as the construction industry, where it provides everything from mechanical and electrical services (M&E) and furniture, fixtures, and equipment (FF&E) to cabin packs for new building sites.
AMBITIOUS TARGETS
The dealer has not forgotten its roots and is targeting an increase in online sales of workplace supplies from just over 60% to 80%. “We launched a new website in November,” Mckeever reveals, explaining that the revamped site offers a “fresh, punchy identity and an enhanced user experience”. Beyond
Managed services are opening doors all over the place
million 2023/24 SALES
NO. OF EMPLOYEES
From left: Founder and Group Managing Director Gary Cox and Group Sales Director James Mckeever
aesthetics, the new website aims to engage clients through loyalty programmes and referral bonuses.
“It’s far more than just an office supplies website; it has social and environmental value. For example, we’re showing how many water barrels we’ve filled this week and how we’re saving energy,” he adds, hinting at an elevated brand image designed to resonate with ecoconscious clients.
Sustainability has become a major focus for Sovereign, which recently re-secured its ISO 9001 and ISO 14001 certifications and achieved SafeContractor gold accreditation.
“It’s proof we’re ticking the right boxes,” says Mckeever. The company has invested in a fully electric vehicle fleet for staff and directors, although transitioning large delivery vehicles has proven challenging due to limited load ranges.
Despite these hurdles, Sovereign has set a net zero target for 2035. While this may be ambitious, Mckeever believes the company must aim high in order to achieve it. In addition, the dealer also supports social initiatives, including community engagement, and has two mental health first-aiders, with two more in training.
A CLEAR VISION
With one eye firmly on the future, strategies are being implemented to manage costs without compromising the company’s strong identity and reputation. One plan is the gradual transition towards drop shipments while retaining some in-house capabilities.
As Sovereign has built a solid standing within the Midlands area, Mckeever notes that a potential downside is a decline in customer service quality. “There’s a big difference between our drivers and third-party drivers, who might leave deliveries on the kerb, for example. Our model needs to balance in-house resources and external logistics to ensure we don’t lose that connection with our clients,” he explains.
This commitment to service is central to Sovereign’s success, and the team ensures every customer touchpoint is fully leveraged. A six-month campaign scheduled for 2025 called #DidYouKnow, for instance, will support a digital brand push.
Says Mckeever: “This initiative will showcase what we can do and is designed to spread awareness about our full offering while engaging clients through fun, informative content.”
While digital content is important, in-person networking remains a cornerstone of Sovereign’s strategy. Some team members, for example, rise at 5 am three mornings a week to attend BNI clubs and promote the company. “The networking inside these partnerships has been fantastic for us. To steal a well-known quote, ‘if you’re not networking, you’re not working’,” he says.
The dealer supports local sports teams, including Walsall Football Club, Birmingham City and Aston Villa, as well as cricket and rugby teams. This strategic sponsorship not only strengthens community relations but also provides an avenue for meeting new clients and expanding the company’s influence. “Sponsorships mean attending events, and yes, sometimes it’s just standing there with a beer in hand talking about pens and paper for hours,” laughs Mckeever. “But those conversations stick with people, and they remember us.”
We’re not reinventing the wheel
To further build relationships and showcase its extensive offerings, the Sovereign Expo was launched in 2019. Mckeever says the event was designed to bring the company closer to its suppliers, provide customers with a comprehensive view of what’s on offer and demonstrate its commitment to being a single-source provider. “It’s become a conversation starter, allowing us to remind clients we’re much more than office supplies. The annual Expo gives us exposure inside and outside the industry and puts an extra feather in our cap.”
For Mckeever, success boils down to “being stickier” – providing customers with solutions that make Sovereign indispensable. “We’re not reinventing the wheel. We’re looking at what others are doing and improving on it.”
40
2035
CommunitySPIRIT
With one eye on market shifts and a merger, Office Friendly Managing Director Jeanette Caswell is shaping a dynamic future for the dealer group and its members. Workplace360 CEO Steve Hilleard took a trip to Sheffield to get the low down…
Workplace360: Most people probably know you, but for anyone who doesn’t, could you give us a quick rundown of your career?
Jeanette Caswell: I got my start in the industry about 30 years ago, beginning with a role at Viking answering phones. From there, I moved into category management, so I spent a lot of my early years building my product expertise.
After a career break to travel, I joined Spicers in merchandising, where I stayed for over a decade, eventually becoming Head of Merchandising, then Marketing and Communications. Although I loved the business, it felt like I’d reached a ceiling, so I took time out to go travelling again. When I returned, I joined Staples and led merchandising and marketing, then later the Staples.co.uk online business.
When evo Group acquired the Staples business, I moved to Banner UK for six months to support the integration. In 2021, I became Managing Director of dealer group Office Friendly.
W360: What attracted you to the dealer side of the industry?
JC: I really missed it. A significant chunk of my career at Spicers was spent working face-to-face with dealers and supporting independent businesses. It was a little scary as I’d never dealt with VOW Wholesale. It was an interesting transition – I’d always had an impression this big business would be stark and unfriendly, but it turned out to be quite the opposite.
W360: We’ll dive into Office Friendly’s potential expansion later, but can you break it down in terms of its current size, members, team, financials and so on?
JC: This year marks our 30th anniversary, and back then, we started as a collaborative of independent dealers fighting for better pricing and recognising strength in numbers. In those early days, the main goal was securing the best deal from a wholesaler.
Over time, our role has evolved into one focused on supporting dealers with business growth and acting as a collective group. While we still honour that heritage, it’s less about securing a single deal for everyone and more about the range of services we offer to help a dealer’s business and the close community we’ve built.
Today, we’re an 18-strong team based in Sheffield, with a turnover of around £1.5 million. We signed our final accounts at the start of October for the last financial year and delivered way ahead of budget, which
is fantastic. The team has put in a tremendous effort, especially knowing it was going to be a difficult year for the industry. I’m incredibly proud of what they’ve achieved. It’s been a profitable year, with dividends once again returned to our members.
W360: How many members do you have?
JC: We’re just shy of 100 at the moment.
W360: And how is that trending?
JC: We’re seeing a bit of a decline. It’s tough out there – there are quite a few dealers that have reached a stage where they would like to retire but don’t have anybody within their organisation ready to take over the business.
The core dealer market is definitely shrinking, which means we’re having more discussions around mergers and acquisitions with members. In the last two months, a couple of our members have bought another dealer or have been acquired.
Our role has evolved into one focused on supporting dealers with business growth and acting as a collective group
In terms of our dealers, it’s a good blend – ranging from those with turnovers in the tens of millions to newer, progressive businesses. Most aren’t solely focused on office supplies anymore; in fact, that’s probably only 20-25% of their turnover now.
Coming out of COVID, everyone was trying to do everything, but now dealers are stepping back, figuring out what gets a foot in the door with prospects or unlocks new opportunities with current clients. It’s about diversified specialisms, and it’s my job to ensure we provide the right propositions to help our members expand.
W360: Tell us more about the relationship with VOW, returning to when it was still Kingfield.
JC: Office Friendly used to be part of Kingfield, which, of course, is now VOW. We even shared the same building until a few years ago. Although we eventually became a standalone entity and transitioned into
a cooperative, we’ve always maintained a strong connection, so VOW remains our sole wholesale partner.
W360: You mentioned your diverse range of dealers, including large multimillion-pound businesses. I take it you’re talking about companies like Commercial?
JC: Yes, Commercial, The Business Supplies Group, Langstane, Egan Reid, etc. We’re welcoming to all that choose to be part of our community, whatever their current scale.
W360: You seem to have the lion’s share of the larger, more progressive dealers. Is that by design or by chance?
JC: We actively prospect in businesses where we believe our range of services or the community can add value –these may not necessarily be right for everyone based on their scale, budgets or current business objectives. We act as their voice in the industry and with VOW. About a third of our members have been with us for 30 years – whether as the same business or as one
We are incredibly fortunate to have the members we do, and many join us for the sense of community
which has been acquired by another member and continues under a different name.
We are incredibly fortunate to have the members we do, and many join us for the sense of community. One of our major strengths is that the Office Friendly community is one where you can rub shoulders with so many entrepreneurial, independent business owners. It’s vital for members to be able to pick up the phone and reach out to someone across the country for advice, guidance or support – whatever they need.
W360: When discussing the advantages of membership, we often hear about KascAid, Pioneer and Weaver. Can you give us a quick spin through these programmes and their benefits?
JC: Weaver is our sustainability accreditation programme, spearheaded by Sustainability Champion Karen Casey. This initiative originated over a decade ago with So-Go-Eco when Steve Harrop was Managing Director. It’s an externally accredited certification that focuses on five key areas of social and environmental responsibility.
We work with an independent consultancy –currently Dekra – to validate our audit process for the data we gather from dealers and manufacturers. Dekra also helps us future-proof the programme to ensure it continues to evolve and strengthen our sustainability message.
My key piece of advice for every business is to evaluate the talent you have around you
W360: How many members are taking advantage of Weaver?
JC: We currently have 28 members using Weaver, which is a good proportion of our membership, with some industry suppliers too.
Pioneer is our learning and development arm, which operates in two ways. First, it’s an online resource platform that our members can access for their teams. Second, we have Alanna Oliver, our dedicated Learning and Development Officer, who provides tailored training programmes based on the specific needs of each dealer or manufacturer.
KascAid is our in-house marketing agency. Led by Katie Metcalfe-Roberts, her team of nine provides marketing services – whether it’s digital, e-commerce, print, social media or branding. This service is especially beneficial for dealers that might not need a full-time marketing head or require resources for specific projects within a limited timeframe.
Last year, KascAid saw about 60% growth, which is a tremendous achievement. We’ve been really lucky to bring in talented individuals, including recent university graduates and those in the second stage of their careers. They bring new perspectives and technologies to the table, enhancing our efficiency as an organisation and our ability to offer more services to our members.
