10-11_15_17_19.qxp_9/11/13/15/19/23/25 05/10/2024 13:27 Page 9
NEWS TOP STORY
Cardfactory Clinches Aldi Deal Costs knock profits as CF acquires Garlanna and US expansion confirmed
Right: Cardfactory
Extra costs have knocked Cardfactory’s everyday cards are to be sold throughout Aldi’s UK profits, but the UK’s largest greeting card and ROI estate. retailer of 1,073 stores (in UK and ROI) And Cardfactory shared plenty of good news in its interim has just completed results (for the six months to 31 July), with its the acquisition of card sales up, a deal secured to supply all Co Wicklow-based Aldi’s UK stores with everyday cards, an card publisher and acquisition of the Garlanna publishing wholesaler business in Ireland, expansion into the US Garlanna confirmed, and a bolstered partnership down Holdings, from under with The Reject Shop. founders Alan Combined sales performance for spring and Jackie season ranges demonstrated positive like-forMacNamee, which strengthens its position like performance with a particularly positive in Ireland. showing on Valentine's Day across cards – “Well, that’s it,” Alan told. “We finally took up 8.3% – and gifting – up 6.8% – which the decision to retire. It was not an easy included range development to reflect the one as I love the industry but, after 40 odd growth of family celebrations of this occasion. years, when someone comes knocking and On the gift and celebration essentials side, creates an exit we decided to take it. I’ll be new categories and expansion have seen a staying as consultant for a couple of baby gifting range introduced, while soft toy months only.” sales were up 27% like-for-like, Down in OZ, Cardfactory is at advanced confectionery rose 30%, and licensed ranges discussion stage with The Reject Shop to saw a 17% increase. renew the multi-year agreement In the six weeks since the including an extension to a fullperiod ended, Cardfactory has service model and seasonal secured a multi-year agreement range supply. with Aldi, Britain’s fourth biggest Cardfactory results showed supermarket to be the exclusive first-half revenue increased by everyday greeting card supplier 5.9% to £233.8million across the full 1,020-plus UK compared to a year prior, but the and Republic of Ireland estate. adjusted pre-tax profit This is a step up from the dropped by £7.6m to previous arrangement £14.5m due to higher when it shared the estate costs resulting from freight with IG Design Group for inflation, the phasing of everyday cards. strategic investments, and Cardfactory has also increases in the National secured entry into the US market through a nationwide Top: Alan and Jackie MacNamee have Living Wage. sold their Garlanna business to There was strong revenue wholesale retail partnership Cardfactory. Above: Cardfactory clinched the Radar growth in stores, with LFL which will roll out in time for award at The Licensing Awards. Chief Christmas – the retailer’s name commercial officer Adam Dury, along sales overall up 3.7%, with with colleagues collected the trophy. cards up 1%. has not yet been unveiled.
Flagging up Caring at Christmas There was plenty of flag waving at the GCA’s recent AGM & Conference as the greeting card Above: Kicking off Caring at industry gears up for Christmas early, Bristol the 2024 Caring At publishers Stormy Knight, Penguin Ink and Ricicle Christmas Cards went into local care campaign. Almost home, Bishopsmeans Lodge 100 care homes and to create cards with residents that Alpha Colour care home groups Printers will be printing. have come forward Below: Five $’s Matt already saying that Genower with Alpha Colour Printers’ Amy Mulgrew with they are looking for the Caring at Christmas card publishers and map at the recent GCA retailers to partner conference. with for this year’s Caring at Christmas card writing initiative, many of which have already completed a questionnaire with their full details, meaning they are ready to be paired up with someone from the greeting card community. There was a map of the UK on show at the recent AGM and Conference enabling attendees to add their flag, committing to run a Christmas card writing event. Matt Genower, Five Dollar Shake’s coowner and MD is the brains behind the scheme that launched last year with great success, bringing rewards to all those who participated. Determined to expand this wonderful initiative this year, Matt tapped into a Care Home Activity Organiser Facebook group, which has over 16,000 members, posting a message about the Caring at Christmas initiative, asking anyone interested to get in touch with Adriana Lovesy at the GCA. “It is still early days, but already almost 100 care homes and care home groups have been in touch, keen to instigate Christmas card writing events in their locations,” Matt told. “For anyone who participated last year will tell you, this is such a rewarding experience both for the care home residents as well as those from the greeting card community who made contact with the care homes.”
Oliver Bonas admits reality of costs dampening profits while sales soar Lifestyle retail chain Oliver Bonas, winner of The Retas Best Non-Specialist Multiple Retailer Of Greeting Cards in 2023, and a finalist in the 2024 awards, has seen its profits falter as it has battled growing interest rates and high inflation. In stark contrast to 2022, where profits at OB surged 21% to £9.1m from £7.7m, the year to 31 December, 2023, saw a
drop to £6.8m, while sales were up 18% to £136m. The retailer, which trades from 83 outlets and sells a surprisingly large amount of greeting cards said the overall economic backdrop over 2023 led to “subdued discretionary consumer spending”, noting it continued to invest in its store estate over the year, opening seven new shops as well
as relocating or increasing the size of eight others. The retailer has confirmed it remains committed to its multichannel approach, and is to continue to invest in new stores, relocations, refurbishments and its websites. Right: Oliver Bonas’ store in Kingston’s Bentalls Centre.
FOR THE LATEST NEWS VISIT PGBUZZ.net PROGRESSIVE GREETINGS WORLDWIDE 09