Discount retailer Poundland has announced plans to open 30 stores a year, working towards a long-term goal of 400 outlets.
The bodycare-to-toys chain, which has a growing grocery offer, currently has 121 sites after adding 24 to its number in the past year and annual sales approaching £250m.
Chairman Colin Smith, speaking as Poundland revealed it was building a 300,000 sq ft distribution centre next to the Black Country Route near Wolverhampton, said there was great scope for further growth.
“We can clearly conceive this chain having 400-plus stores in future,” said Smith. “We believe
Poundland has the capability to grow into a big business. What we have to do now is build the capacity of the business and the infrastructure to deliver that.”
Smith said the company enjoyed “very strong” support from investors. The new distribution site, a stone’s throw from its existing 245,000 sq ft warehouse and HQ, represented an investment of £20-25m.
It is also in the process of recruiting store and area managers and is boosting its buying and merchandising capability. A dedicated merchandising director and buyers are being sought.
The chain is looking for stores of around 3-4,000 sq ft in high streets and shopping centres.
Smith said: “Other stores like us being there because we bring in greater footfall with each of our outlets generating around 13,000 transactions each week.”
Simon Mowbray