W360: I think Office Friendly has always excelled at integrating youth with experience. Harrop did a pretty good job of that back in the day.
JC: I’d agree. Steve handpicked Alex [Stone] during his placement year to work in the KascAid division. Alex has been with us ever since, starting in a marketing role and moving to his current position as Sales Director. We also engage with Leaders of the Future
through BOSS, where he recently stepped down as co-Chair after a two-year term.
A core part of Office Friendly is a commitment to developing our people. Sometimes, this growth leads them to opportunities outside Office Friendly. But if we can provide a solid foundation for their careers – whether with us or within the industry – we feel we’ve done a good job.
We’re also lucky to have team members with decades of service. We invest significant time in our employees, helping them build confidence and improve their skills. I won’t always be around, and the organisation still needs strong people to lead it in the future. Developing a long-term progression plan to nurture them and learning from the fresh ideas they provide is essential.
My key piece of advice for every business is to evaluate the talent you have around you. Consider how best to invest in these individuals, equipping them with what they need to grow, develop and feel valued within the organisation.
W360: What was your initial impression of Office Friendly when you joined?
JC: Julie Hawley left the business on a solid financial footing, so it was great to step in without worrying about that aspect. Office Friendly had a stable platform and a loyal membership.
My focus has been on looking ahead to the next five to ten years, safeguarding the business by introducing additional services that keep our members locked into Office Friendly and support their business objectives.
It’s no secret that manufacturer funding supports various activities across our industry, including within dealer groups. However, we need to be mindful that
Alex Stone, Sales Director (left)
budgets are tight. Our priority is to add value across the industry, whether for our members or suppliers, and ensure the services we offer remain relevant, no matter how you interact with Office Friendly.
W360: I guess the single largest development over the past three years is the potential merger with Integra Business Solutions. How did this come about? Who approached who?
JC: It all started with a conversation between our then-Chairman, Gordon Profit and Integra CEO Aidan McDonough; they’ve always had a good relationship and stayed in touch. It was probably just the two of them chatting over a beer!
W360: Almost certainly.
JC: (Laughs) They talked about where the industry was going, the strengths of both organisations and so on. Before my time, I believe Office Friendly had explored a couple of potential mergers that ultimately did not materialise. There was always going to be a conversation about how we could evolve the group in the future, whether through mergers or acquisitions.
The discussion between Aidan and me started just over a year ago as we looked at the possibility of bringing the two organisations together, and it seemed like it had legs.
W360: Why a merger and not an alliance? You could flirt and dance, but you’re jumping into bed.
JC: A great question. I think if you’re really, truly going to get teams to work together and create a community, a merger has to be the best approach.
W360: You obviously see the two groups as complementary in terms of strengths and benefits.
JC: Absolutely. Office Friendly has around 60 individual supplier deals, while Integra boasts over 100. Even accounting for some overlap, there are still at least 40 unique suppliers our members currently don’t have access to.
Integra has a much stronger purchasing team, whereas we have only one individual handling that function, which limits our capacity. The group is also more technology-driven from a service proposition than we are. On the other hand, Office Friendly has the advantage of KascAid, which is a significant revenue generator for us.
Integra has a solid marketing team with greater strength in catalogue production and print, whereas our team’s activity is heavily weighted on digital content and social. We also have the Weaver programme, which really has gained traction. Overall, there are some excellent complementary skill sets across both teams.
W360: Of course, all of this is subject to approval from the respective group members.
JC: Of course.
W360: What’s the timeline for getting this concluded?
JC: Based on our current progress, I anticipate that if
things continue to move in the right direction and the commercial and legal aspects are finalised, we could have this wrapped up during Q1 2025.
W360: You’ve been around enough big businesses to know that when creating entities like this, often one plus one doesn’t equal two. However, you’re aiming for a scenario where one plus one equals more than two while not losing any heads.
JC: The two organisations have brilliant people and strong, compatible expertise and experience. We’re presented with so much opportunity to grow with the combined skill sets we have.
Office Friendly is based in Sheffield, while most of the Integra team are down south or in Wales. This may mean more of a travel requirement than before to ensure the two teams collaborate effectively as they merge into one.
W360: Isn’t Integra a pretty virtual company now?
JC: It is. I also see the benefits of collaboration, which is why we come into the office two days a week. In a new environment, we’d need to find ways to make that work without overly impacting the team.
While we aim to combine our strengths and create greater value, there are areas where we may encounter duplication from a non-people perspective, which allows us to identify immediate savings. Additionally, there’s likely a pipeline of work on both sides that presents opportunities for further growth within the new organisation.
W360: I have many more questions, but it’s probably best not to delve too deeply until the merger is legally concluded. What message do you want to send to the industry about the plan?
JC: First and foremost, I want to encourage dealers to join a group today, whether it’s Office Friendly, Integra, or any other organisation, so they can have a voice, access support and belong to a community they can lean on.
This merger is ultimately about uniting two communities, ensuring that our 250-strong membership feels they have the right support for their businesses as they move into the future.
W360: Do you think this is likely to spark more M&A activity?
JC: I would imagine that conversations were already taking place before this, and without a doubt, there will be further consolidation as the UK dealer channel continues to condense.
W360: You made a good point about the additional vendor relationships that Integra currently has. It’s great to see all the new suppliers popping up, and there are some really interesting diversification dynamics at play.
JC: And there will be more. We talked earlier about the average dealer business now being around 25% OP. We need to explore other sectors where there are
alignments between the needs of end users and how we can facilitate those through dealer businesses. Some highly successful dealers are doing that to the nth degree, whether in the private or the public arena. So we need to go and search harder for additional supplier relationships to help this.
W360: Sometimes, when I walk around and observe new suppliers, I get a sense of frustration. They’ve made it easy to sell a whole new category, yet dealers aren’t jumping at the chance.
JC: I completely understand that feeling. Take our Toolbank solution, for example. It’s taken longer than anticipated to really integrate it into dealer businesses. Dealers need time to assess whether they’re targeting the right audience and to develop
effective strategies. It’s a slow burn. It may take some suppliers three years to get a grip on some dealer organisations, and only then do they start to flourish. But when it finally sticks, good things start to happen.
W360: Let’s touch on software, as our industry has some fantastic technology platforms. Do you feel dealers are truly seizing the opportunities these solutions provide?
JC: Yes, I would say so. If I had to guess, I’d say at least 90% of Office Friendly members use one of the industry-specific platforms for e-commerce and back-office functions. We’re well-acquainted with these platforms, particularly ECI’s EvoX and Prima Software, as our KascAid services play a crucial
This merger is ultimately about uniting two communities, ensuring that our 250-strong membership feels they have the right support
role in enhancing the front end of a dealer’s website, ensuring the content is positioned effectively.
We’ve worked closely with ECI and Prima to add extra value beyond their existing services because we possess a unique skill set that isn’t readily available through others.
Incidentally, 2025 will mark the first year we won’t produce our printed catalogue. There has been a huge decline in catalogues over the past few years, but manufacturer brands still need an array of vehicles to ensure their products are under the nose of the right end users at the right time.
As we saw catalogue order numbers fall, we’re transitioning from catalogue production to launching a digital product placement service, set to roll out in January 2025. Instead of featuring those assets in a printed catalogue, we’ll implement them directly on dealers’ websites on behalf of manufacturers.
W360: There’s such a massive opportunity out there.
JC: There is, and it ties back to the idea of diversified specialisms. You can’t be everything to everyone; it’s crucial to identify and focus on the areas where you excel. It might stem from having a substantial customer base in a specific market sector or segment, or it might come from bringing in expertise within a particular category.
W360: In which categories do you see the most growth?
JC: Interiors. Many of our members are now concentrating not just on furniture but also on soft
We need to provide a solid platform for businesses to grow, diversify and explore exit strategies or potential mergers
furnishings, along with all the components that contribute to construction within a building, including elements like air conditioning.
W360: Even the tech and the AV?
JC: Even the tech and AV, and we have a partner for that too. It’s about figuring out what today’s enduser workplaces need and how we can provide the comprehensive solutions that dealers require. Another strong growth area is workwear. Some of our members have even invested in implementing in-house workwear and garment decoration solutions, which allow them to fulfil orders for key customers quickly.
W360: With the decreasing percentage of traditional products, what more could VOW do to support this diversification wave that dealers are on?
JC: VOW remains incredibly important, but it does
need to help bring new sectors to market quickly and at competitive rates, enabling independent dealers to compete against established players in those areas.
Many organisations rely entirely on their wholesaler as their distribution vehicle. Expanding to other suppliers often means dropshipping, which is less efficient. It’s much better to work through a wholesaler where everything can be consolidated into one box – it’s more cost-effective and much better for the planet.
Wholesale partners have to provide the right service levels too. This is especially important when entering a new sector. Once you’ve invested time convincing an end user to purchase these new products, you need to ensure you can deliver on those promises – there likely won’t be a second chance.
W360: Having worked at Spicers, what are your reflections on what’s happened?
JC: I just feel really sad. I spent a considerable amount of time at that organisation, and many individuals have been impacted twice – some of whom were my colleagues – along with numerous manufacturers that have suffered as a result.
People also have long memories and were distrustful even with the return of Spicers in its second form. One point of pride for me is that the 5 Star brand continues to thrive; I’m fairly certain I played a key role in that. I hope the talented individuals from the business find their feet again and shine through in this industry because it needs good people.
W360: I guess every cloud has a silver lining, and we’re starting to see other businesses doubling down in workplace supplies. It’s certainly an interesting time from a wholesale perspective.
JC: I think so. Exertis Supplies has done a great job of establishing a foothold in the market and doing what it says on the tin. The smooth relocation of the distribution centre in Elland speaks volumes about its operations. It’s a business that deserves respect and has some fantastic people on the team.
