Page 24 - BOSS Today Issue 20
P. 24

2013 Review












                                                                                         Alan Ball of Spicers suggested
                                                                                         three events, all of which
                                                                                         pointed to a market undergoing
                                                                                         profound structural change:

                                                                                         “1: Officeteam: ignoring
                                                                                         all the spin, the fact
                                                                                         that they came out and
                                                                                         the business had to be
                                                                                         re-financed, the banks
                                                                                         were taking a greater
                                                                                         interest and the private
                                                                                         equity firms had to exit,
                                                                                         sent a message to the
                                                                                         industry that the market
                                                                                         was changing.

                                                                                         2: A similar change
                                                                                         happened with vendors.
       In turn, this has meant that   What were the three most   “I don’t think anything   Acco, for example, is a
       existing players have had to   3important single events   stands out, really.     global player that made
       investigate new models and   that occurred in the UK OP   There’s been a relentless   sweeping changes
       supply channels:           industry in 2013?           growth in on-line          across the world,
                                  For a couple of the respondents,   reselling in general   restructuring its model.
       “We have seen an           there was no ‘single event’   and in the Amazon        That was a tipping
       accelerated trend          that could be considered as   model in particular. It’s   point that also drove the
       towards people             important: however, both    been a stealth thing:      mentality of change in
       looking to do things in    were keen to emphasise (as   people don’t realise it’s   the industry.
       a different way. Each      others did) the growth of on-  happening. With Shoplet
       month I have found         line trading in general and of   coming to the UK too,   3: The events in the
       announcements of           Amazon in particular:       the whole experience       US: the Depot/Max
       new business models,                                   of on-line purchasing is   merger; Staples’ Q1
       eg Office Power,           “I don’t see anything       coming on now and if       statements indicating
       Cadabra etc.”              ‘new’ in 2013 that          people miss it, the train   that they were losing
       Robert Baldrey             warrants such an            will have left.”           money in Europe. These
                                  accolade. However,          Bob Geens                  sharpened people’s
       Finally, there was a belief   the ongoing march of                                thinking.”
       amongst the manufacturers that   shopping on-line we see   Two respondents felt that the   Alan Ball
       there had been a further shift   as the most important,   arrival of new OP wholesaler
       away from manufacturer brands:  as this is crashing prices   Gem had been significant:  Finally, Michael Gardner
                                  faster still and generally                             focussed on the importance of
       “The proliferation of      the on-line sites are not   “The launch of new         three BOSS events during the
       own label/private label    well established enough     wholesaler Gem. But can    year:
       and no-brands. People      or ‘clever’ enough to       the OP market sustain
       have been panicking        encourage trade up.         another wholesaler? Do     “1. The BOSS Awards
       and the OP wholesalers     So the job that has         we really need more        remain the highlight of
       have extended their own    ‘always’ been done in       capacity in the market?    the industry year and
       label ranges beyond        mass retail - and more      Another warehouse? I’ve    recognise all that is
       commodity lines,           recently with growing       said at a dealer event     excellent in our industry.
       producing a downward       success in catalogue -      recently that Gem is the
       effect on cash margins     now urgently needs to       answer to a question       2. The CEO Conference
       and sales revenues.”       be done on-line.”           that no-one has asked!”    at the BOSS Members’
       Sean Starkey               Philip Beer                 Robert Baldrey             Day: we got over 100
                                                                                         CEOs in the industry
                                                                                         networking and


       24  BOSS TODAY | December 2013/January 2014


   Review.indd   4                                                                                           02/12/2013   11:41
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