We have a long-standing and great relationship with CTS Wholesale too, and it’s nice to see investment in our industry. While I wish VOW could excel in every area, the reality is that it can’t be everything to everyone. It needs others in the market to challenge it to be better as it’s in everybody’s interest to have strong wholesalers.
W360: You touched on 5 Star, and we’ve spoken about some of the emerging brands in our industry. Where does the group stand in terms of the brand versus private label debate?
JC: Private label will always hold a strong position in our sector due to the emphasis on price and products that are fit for purpose. We’ll never move away from that reality. For me, it’s essential to consider whether a product meets specific needs at a competitive price, helps to secure business, enables a dealer to offer something different to their competitor and makes end users feel they’re getting good value. Outside of that is where brands come into their own.
I’m quite brand loyal as a consumer. Established brands invest significantly in their products, evident in names like Avery, BIC, and Black and Red. These brands have not only solidified their place in the UK market but have also adapted their philosophies to stay relevant. Of course, private label can serve as a differentiator, especially when competing against a brand in a local area. Ultimately, though, it must still be fit for purpose and priced right.
W360: Holistically, what’s your view on the industry?
JC: It’s a challenging place, especially if you look at it from the traditional, original core OP perspective. Our industry is shrinking in both turnover perspective and the number of independents in the UK market today. But it’s pushing everyone to be smarter.
There’s a lot of entrepreneurship and creativity, along with a new generation stepping up through the ranks. The consolidation of strong businesses helps keep staff engaged in the industry, even when some business owners decide to opt out. We need to provide a solid platform for businesses to grow, diversify and explore exit strategies or potential mergers. It can be really lonely when it’s tough, but we’re here.
W360: Lonely for dealers?
JC: When you sit at the top of any organisation, there isn’t necessarily always someone to lean on. This is where the strength of independent dealers and dealer group communities really stands out. There’s always someone you can call for advice or to share your situation with. We see this happening frequently, and it’s probably more essential now than ever.
W360: I agree. Dealers need to be supported in every way possible. Do you have anything else up your sleeve?
JC: Actually, we do. We’ve recently launched new services to help the dealer community through the ongoing changes. One is Colab, an M&A service. It allows us to connect dealers with an external partner, Hentons, which provides everything necessary to facilitate a successful deal.
W360: Hentons was at your 2023 conference, yes?
JC: Correct. Hentons provides advisory and guidance services, handling all the technical and legal aspects of businesses navigating a sale or acquisition.
Additionally, we’ve recently launched a service called margin management to help dealers establish competitive pricing. It involves daily scraping of enduser-focused product pricing data, allowing us to work with dealers to tailor their pricing according to their margin expectations and stay competitive.
W360: There’s an amazing amount of science in selling pens and pencils.
JC: There is a lot of science, creativity and a tremendous amount of energy. I wouldn’t give it up for the world.
W360: Neither would I. Thanks, Jeanette.
Carl
Stevens explains how selling batteries can boost the bottom line
Did you know you have a little-known weapon in your arsenal that could unlock massive sales potential – without increasing costs or expanding your customer base? It’s a product everyone recognises, has been around for years and is now easier than ever to ship. You also already have access to it. So, what is this magical unicorn of profit growth? It’s a humble battery.
Now, bear with me here. We’re not talking complex, technical batteries – just the familiar AA, AAA, C, D and 9V varieties. Would it surprise you to learn that approximately £250 million worth of batteries are sold in the UK each year? Maybe not. But how about this: nearly 80% of these sales are through retail channels. This means roughly £200 million in prospective sales could be shifted to B2B.
“I stock batteries, but I barely sell any...” is a phrase I often hear, so here are my seven top tips to make the most of batteries for your business:
1. Ensure batteries are visible
To sell batteries, they need to be seen. Supermarkets place them near the checkouts for a reason. But how do you replicate this online? Try adding pop-up reminders, banners or a dedicated battery category. Customers may come to your website for another product, but if
they see batteries, they’re more likely to add them to the basket. It’s similar to supermarkets, where people don’t typically go visit for batteries but end up grabbing a pack on their way out.
2. Carry the right types
Remember when torches and radios used giant D or C cell batteries? Times have changed, and so have consumption habits. Has your stock profile?
About 80% of batteries sold are AA, AAA and 2032 coin cells. If you aren’t listing batteries, you could capture substantial sales by just supplying these three types. There are lots of examples in business where a more straightforward offering is beneficial.
Times have changed, and so have consumption habits. Has your stock profile?
3. Simplify listings
Don’t overcomplicate things. Too much choice can overwhelm browsers, making them less likely to purchase. Fewer options streamline the buying process and can lead to better rewards. Design fatigue is real and we want our customers to impulse buy batteries quickly. You don’t have to list every single size.
Power up profits
4. Embrace larger pack sizes
Times are tough, but consumers increasingly look for value over cheap prices. Offering solely small packs because purchasers ‘only want a few’ is a misconception. In fact, the preference is now for value packs. Bypass the 2s and 4s – consider 10s, 20s or even 50s.
In forward-thinking markets such as the Nordics, boxes of 50 are becoming the B2B standard. Selling fewer packs at higher volumes not only boosts profit margins but also reduces the risk of customers needing to reorder from other sources.
5. Stick with quality brands
There’s an unseen cost in batteries: the cost of replacing them. Customers recognise that using better, branded versions means changing them less often. Own brand or no-name batteries might seem attractive, but they’re not what most people want. About 80% of the UK’s alkaline battery sales are branded. Skip the knock-offs and focus on quality. Don’t forget the added benefit of sustainability by using fewer batteries – an important CSR booster.
6. Adopt industrial
Did you know there’s a difference between retail and B2B batteries? Industrial batteries are formulated specifically for equipment commonly found in professional settings. They are heavy-duty with a longer life specified around high-drain devices. The largest battery manufacturers offer B2B options with more appealing pack sizes and price points. Choose industrial, not retail, to meet your clients’ needs effectively.
7. Don’t undercut
Do you know what kind of margins retailers make on batteries? Significant. You don’t need to sacrifice sales profit. Remember, customers are coming to your site for other products. Batteries are an add-on purchase and impulse buys are always key to growing margins.
Carl Stevens is General Manager of H-Squared
Battery manufacturers offer B2B options with more appealing pack sizes and price points
So there you have it. By making just a few strategic tweaks to your product listings, you can turn a simple item like batteries into a high-margin, consistent source of profit. They may not be the flashiest item in the catalogue, but they’re essential, easy to stock and a perfect upsell opportunity.
Don’t leave money on the table. Tap into this hidden market and start seeing the impact on the bottom line. There’s your unicorn.
THE QUICK GUIDE TO SELLING BATTERIES…
• Batteries should be seen. Make them a natural part of the buying experience.
• Don’t overpopulate listings. Focus on the most popular kinds: AA, AAA and 2032.
• Drop the small pack sizes. Go big and be bold!
• Stay with quality brands, not no-name knock-offs.
• Stock industrial batteries, not retail.
• Maintain margins – don’t feel the need to discount heavily.
London CALLING
The OPI European Forum 2024 brought industry leaders together for thoughtprovoking discussions, innovative ideas and fresh perspectives
Another outstanding European Forum was delivered by the OPI events team. Held 11-13 November in the heart of London, it marked the tenth OPI European Forum and the first live edition in the UK capital since 2018.
Approximately 100 executives attended this year, representing leading and emerging players from different channels in the workplace supplies industry. The event also welcomed participants from beyond Europe, with delegates travelling from the US and Canada to stay ahead of the latest sector developments and trends.
HOT TOPIC: AI
AI continues to be top of mind and many are still trying to figure out what it means for the world of work. It was therefore fitting for this year’s European Forum to kick off with a fast-paced presentation from renowned AI expert and best-selling author Henry Coutinho-Mason.
One particularly striking statistic he revealed highlighted the disconnect between management and employees regarding AI. While 96% of CEOs expect AI to increase their organisation’s productivity, more than three-quarters of staff believe it is actually making them less productive.
You have to push the boundaries and not be afraid to challenge the status quo
It’s a gap which needs addressing, Coutinho-Mason noted. One way of doing this is to develop a culture of innovation within a company, tapping into the creativity of individuals and teams throughout the business.
Company culture is not something created overnight, of course. Andreas Reuter, CEO of Germany’s online
reseller Schäfer Shop shared insights into the company’s interesting transformation to update a business that had strayed too far from its B2B roots.
Another enlightening talk came from Adam Huttly, founder and Managing Director of Red-Inc, and there was certainly a murmur of appreciation from other resellers when he revealed a major customer now consolidates orders into one quarterly shipment.
However, according to Huttly, it wasn’t easy to shift ingrained expectations: “Things are possible but you have to push the boundaries and not be afraid to challenge the status quo.”
YOUNG EXEC ADVICE
Attracting and retaining young talent has become a regular topic at OPI events. This year, it was refreshing to see three women – Office Depot’s Rachael Lewis, EO Group’s Margot Roem and Viking’s Isabel Shea – on the young executive panel. Key takeaways for managers included: being transparent with staff in terms of business strategy and developments; involving younger team members in the decision-making process; and setting up mentoring programmes.
Special thanks go to Avery UK’s Shaun Tidman for stepping in at the very last minute as panel host and superbly guiding an incredibly open and honest debate.
Other highlights of the Forum comprised a series of one-to-one interviews with senior industry figures; a deep dive into B2B marketplaces with Mirakl; an interactive presentation on decision-making dynamics with Quirk Solutions’ Chris Paton; and a series of wellattended and engaging roundtables.
The event concluded with a high-level perspective on the world of work by Jeremy Myerson, Chairman of WORKTECH Academy. While he said the “genie was out of the bottle” regarding hybrid working, he referred to a “bundle of opportunity” as firms strive to make offices dynamic, healthy and inclusive places to visit.
It was an upbeat finale to two days of on-point content and quality networking, including an unforgettable evening at the fabulous Tattu restaurant in London’s West End.
VAR under contention
Jason Kinsey explores the correlation between VAR decision-making and the challenges faced by resellers today
VAR review: In football, referees must consider four key factors when determining whether a player has denied an obvious goal-scoring opportunity (DOGSO), potentially resulting in a red card. These are: the distance between the offence and the goal, the direction of play, the likelihood of regaining control of the ball, and the number of defenders involved.
To put this into context, after speaking with resellers up and down the country for hundreds of hours this year, the Flashy Cactus team noticed some striking parallels between DOGSO and the procurement process in our industry. We believe significant missed opportunities can be addressed by highlighting a few home truths.
1. DISTANCE BETWEEN THE OFFENCE AND THE GOAL
Foul: Resellers are far too often choosing not to sell items that aren’t readily available through existing wholesalers (commonly referred to as Specials). Many businesses, even the more progressive ones, don’t know where to start and, therefore, will not proactively
advertise a single-source procurement. This blows our minds!
Fix: Offer end-to-end procurement solutions. We believe product diversification – a term that has stuck around for some time – is inching closer towards its end of life. Solution selling, a common practice in other industries, is the correct approach to keep the ball in play.
2. GENERAL DIRECTION OF PLAY
Foul: The belief that in-house stock is always a good idea, a lack of research in emerging categories, resourcing incorrectly and U-turns on stocking decisions. An additional complaint revolves around sales teams spending too much time sourcing product and generally becoming fed up because this approach takes too long.
Fix: Join up and work with the right partners. Instead of turning down the opportunities, why not outsource some of the more painful aspects of the process? There’s no shortage of good sales and logistics professionals in our industry to team up with who excel in procurement.
3. LIKELIHOOD OF KEEPING OR GAINING CONTROL OF THE BALL
Foul: One-off purchases often result in headaches, such as accounts reconciliations, inadequate customer service levels and general issues with managing the number of hours in a day. Many businesses, whether just starting on this journey or already well along the way, often struggle to keep it under control.
Fix: The work, cost and time involved with Specials is frequently underestimated. Try to keep the weird and wonderful Specials within the same workflow streams the team uses – one account, one statement, one person of contact, one payment date, etc.
The work, cost and time involved with Specials is frequently underestimated
4. LOCATION AND NUMBER OF DEFENDERS
Foul: Not being aware of what others are doing. We’ve met some sales superstars with whom we work really well, but it’s clear companies from other industries are taking more of a share in the opportunities otherwise held by traditional resellers. These competitors offer a more comprehensive procurement service and may win over dealers only selling business supplies.
Fix: Act and react swiftly to keep your buyers coming back to you. Don’t let them start spreading the basket too thinly, as new, innovative options are constantly popping up around us.
Jason Kinsey is founder and Director of Flashy Cactus
This article will explore the strategic choices available when choosing a diversification strategy. It will include looking at the options, opportunities, threats and ideas that dealers can take advantage of and/or choose from.
In my previous life leading the Irongate Group, the journey to a diversified model started as far back as 1989 and became a business strategy in 2010. Resellers are now searching for a sales story which not only allows them to sell at their desired pricing but delivers value to customers by addressing their needs.
For any dealer today solely focused on selling OP, it’s a tough business. For newcomers, or those already within our industry contemplating setting up a new venture, OP no longer appears to be an attractive option.
Examining an OP reseller company through Michael Porter’s famous Five Forces framework – a tool originally designed to assess the attractiveness (profit potential) of different industries – can offer a valuable starting point for strategic analysis.
This approach is useful for evaluating whether to enter a market or to analyse the prospects for further success and challenges in a particular sector. The framework also helps businesses identify various pinch points.
The five competitive pressures are the threat of new market entrants, the threat of substitute products or services, the bargaining power of suppliers, the intensity of rivalry among competitors, and the bargaining power of buyers.
The building blocks to success – Part IV
Product or business diversification?
Or both?
Looking at the Five Forces model (right), every point of the framework is a source of concern for any dealer:
Threat of new entrants:
• The evolution of web-based traders – both established and new
• The dominance of Amazon
Threat of substitutes:
• Substitutes from outside the sector that don’t have the constraints of the current market operators
• OEMs increasingly selling directly to customers
Threat of new entrants
Rivalry among existing competitors
Bargaining power of buyers:
• Buyers have access to transparent pricing
• Limited room for negotiation
• Buyers have all the power
Bargaining power of suppliers:
• Reduced competition within the wholesale channel
• Manufacturer’s direct deal restrictions Rivalries among existing competitors:
• Intense competition between dealers
• Selling on price and hitting margins
• Competitors are multichannel – traditional resellers, direct ex-trade wholesalers, web traders
• Supermarkets and grocers
• Amazon
For any dealer today solely focused on selling OP, it’s a tough business
Adam Noble is a Director at TSP
Five Forces model
Bargaining power of suppliers
It’s a sobering list of the pressures facing dealers, prompting a shift by many to start selling other products and services to recoup lost business or replace declining margins.
PRODUCT DIVERSIFICATION
The benefits of product diversification are vast and expanding into new categories is an obvious route to take. By taking inspiration from firms such as Irongate and offering a wider scope of products and solutions to customers, dealers can achieve the following benefits:
• Risk reduction: Diversifying the product offering helps mitigate the risks associated with relying on a shrinking office supplies sector by introducing new lines or entering new markets.
• Growth: Extending the product range can increase revenue and market share.
• Customer fulfilment: A broader selection of products and services can enhance client satisfaction and loyalty.
• Competitive advantage: Diversification can create a dynamic edge by providing unique goods and solutions that set dealers apart.
Despite all these clear advantages, the key question remains: what should dealers diversify into? These decisions are critical and can be the difference between success and failure.
When making a call on diversification, resellers should consider not only expanding the product range but also exploring opportunities for business diversification. The choice is between being an OP dealer selling other products and services or adopting a different model as a solutions company with various specialist units offering a wide range of workplace categories and facilities.
Before you go creating these new divisions, however, it’s essential to determine which ones you are committed
Threat
to selling and investing in, and in what order. In strategy development, knowing what to do is just as important as knowing what not to do.
In my opinion, when a business looks to diversify, there are usually two options – strategists call this related and unrelated diversification. While all the goods and solutions an organisation buys to keep itself running could technically be classified as ‘related,’ I don’t view it that way. So, how should they be categorised?
DIVERSIFICATION CHOICES
A dealership normally sells items from a catalogue, ordering them mainly from a supporting wholesaler for next-day delivery, either via their own van or a partner’s vehicle. So, what else could a dealer offer that mirrors the supply chain?
We need an industry providing products familiar to our clients and where logistics and sales materials and solutions reflect our market. Requirements include items with a product code and sold from a catalogue, and a reliable wholesale or manufacturer supply chain.
Below is a list of sectors our customers typically already buy from and which a dealer could also source and purchase from the existing fulfilment network:
• Cleaning, safety and hygiene
• Catering
• PPE
• Office furniture
In most cases, dealers will already be selling product in some or all of these categories, with varying degrees of knowledge. By investing in additional sales and operational know-how and gradually expanding into such areas over time, a typical workplace supplies dealer could position itself to confidently offer these products and services. This approach would enable a reseller to rewrite the all-important sales narrative and enhance the value proposition to customers.
Building a new category, with its own dedicated marketing, sales team, etc, is a big commitment to cost. However, it offers the opportunity to tap into the wealth of potential in the customer base. By demonstrating the skills and understanding of a new division and leveraging existing trusted relationships, dealers can open up new revenue streams and start to increase sales.
I believe a different future can be built by harnessing the current client base and internal intelligence to reframe a business and change the paradigm – how things are done within the organisation. By doing so, dealers will be able to move forward on a stable and profitable path.
UNRELATED DIVERSIFICATION
I deem unrelated diversification as involving bespoke products – ones which are more complex and require knowledge currently unavailable in the business. Quite often the costliest to recruit for and build skills around,
they are still highly attractive and lucrative when viewed through the lens of Porter’s Five Forces model. Examples include print management, workwear and promotional items.
Creating customised print pieces, for example, is both complicated and risky. The risk arises from handling intricate projects and the possibility of getting things wrong – if you don’t get it right, the cost is entirely yours to bear. That’s why if you’re planning to take full advantage of the opportunities your customers present in supplying their printed materials, it requires a significant investment in both staff and technology.
People who understand the industry and products, can take a brief, evaluate available options and either source or sell accordingly, are essential. Staff should be knowledgeable about artwork, file formats and technical aspects, enabling them to engage in meaningful customer conversations.
A different future can be built by harnessing the current client base and internal intelligence
Additionally, salespeople need to know what makes a good print client, possess situational awareness and have the ability to identify the root cause of issues and guide purchasers on how to resolve them. This expertise should extend across operational and marketing print.
All bespoke products have their challenges, but the possibilities they offer are immense. Most clients purchase them in differing quantities and by working closely to provide high-quality solutions, you position yourself to not only meet their needs but also compete against established players in that market. By staying in tune with the dynamics of the sector, you can transform your dealership.
What we can see as regards related and unrelated diversification is the difference in the complexity involved. However, using related products to begin developing additional sales within a particular category is a great way to start. Once you gain confidence and build experience in that area, you can progress from there.
MAKE THE COMMITMENT
I mentioned earlier that business diversification should be the Holy Grail for dealers today. When making the leap and commitment to selling new product categories to your clients, you’re entering a new market.
This means you’ll begin having conversations with different buyers – ones that know the sector and the competition, and, in some cases, may actually know more than you.
That’s why, when I made the jump, my aim was never just to sell a diverse product range. I was determined to diversify the business in such a way that, when we moved into a new product or service, we would enter the market as though we truly belonged there. We wouldn’t only compete against other office supplies dealers but take on the established players. It was those opponents we were committed to emulate and ultimately beat.
So, I made the pledge to invest in each category to enable it to stand on its own two feet. Each was given its own sales and support function, go-tomarket proposition, technology, management and profit targets. My objective was to position us so, hypothetically, at some point in time, we could lift any of the divisions, move them to their own premises and operate them independently of the group. And it’s
Business diversification should be the Holy Grail for dealers today
exactly what we achieved.
There is a tremendous opportunity to reshape your future by making the right decisions and creating a new business. Take advantage of the expertise and customers you already have and provide them with a unique supply of products and services which make their lives easier and operations more profitable.
You need to understand a purchaser’s current operational challenges, such as managing multiple suppliers. It’s crucial to demonstrate that you have the situational knowledge, the breadth of services, products, skilled people and technology to help them solve procurement problems efficiently and effectively.
Maximise the customer and market opportunities available to you. Whatever choices and routes you decide upon, I wish you the best of luck in your journey forward.
Breaking out
Creating the heart of the workplace.
By Michelle Sturman
Hybrid working remains a contentious topic as many organisations continue to push for employees to return to the office. Finding ways to entice staff back into the workplace is an ongoing challenge, with the breakroom emerging as a key focus for many companies. From catering options and furniture to cleaning protocols and creative zones, every detail matters. Modern breakrooms now incorporate features such as libraries, fitness areas, games and social hubs – all designed to make the space more inviting.
Well-designed breakrooms have evolved beyond just places to take a break. It’s where colleagues can relax, recharge, chat and even spark new ideas. Open to everyone, these areas often serve as the birthplace of friendships and can create a sense of unity among teams. They are also more than just somewhere to unwind; the breakroom embodies company culture, reflecting its commitment to employee wellbeing.
Research from office design and build specialists
Peldon Rose reveals that 27% of UK workers desire breakout spaces with sofas, and 30% say these spaces would make them feel more comfortable in their office. Refreshments like snacks, coffee and soft drinks are top of the list for boosting productivity, with 37% citing their importance. Other popular features include plants (29%), personal storage (28%) and private kitchens (27%).
INVESTMENT AHEAD
Organisations are increasingly investing in the breakroom as a key component of the employee experience. Helena Hills, co-founder of TrueStart Coffee, anticipates an exciting year ahead for the breakroom and catering markets. “More employees are returning to the office, especially in the winter when heating costs make working from home less appealing,” she explains.
The sector is buoyant, with companies offering free drinks and snacks to encourage office attendance. However, Ryan Torrible, Operations Director at NWT FM Solutions, warns of potential challenges in 2025: “Inflation, transport disruptions and climate change are driving up the cost of a cup of coffee,” he states, but adds that the office catering tin remains excellent value when broken down per cup.
He says that while the industry has seen sluggish progress in new product development over the past year, bean-to-cup machines are increasingly in demand, driven by the growing focus on high-quality coffee. “Brands like Lavazza, Kimbo and Belgravia are now a familiar sight in many offices. Quality biscuits, particularly Border Biscuits and Walkers, have also proven extremely popular, but manufacturers have struggled to keep pace with demand.”
Hills emphasises that premium coffee plays a vital role in workplace interactions, contributing significantly to employee wellbeing and fostering collaboration in
an inviting breakroom environment. “As a complete category partner, we work closely with clients to craft tailored coffee experiences that reflect their culture and energise their teams. This could be as simple as offering a premium instant coffee option or finding the ideal bean-to-cup machine,” she adds.
Of course, there’s no forgetting the nation’s favourite brew: tea. Market intelligence firm Mintel predicts that the UK tea market will experience modest growth, with sales expected to rise by 1.1% to £884 million between 2023 and 2028, despite a projected decline in volume sales. However, the organisation also highlights the necessity for tea brands to innovate and diversify to stay competitive amid growing challenges from coffee, soft drinks and foodservice options.
They say variety is the spice of life and Torrible is quick to agree: “One size doesn’t fit all. In 2024, NWT introduced over 400 catering lines to meet demand. Coffee beans, premium biscuits and healthy drinks are categories where we’ve seen triple-digit growth over the past year.”
An often-overlooked trend in the breakroom and catering industry is seasonality. Embracing flavours like cinnamon, salted caramel, pumpkin spice, ginger and nutmeg during autumn and winter, for example, can cater to changing tastes and drive additional sales.
FLEXIBLE SOLUTIONS
Many companies are repurposing existing spaces to enhance functionality. The focus has shifted to creating spots that promote teamwork, relaxation and productivity. The furniture within these spaces plays a crucial role in their success.
Nicola Speers, General Manager at Dynamic Office Solutions, emphasises the growing requirement for multifunctional spaces: “Businesses are investing in areas for casual meetings, wellness pursuits and even
BREAKROOM BONUS
small events. Biophilic design is gaining popularity, alongside amenities such as standing desks, yoga mats and healthy snack options.”
Dynamic has responded to the call for versatility and employee comfort, introducing modular seating that can be easily reconfigured for different group sizes and activities. It has also embraced smart technology, incorporating features like charging stations and built-in screens into its furniture.
Moreover, Dynamic tailors its solutions to meet the specific needs of each customer. As Speers explains: “We begin by assessing the unique culture and requirements of each organisation, conducting surveys to understand employee preferences and work styles. We also consider branding and aesthetics to ensure the breakroom reflects the company’s identity.”
There are plenty of creative ideas to enhance breakrooms:
• Mindfulness zone
• Quiet spaces and nap pods
• Fitness corner – weights, yoga, etc
• Active games area – foosball, table tennis, giant Connect 4, air hockey table, pool table
Coffee beans, premium biscuits and healthy drinks are categories where we’ve seen triple-digit growth
Contract furniture supplier Tabilo understands the importance of fulfilling diverse budgets for successful breakroom upgrades. Marketing Coordinator Robert Thomas says the company is focused on supporting businesses without the resources for large, project-led fit-outs. “Our approach combines stocked furniture for quick turnaround with bespoke, modular options that can be customised to meet specific needs,” he explains.
“Customers can, for example, select exact frame sizes and shapes, choose from a variety of tabletop materials, and pick from hundreds of colour options for both tabletops and bases,” he adds.
Emphasising ergonomics in breakroom furniture will resonate with businesses prioritising wellness
CLEAN AND GREEN
Changing the breakroom into a bespoke, more homely and comfortable space – far removed from the stark, sterile and boring designs of the past – reflects postpandemic trends. These include a growing preference for natural elements like plants, access to light and outdoor views, and an increased focus on creating cleaner, more hygienic environments.
This is supported by surveys conducted by SC Johnson Professional and others, which highlight the need for more frequent cleaning in workplaces, particularly in kitchens and bathrooms. A YouGov survey commissioned by SC Johnson Professional in September 2022, involving over 5,000 people across France, Germany and the UK, found that nearly half (48%) believe hygiene standards in public spaces and workplaces fall short of expectations.
Additional research from SC Johnson Professional indicates that younger generations show a strong preference for well-known brands, with decisionmakers often opting for cleaning products they use at home for the workplace. The vendor also reports that global hygiene product sales within hospitality settings are on the rise, reflecting a growing emphasis on cleanliness and brand familiarity.
Sustainability remains a priority in the breakroom sector, though Torrible notes a slight decline in demand for environmentally friendly products. “The category performs well if it’s cost-effective; however, paying a premium for these lines seems to be a step too far during times of high inflation. People now expect ecofriendly credentials from major brands, rather than just from niche, expensive ranges.”
Despite this, sustainability continues to be a strong differentiator for brands like TrueStart Coffee, which offers carbon-negative instant coffee and prioritises ethical sourcing and eco-friendly packaging. Says Hills: “Sustainability is at the core of TrueStart. As the only certified carbon-negative instant coffee, our clients particularly appreciate that we help them reduce their carbon footprint.
“You can really enhance the breakroom experience with brands like TrueStart Coffee – products that not only offer exceptional quality but also lead in sustainability credentials.”
One of the most significant changes in the catering and breakroom sectors has been the shift in food and drink packaging, from single-use plastic to more environmentally friendly materials. According to Mintel, seven out of ten UK consumers are concerned about food packaging waste ending up in the sea, landfill or local environments.
Recycling is also a major issue, with widespread confusion over which types of packaging are the most sustainable. For beverages, there are simple solutions to help reduce waste, such as using filtered water machines connected directly to the mains and opting for ice machines to eliminate plastic bags of ice.
The growing importance of the breakroom in the workplace presents a wealth of opportunities for dealers – ranging from full refurbishments and fit-outs to adding thoughtful extras like games, plants and sustainable options.
As Speers advises: “Dealers should focus on understanding a client’s specific needs and trends in employee engagement. Staying on top of the latest design and technology innovations can help set them apart. Moreover, emphasising ergonomics in breakroom furniture will resonate with businesses prioritising wellness. Building strong relationships with suppliers to offer a diverse range of products can also strengthen their value proposition.”
three UK
Top
snacking motivations: Comfort, reward myself, to relax
Source: Fifth Annual State of Snacking report, Mondelez International
Falling short
The world’s climate leaders gathered in Baku, Azerbaijan for COP29, and while the headlines might seem distant, the outcomes are anything but irrelevant
Although every recent Conference of Parties (COP) seems plagued by political grandstanding, argumentative nitpicking, plenty of ‘oops, I shouldn’t have said that’ moments and, in the case of this year, even a dramatic walkout, COP29 in Baku was contentious from the start. Held from 11–22 November, the conference drew criticism from the outset due to its host country, which generates a significant portion of its GDP – and over 90% of its export revenues – from oil and gas. The controversy deepened during Azerbaijan President Ilham Aliyev’s opening address, where he reiterated that natural resources, including oil and gas, are “a gift from God” and defended their extraction.
We are racing the clock. Violent weather is inflicting human tragedy and economic destruction worldwide
- United Nations Secretary-General, António Guterres
While he noted that Azerbaijan contributes just 0.7% to global oil production and 0.9% to gas, such comments may
have been better avoided. The criticism was exacerbated when Azerbaijan’s Deputy Minister of Energy and COP29 CEO, Elnur Soltanov, was caught agreeing to include discussions on oil and gas investment opportunities during the summit. Adding fuel to the fire, there was widespread backlash over the heavy presence of fossil fuel industry lobbyists.
TRADING UP
Despite the controversies, COP29 did deliver some positive outcomes. Dubbed the ‘finance COP,’ the event finalised long-awaited rules for the Paris Agreement’s global carbon trading system under Article 6. In essence, this mechanism allows polluting countries and companies to purchase credits to offset their emissions from lower-polluting nations that earn credits through climate-positive projects.
Although many agree this system could help countries achieve their climate targets, critics argue it risks enabling heavy polluters to continue business as usual rather than actually reducing their emissions. Still, the framework opens up opportunities for UK firms to engage in a global ‘stock market’ of green investments – either by supporting sustainable projects or using carbon credits to balance emissions.
The carbon trading system could prove instrumental as the UK announced a new target at COP29 to slash GHG emissions by 81% by 2035. This upgrade from the previous Nationally Determined Contribution (NDC) target of a 68% reduction by 2030 sends a strong signal from the Labour government that tackling the climate crisis is firmly back on the national agenda. Stricter policies are expected to follow, pushing businesses to accelerate their net zero strategies.
The only way to protect current generations is by making Britain a clean energy superpower, and the only way to protect our children and future generations is by tackling the climate crisis
With the current $100 billion commitment expiring next year, a new deal needed to be struck at this COP. Talks turned fiery when an initial proposal of $250 billion caused members of the Alliance of Small Island States to stage a walkout as tensions reached boiling point.
- UK Secretary of State for Energy Security and Net Zero, Ed Miliband
Commenting on the announcement, Secretary of State for Energy Security and Net Zero Ed Miliband said: “Britain is back in the business of climate leadership, with an ambitious new target that will protect our environment, deliver energy security and restore our global climate reputation. We will cut emissions across the country, delivering for our environment and ending our exposure to spiking fossil fuel markets.”
The UK also made additional commitments during the two-week summit, including £239 million to combat deforestation and funding for 20 projects aimed at safeguarding marine environments and supporting coastal communities globally.
FURY AND FURORE
The conference’s most dramatic moment came as negotiators worked through the night and over deadline on the New Collective Quantified Goal – specifically, how much developed countries would give to developing nations in annual climate finance.
After prolonged and contentious discussions, the final Baku Finance Goal was set at $300 billion a year, with a global target of $1.3 trillion by 2035. However, many countries remain deeply unhappy as the figure constitutes a fraction of what is actually required and the final text lacks details on how the larger figure will be achieved. There was also widespread disappointment that the final text failed to up the ante on last year’s pledge to ‘transition away’ from fossil fuels.
Next year’s summit, hosted by Brazil, now carries high expectations to outshine its predecessor in both outcomes and organisation. The main theme of COP30 will revolve around the new NDCs, which are due for submission in early 2025.
For all its faults, COP remains pivotal for global climate negotiations. While the policies may seem a world away, they have ramifications for UK businesses as their ripple effects are felt through every corner of the economy.
Let me be clear. There is no national security, there is no economic security, there is no global security without climate security
– UK Prime Minister, Keir Starmer
Lee Senior explains how to leverage automation for smarter lead nurturing and conversion
From leads to loyalty
In today’s highly competitive business products market, customers seek more than just products –they expect a personalised experience and real value. To meet these expectations, workplace supplies dealers need to refine their approach, turning casual interest into lasting loyalty. The key? Smart strategies for nurturing leads and optimising conversions, supported by automation tools.
WHY IT’S IMPORTANT
Lead nurturing is all about building meaningful relationships with potential clients, steadily guiding them towards a purchase. It is especially critical in industries like business supplies, where buyers are often detail-orientated and budget-conscious. The decision-making process can take weeks – or even months – as customers carefully consider their options. However, lead nurturing isn’t only about following up. It involves providing something valuable at every stage of the journey. It could mean sharing insights on industry trends, offering cost-saving advice or supplying tips to boost productivity. Dealers offering this kind of content can position themselves as trusted advisors rather than just another seller.
Automation tools such as Force24 can make this process much more efficient. For example, if a customer repeatedly browses the printers section of a website, tailored emails comparing printer models, breaking down costs or promoting special offers could be sent. Although automation simplifies the workflow, the true success lies in understanding the buyer’s wants and needs.
CONVERTING LEADS
While nurturing leads move customers closer to making a decision, turning interest into an actual sale requires careful planning. Dealers often need to manage multiple steps, from handling initial enquiries to negotiating prices, assessing products and even navigating bulk order discussions. Keeping up momentum is essential – delays or missteps can result in lost opportunities.
Automation can help to keep everything on track. For instance, when a prospective client downloads a white paper on eco-friendly office supplies, a followup email showcasing a related product or service can be sent automatically. These workflows allow sales teams to focus on closing deals and maintaining steady communication with other prospects.
Lead
nurturing is all about building meaningful relationships with potential clients
Personalisation is equally important. Segmenting leads by factors such as company size, industry or purchasing habits enables dealers to create messages that resonate. For instance, larger companies might respond well to bulk pricing options, while smaller businesses may prefer flexible payment plans.
Customised communication like this makes it far more likely to secure sales in a crowded marketplace.
USING DATA TO ENGAGE
Lee Senior is Programme Director, Strategic Relationships at Force24
Data is an invaluable resource when it comes to lead nurturing. The right tools help dealers to understand what engages prospects and adjust their strategies accordingly. For example, high click-through rates on certain emails may highlight popular topics, while website traffic data can reveal which products are attracting the most interest.
Imagine spotting a surge of attention in ergonomic chairs. Armed with this knowledge, a dealer could launch a campaign concentrating on the benefits of ergonomic seating, feature testimonials or offer promotional discounts. This kind of tailored, data-driven communication demonstrates to customers that their preferences are being taken into account.
Real-time insights are especially effective, as they allow dealers to adapt their approach as client priorities evolve. This ongoing refinement helps to fortify partnerships and ensure repeat business.
FOCUSING ON THE LONG TERM
A sale should never be the end of the relationship. Retaining customers takes effort and staying connected can make all the difference. Whether it’s sharing product updates, sending out newsletters or conducting occasional surveys, such small actions show clients that a dealer values their long-term business.
Automation can play an important role in postpurchase engagement. For instance, a customer placing a bulk order during the back-to-school season may appreciate a reminder about similar promotions the following year.
Feedback is another crucial element. Automated surveys or follow-ups can provide valuable insights into how satisfied purchasers are and what could be improved. By acting on this information, dealers can elevate the overall customer experience and strengthen their brand in the process.
STRATEGIC USE OF AUTOMATION
While automation is a powerful tool, it must be used thoughtfully. The aim isn’t to replace personal connections but to enhance them.
When done well, it helps businesses be more proactive, delivering meaningful interactions at the correct time. By creating workflows which prioritise personalisation, dealers can streamline operations without losing the human touch. Automated tools make it possible to segment leads, craft targeted messages and use data-driven processes to create a smoother customer journey.
Striking the perfect balance between efficiency and personal engagement is key to building trust and fostering long-lasting partnerships.
SETTING THE STAGE FOR SUCCESS
Prosperity in the workplace supplies industry hinges on strong relationships. Dealers that invest in nurturing leads and optimising conversions set themselves apart in a crowded market. Automation helps scale these efforts without sacrificing quality, ensuring every interaction adds value.
Real-time insights are especially effective, as they allow dealers to adapt their approach as client priorities evolve
Ultimately, lead nurturing isn’t just about boosting sales – it’s about creating a foundation for lasting success. Dealers that take the time to understand their customers, provide bespoke solutions and maintain consistent communication will thrive. With the right mix of technology and personal connection, businesses can build loyalty, inspire trust and drive continued growth.
Earlier this year, when we asked industry executives for their thoughts on areas the new government should prioritise (read Labour intensive Workplace360 September 2024, page 26), increasing the tax burden on businesses –unsurprisingly – wasn’t one of them.
On 30 October, Chancellor Rachel Reeves delivered the first Labour budget in 14 years. The headline figure was an increase in spending by almost £70 billion a year over the next five years as – among other things – the government endeavours to make the country’s creaking public services fit for purpose.
While tax hikes in a budget are hardly anything new, just over half of the £70 billion – £36 million – is set to be funded by an increase in taxes on businesses. Most of this will come from higher employer National Insurance contributions (NICs), which will rise from 13.8% to 15% on 1 April 2025. At the same time, the threshold at which firms start paying NICs on an employee’s earnings will be lowered from £9,100 to £5,000.
The budget outlined a reduction in business rates relief for the retail, hospitality and leisure sectors. This will decrease from 75% to 40% in 2026, effectively increasing the tax liability on these industries by £2.7 billion over the next few years.
Other measures affecting employers include a 6.7% rise in the National Living Wage (NLW) for those over 21, also starting next April, with 18-20-year-olds getting an even bigger percentage increase.
Budget’s business burden
Higher employer costs are likely to lead to near-term job and pricing pressures.
By Andy Braithwaite
ADDED PRESSURES
Regarding the upcoming NLW revisions, BOSS Federation’s economic advisor Kyle Jardine noted: “The government will promote this as a pay boost for millions of workers, but there will be concerns from businesses about the extra costs and added pressure to maintain pay differentials throughout their entire employee pay structure.”
There will be concerns from businesses about the extra costs and added pressure
The Autumn Budget was widely panned by small business groups. Independent retailer association BIRA condemned it as “devasting” and “potentially catastrophic” for Britain’s high streets. The Federation of Small Businesses said many SMEs would “struggle” with the NIC and NLW changes and warned of “possible negative impacts on jobs, wages and prices”.
The CBI welcomed the intention to reform the business rates system and investments in infrastructure but indicated the NIC rise could impact growth, leading to reduced investment, hiring freezes, lower pay, price increases and jobs moving overseas.
Theo Paphitis: a bitter pill to swallow
Unless we get growth following on from this, there are going to be repercussions
Meanwhile, the Office for Budget Responsibility (OBR) forecast the announced measures could lead to a temporary upturn in the economy but warned of a potential slowdown in the medium term, as the additional tax pressure might dampen private sector investment and consumer spending.
BLUNT INSTRUMENT
A high-profile figure who backed Labour during the 2024 election campaign was Ryman owner and small business champion Theo Paphitis, who for many years was a staunch Conservative supporter.
He was reluctant to openly criticise the government, but – appearing on the BBC – called the budget a “tough one” for business and a “bitter pill to swallow”.
“We fully take on board that public services are on their knees and need to be paid for,” he said. “[However], I didn’t expect [the budget] to be such a blunt instrument straight onto business.”
He noted that company owners are “great at playing with the cards they are dealt” but highlighted the importance of reforms to drive an improving economy. “Governments create the environment for growth; taxing doesn’t create growth,” he stated, adding: “The big message is the OBR growth rates are clearly not enough on their own and we need to see reforms and initiatives from government that will [enable these rates to be much higher].”
He also warned: “We’re going to have to mitigate [the budget impact] in many ways and, unless we get growth following on from this, there are going to be repercussions.”
He wouldn’t be drawn into specifying what ‘repercussions’ could mean but, like other leaders, Paphitis might have to make some tough decisions in the coming months.
VIEWPOINT
UOE CEO and Postmaster Elliot Jacobs heads one of the UK’s leading independent workplace supplies and services companies, serving over 1.5 million customers. Below is his reaction to the Autumn Budget:
Entrepreneurs and small businesses are the true engines of a growth economy, driving innovation, creating jobs and stimulating local investment. Yet, rather than encouraging boldness and opportunity, this budget fosters retrenchment and uncertainty.
It undermines entrepreneurial spirit by forcing companies to focus on survival instead of expansion. For a government aiming to build a thriving economy, these measures risk stifling investment and, most importantly, confidence.
For many retail and hospitality operators, the added costs will exceed their annual profit, leaving them with few viable options: cut costs, reduce staff, or raise prices. None of these choices create the economic growth the Chancellor needs to deliver her ambitious goals.
Rather than encouraging boldness and opportunity, this budget fosters retrenchment and uncertainty
Business rates remain a perennial issue across the country, widely acknowledged as a broken system in desperate need of reform. Successive governments have promised change, yet meaningful action remains elusive.
Instead, the reduction in retail and hospitality support from 75% to 40% in the recent budget effectively raises the cost of business rates by a staggering 140%. Combined with rising wages and increased National Insurance contributions, this places immense strain on firms already operating on razor-thin margins.
A fundamental overhaul of the business rates system and broader assistance for entrepreneurial risk-taking is urgently required to restore confidence and lay the foundations for sustainable economic success. In its desire to avoid directly taxing the general public, the government is pushing businesses to ‘tax’ their customers with higher prices instead.
Elliot Jacobs
Transforming packaging
Sustainability, technology and regulatory shifts are redefining the UK packaging sector. By Kate
Davies
The global surge in parcel shipping, fuelled by the relentless growth of e-commerce, shows no signs of slowing down. According to the Pitney Bowes Global Parcel Shipping Index 2023, worldwide parcel shipments reached 161 billion in 2022, up from 159 billion in 2021. With an average of 74 parcels per person each year, the UK ranks among the highest-scoring countries.
This ongoing demand highlights the crucial need for versatile, sustainable packaging materials. Michael Bothe, Head of Sales and Marketing Specialized Trade at tesa, states that e-commerce has resulted in the adhesives manufacturer recording “remarkable growth” in the sale of packaging tapes.
Dealers offering solutions, such as lightweight, recyclable materials and customisable packaging, are well-positioned to meet the needs of this expanding market. Digital printing, for instance, enables businesses to personalise packaging at scale, enhancing the customer experience.
Similarly, developments like on-demand packaging encourage the large-scale adoption of right-sized packaging – reducing waste while delivering economic and environmental benefits. Packaging automation firm Packsize, with its advanced systems and machine technology, offers B2B customers a tailored system designed to create a more efficient packaging environment. Beyond achieving sustainability targets, right-sized packaging can also streamline box management, boost throughput and optimise warehouse space.
By embracing these technologies, dealers can tap into a growing market of customers looking to stand out in the crowded e-commerce landscape.
A DRIVING FORCE FOR CHANGE
Indeed, sustainability has transitioned from a trend to a necessity. As Bothe observes: “There is a clear move towards more sustainable packaging tape solutions, both among our customers and retail partners.”
According to intelligence provider GlobalData, the UK sustainable packaging market had total revenues of £13 billion in 2023.
Recent innovations highlight this promising shift towards sustainability within the packaging sector. For example, mycelium-based packaging has proven its viability through pioneers like the Magical Mushroom Company. By combining agricultural waste with fungal roots, the company creates biodegradable alternatives
By 2023, the global smart packaging market is projected to reach a value of
£30 billion
Source: Smart Packaging Market Outlook (2023 to 2033), Future Market Insights
in 4
UK online shoppers would stop ordering from a company because of excessive, non-recyclable packaging
Source: Does your packaging meet consumer expectations?, DS Smith
to polystyrene. Remarkably, this packaging is fully biodegradable within 45 days, while it also maintains a shelf life of up to 30 years if stored in dry conditions.
Meanwhile, packaging firm DS Smith has redesigned traditional rigid multi-pack bottle shrink-wrap through its Lift Up solution, a 100% recyclable, fibre-based alternative to plastic wrapping.
Paper bottle technology is also advancing with companies like Paboco leading the way. Founded in 2010, Paboco’s paper bottles are made primarily from renewable wood fibres and feature bio-based barriers for liquids. The business began full-scale production of the sustainable bottles this year, with a target of delivering at least 20 million bottles by the end of 2025.
So far, Paboco has collaborated with several global brands, including Absolut Vodka, P&G and The CocoCola Company. Absolut tested the product in UK supermarkets in 2023 and received positive feedback – consistent sales and consumer appreciation for the initiative – despite initial scepticism. According to Absolut, more tests are in the pipeline, such as longdistance shipping and larger volumes.
ADDRESSING REGULATIONS
The move towards sustainable packaging is becoming unstoppable, especially as environmental regulations tighten. The EU’s recently introduced Packaging & Packaging Waste Regulation (PPWR), for example, establishes minimum packaging design requirements
P&G’s paper bottle for Lenor in partnership with Paboco
Of consumers worldwide see compostable and plant-based packaging as the most sustainable
Source: Sustainability in packaging 2023: Inside the minds of global consumers, McKinsey & Company
that must be met in order to be allowed on the EU market. By 2030, only packaging achieving a recyclability grade of A or B (70% or higher) will be permitted. By 2038, this threshold will rise to 80%, further pushing companies, including online retailers, to make lasting changes to their packaging materials.
The UK government has implemented similar measures with the Plastic Packaging Tax, effective since 2022. It stipulates a business trading in the UK that manufactures or imports plastic packaging containing less than 30% recycled plastic is taxed £217.85 per tonne.
Suppliers like Antalis continue to adapt to the regulations, recently adding recyclable, biodegradable paper strapping and paper-based documents enclosed wallets to its e-commerce portfolio. Unlike traditional plastic wallets, which require separation, Antalis’ paperbased alternative can be recycled with the carton.
Antalis Packaging Product Manager Amy Skingsley says: “Although plastic still has an important role to play in certain types of packaging, reducing reliance on single-use plastics where possible is an important criterion when exploring new products.”
Initiatives such as these help dealers meet sustainability requirements, especially when trying to appeal to eco-conscious customers. As can choosing manufacturers with certifications that demonstrate a commitment to sustainable production.
DEALER STRATEGIES
Focus on education: Organise workshops or provide resources to guide customers through regulatory changes.
Expand sustainable offerings: Stock products with high recycled content or FSC/PEFC certifications that will appeal to eco-conscious buyers.
Leverage technology: Partner with suppliers offering digital printing or customisable packaging solutions to heighten customer value.
Promote accessibility: Showcase products with inclusive designs to help clients cater to diverse user needs.
Although plastic still has an important role to play [...] reducing reliance on single-use plastics where possible is an important criterion
Tesa, for instance, has identified the Carbon Disclosure Project (CDP) and EcoVadis as the most relevant rating systems. “Alongside our EcoVadis gold medal status, we are delighted to have been awarded the highest CDP score – A – in 2023 for our climate protection efforts. These evaluations strengthen trust among customers, the wider public and stakeholders,” explains Bothe. “Independent assessments enable us to objectively measure and compare our performance.”
But it’s not all about the environment. Inclusive packaging represents an untapped market with significant potential as the workforce continues to diversify. Recent research by digital print solutions provider Roland DG reveals a clear gap in accessible food packaging for visually impaired customers. The survey of 500 UK adults with visual impairments found that 81% believe brands should be legally required to make their products more accessible.
This lack of accessibility poses serious safety risks, particularly for individuals with allergies or dietary restrictions. The survey found that 74% of respondents had picked up the wrong product, leading to 39% wasting money, 31% choosing something unsuitable for their dietary needs, and 23% buying products they’re allergic to.
GROWING PRESSURES
The packaging industry has not been immune to economic challenges. Inflation, rising energy costs and global conflicts have created upward pressure on material prices, impacting businesses across the supply chain. As a result, dealers should consider adapting product offerings to balance cost and quality. Solutions that enhance efficiency – such as right-size packaging –can not only reduce cost but also align with the growing focus on productivity and sustainability.
While the uncertainty around pricing and sourcing materials may continue for the foreseeable future, the increasing variety of packaging options provides plenty of new avenues to explore.
DS Smith’s Lift Up
Exceeding expectations
COL climbers conquer the elements for cancer research
More than 100 participants from the UK business supplies community set off for the annual Climb of Life (COL) on 15 November 2024 – and raised an incredible £90,623 for the Institute of Cancer Research (ICR). This climb not only marked the 18th consecutive year of COL’s support for the ICR but also celebrated surpassing a phenomenal £2 million in total fundraising since the event was created by Graeme Chapman MBE 37 years ago.
Trekkers faced some of the most testing weather in COL’s history. Torrential rain, icy winds and dense fog combined to make the terrain treacherous, with dramatically reduced visibility adding to the difficulty.
I never imagined this event would gain such interest
The harsh conditions led to one climber sustaining a dislocated shoulder – a stark reminder of the risks involved in this quest.
In the face of adversity, participants displayed resilience and determination. As COL organiser Philip Lawson stated: “The relevance of the event was put into focus when former ICR CEO, Professor Paul Workman, shared his experience of being treated for prostate cancer using ICR techniques and urged men over 50 to get regularly tested.
“Paul’s bravery showed the importance of COL, where fundraising – though challenging – remains the most vital aspect.”
The day also had its lighter moments, including the photo competition (below), which saw a crowdpleasing entry win over the judges with the playful caption: “Hope you get your tops off in the fells.”
A RECORD-BREAKING YEAR
Fundraising exceeded all expectations, driven by the remarkable efforts of teams and individuals alike.
Workplace360’s parent company OPI took the lead as the top corporate fundraiser, raising an impressive £27,000, followed by significant contributions from Hamelin, Raby Estates, Egan Reid and Office Power.
Adding to the COL monies collected, the Ride of Life – COL’s sister charity – raised £7,500, bringing the 2024 total closer to the pre-COVID benchmark of £100,000.
Amid the physical challenges and financial triumphs, the endeavour, as always, celebrated the philanthropic heart of the UK workplace supplies community. Reflecting on 37 years of COL, Chapman said: “I never imagined this event would gain such interest and still be going strong so many years later.”
As COL’s intrepid climbers now enjoy a welldeserved rest, the planning for 2025 is already underway. Here’s to another year of breaking records and making a difference.
The Climb of Life will return on 14 November 2025, with the Swan Hotel in Grasmere continuing its role as ‘base camp’.
WINNERS UNVEILED
The sold-out event was a vibrant celebration of success, emotion and laughter
2024 BOSS Awards winners
BOSS Apprentice of the Year Award
The 2024 BOSS Awards lit up Birmingham on 28 November with an unforgettable evening of celebration, heartfelt tributes and lively partying. Honouring the finest achievements in the UK business products industry, it was certainly a night to remember.
Kicking off the day was the Leaders of the Future (LOTF) Conference, featuring skills workshops and an inspiring keynote from Angie McQuillan on how behaviours shape confidence (read LOTF Conference challenges imposter syndrome on page 7).
Actress and comedian Debra Stephenson brought her wit and charm to hosting the ceremony, which was followed by networking, celebrations and dancing into the early hours with live party band Seven.
BOSS AWARDS 2024 WINNERS:
• Brand Manufacturer of the Year: Leitz Ergo, ACCO Brands
• Business Leader of the Year: Tim Beaumont, Nemo Office Club
• Campaign of the Year: National Stationery Week
• Dealer of the Year (under £5 million): Aston & James
• Dealer of the Year (over £5 million): Paperstone
• Diversity and Inclusion Award: Essity
• E-business Award: Haybrooke Associates
• Independent Retailer Award: UOE
• New Product of the Year: Tork/Essity – Natural Colour Washroom Products
• Outstanding Team of the Year: YPO Supply Chain
• Service Provider of the Year: Office Power
• Sustainable Leadership Award: Lyreco UK & Ireland
• Wholesaler of the Year: VOW Wholesale
• Rising Star of the Year: Volodymyr Pylypenko, Reckitt
• BOSS Apprentice of the Year Award: George Lloyd, United UK
• Unsung Hero Awards: Nigel Busby (InControl Marketing), Austin Coyne (Haybrooke Associates), Sarah Findley (Banner UK), Gary Fowmes (Avery UK), Norman Hind (Prima Software), Vikki Smith (VOW Wholesale), John Smith (United UK), Mandy Wisbey (ACCO Brands), Lindsay Wood (Office Friendly)
• Professional of the Year: Linsey Adams, Reckitt
• Outstanding Achievement: Simon Drakeford
Congratulations to all the winners.
Service Provider of the Year
Rising Star of the Year
Wholesaler of the Year
Unsung Hero Awards
of the Year
Workplace DNA
Your culture is your brand and your brand is your culture
How often do we stop to measure the culture within our organisation? After all, it plays a crucial role in every aspect of a business, influencing performance, recruitment, retention and brand identity – both internally and externally. Companies with great culture frequently attribute their success to it, while those that struggle rarely acknowledge the damage caused by a poor one.
I remember my first job in sales – the organisation I worked for was built on its exceptional culture. The values of the senior management team filtered through, ensuring every employee understood their role in achieving the company’s goals. The ethos of ‘we win together’ flowed throughout the business, fostering teamwork and collaboration across departments.
I vividly recall the CEO making a statement that I still love using 20+ years later. It was a very simple line and anyone who worked there knew the saying well: “We’re building a BETTER business – and having fun doing it!” Back then, it was no secret that the company was the market leader in its sector and was also welldocumented as a brilliant outfit by employees, suppliers and customers.
WHY DOES CULTURE MATTER?
A strong culture doesn’t just drive results – it helps attract and retain talent. Plus, there’s a direct connection between company culture and employee performance. Think about it this way: when staff members are happy at work and feel like their personal
Andrea Eli is Managing Director of The Pro Source Team
values resonate with those of the organisation, they will do a better job, put forth discretionary effort and be more open to feedback and growth conversations.
Building a good culture supports long-term expansion and business continuity. Firms with engaged, high-performing teams stand out, attracting top talent while forging a dynamic workforce of thriving employees and stronger ROI.
Building a good culture supports long-term expansion and business continuity
WHAT MAKES A GREAT CULTURE?
Creating a great culture takes effort – it doesn’t happen by chance. Open, transparent communication is key. I was lucky enough to have experienced this firsthand.
The aforementioned CEO regularly hosted ‘mixedlevel’ lunch meetings (with a free meal, of course) and the question he always asked was: “If there is anything you’d like to change in OUR business, what would that be and why?” This sparked honest dialogue.
Regular surveys were another tool used to measure and improve employee engagement. On one occasion, a staff member said it wasn’t fair that only sales teams received rewards and recognition. Management promptly responded by introducing awards for the top ten non-sales performers in addition to the existing honours. The CEO also subsequently introduced a ‘team of the month’ accolade.
There are many ways to quantify culture; doing so often elicits a few surprises. I’m sure most business leaders today want to ensure their culture is at its best. So, do a survey. Find out whether your team is truly on board with the company’s long-term goals or just there for the salary.
Do you collect anything?
I collect football shirts from different countries, and now my youngest son has taken it up.
Favourite holiday so far?
Richard Lockley, Director, Superstat
Proudest accomplishment?
I’m most proud of being made a Director at Superstat. I entered this industry in 2007 for what was supposed to be just one day of work through a recruitment agency –it’s been quite the journey!
What’s something new happening in your life?
I turn 40 next year, so I’ve been ramping up my exercise routine. I’ve recently discovered the racquet sport Padel – it’s great fun and burns a serious amount of calories.
Who would you like to swap places with for a day?
A British Airways pilot. I’m fascinated by flying and would love to have the skills to fly a plane long haul.
Favourite sport?
It’s impossible to choose. I love watching rugby league for its energy, but I’m equally passionate about cricket, football, boxing, rugby union and tennis. I also enjoy playing them all – my wife bemoans how much.
What’s your Sunday morning routine?
I am up early coaching my sons’ rugby teams. I swap between my eldest and youngest, so they don’t think I have a favourite. Then it’s back home for Sunday dinner – I love cooking.
The first time my wife and I went to Cornwall with the kids. They were old enough to stay up, play cards with us and go for dinner. It’s one of my favourite memories.
If you could be friends with any fictional character, who would it be?
Don Vito Corleone from The Godfather.
What was the last TV show you binge-watched?
My wife and I have been binging The Walking Dead We’d never watched it and then discovered there are 11 series!
Where did you grow up and do you still live there?
I grew up in Horsforth in Leeds, then lived in Newcastle for four years before returning to Leeds. I think that’s why I like to travel but always love coming back home –despite the weather.
What’s your favourite place to visit?
I love rural France for its night markets, food and wine.
Who is your hero?
Muhammed Ali – for everything he accomplished at a challenging time in his sport and for standing up for his beliefs. Even when his health deteriorated, he faced it with incredible grace, which I find inspiring.
Best concert you’ve ever been to?
I was fortunate to be at Glastonbury in 2009 for Bruce Springsteen & E Street Band’s epic three-hour set. It was pure magic.
Name three items on your bucket list.
Watching cricket in South Africa or the West Indies, a wine tour of Australia – especially the Margaret River Region –and going on safari, although mosquitos seem to love me so I might not make it back!
