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BIG INTERVIEW

Steve Hilleard, OPI

January/February 2025

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CONTENTS 24 Big Interview Steve Hilleard spills the beans on 30 years at OPI 34 Focus Contentious from the beginning, COP29 delivered some results, but the expected impact remains uncertain 36 Spotlight What’s in store for 2025?

Industry peers give their take on the year ahead 42 Category Update Turbulence has been the name of the game in the writing instruments category, but calmer waters are ahead

Big Interview: Spilling the beans

OPI’s Steve Hilleard has been in the interviewer’s seat many times over the years. This time, the tables are turned and he finds himself on the receiving end of a long list of questions. The occasion? In 2025, Hilleard celebrates 30 years at OPI, a milestone compounded by another impressive number: 25 years as CEO. Avery UK’s Head of Sales Shaun Tidman probes him about his journey – the highs and lows, the scary, rewarding and the outrageous. And, of course, the future – what’s to come for this individual who has dedicated almost his entire career, life even, to the business products industry?

SPOTLIGHT: CHALLENGES AND OPPORTUNITIES

50 Category Update With constant fluctuation of supply and demand, the paper sector is a tough place to be 54 Advertorial China-based stationery firm Deli sets its sights on growing its presence in Europe and the US 56 Research The State Of The Business Products Industry 2024-2025 58 Preview: OPI Partnership The event returns to Amsterdam for the 11th time, once again bringing together leading vendors and resellers from across Europe

REGULARS 5 Comment 6 News 16 Green Thinking News 20 OPI Small Talk 60 5 minutes with...

Szilvia Lázár 62 Final Word Marc Teulières

January/February 2025

2024 was a ‘combative’ year in the core office categories. All things being equal, we predict similar trends for 2025.

That said, we do see some important category dynamics accelerating within the workplace this year and will focus our energy on unlocking them with our alliance partners across the merchandising team.

Areas include: continuing to tap into the potential of hybrid working; accelerating the digitalisation of our offering; innovating around the wellness theme – be it physical or mental; and the need for us to represent a clear direction on our social purpose.

46 Opinion Darlene Akers explores the current state of the education market, highlighting a multitude of opportunities

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COMMENT The OPI team EDITORIAL

Editor Heike Dieckmann +44 1462 422 143 heike.dieckmann@opi.net News Editor Andy Braithwaite +33 4 32 62 71 07 andy.braithwaite@opi.net Assistant Editor Kate Davies kate.davies@opi.net Workplace360 Editor Michelle Sturman michelle.sturman@workplace360.co.uk Freelance Contributor David Holes david.holes@opi.net

SALES & MARKETING Chief Commercial Officer Jade Wilson +44 7369 232590 jade.wilson@opi.net Head of Media Sales Chris Turness +44 7872 684746 chris.turness@opi.net Commercial Development Manager Chris Armstrong chris.armstrong@opi.net Digital Marketing Manager Aurora Enghis aurora.enghis@opi.net

EVENTS Events Manager Lisa Haywood events@opi.net

PRODUCTION & FINANCE Head of Creative Joel Mitchell joel.mitchell@opi.net Finance & Operations Kelly Hilleard kelly.hilleard@opi.net

PUBLISHERS CEO Steve Hilleard +44 7799 891000 steve.hilleard@opi.net Director Janet Bell +44 7771 658130 janet.bell@opi.net

sually in this first issue of the year, we look forward and assess what’s to come in the months ahead. And we are doing that this time too (page 36). But we’re also looking back – a long way.

Why? Just as this edition of OPI rolls off the press in mid-January, Steve Hilleard – no elaboration needed – will be celebrating 30 years at OPI. All the how, when, what and where are explained in our special Big Interview (page 24) – thank you to ‘leader of the future’ Shaun Tidman for doing the honours of taking Steve down memory lane. Thank you also to those OPI advertisers that have parted with some cash (metaphorically speaking) and decided to celebrate this occasion with us – it is very much appreciated.

The partnership with OPI has been invaluable to our drive to help [...] resellers diversify their portfolios Steve’s contribution to OPI and indeed the global business products sector is huge and I can say this because I’ve witnessed it for much of the past three decades. However, I defer to an industry participant who aptly summarises the extent of this contribution from a customer viewpoint – Reckitt’s Jonathan Weiss: “Having spent the last five years growing the Reckitt B2B division, I can safely say that partnering with Steve and OPI has been a highlight for us. Steve’s understanding of the industry, the players involved and the needs of different organisations is reflected in what OPI offers. He and his team have welcomed Reckitt into this sector and connected us with the right people via a mix of OPI media and in-person platforms, all fostering greater collaboration and engagement within the community.

“The partnership with OPI has been invaluable to our drive to help business supplies resellers diversify their portfolios as a key source of growth – hygiene products included. Steve’s work in building the company into what it is today is highly valued – our team uses OPI as a source of information, news and insight throughout the year.

“On a personal level, Steve is one of those people you hang onto in B2B relationships.

His reliability, thoughtfulness and knowledge simply make it easy for both parties to engage and work together. He always has a great story to share too.ˮ There’s nothing left to say but: many congratulations from the entire OPI team HEIKE DIECKMANN, EDITOR Steve, and a very Happy New Year to all!

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No part of this magazine may be reproduced, copied, stored in an electronic retrieval system or transmitted save with written permission or in accordance with provision of the copyright designs and patents act of 1988. Stringent efforts have been made by Office Products International to ensure accuracy. However, due principally to the fact that data cannot always be verified, it is possible that some errors or omissions may occur. Office Products International cannot accept responsibility for such errors or omissions. Office Products International accepts no responsibility for comments made by contributing authors or interviewees that may offend.

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January/February 2025

Executive Assistant Debbie Garrand +44 20 3290 1511 debbie.garrand@opi.net

U

Steve Hilleard: 30 years and counting

5

NEWS

CEO Steve Bandrowczak at a Xerox town hall meeting

Analysis: Xerox makes Lexmark move

Xerox is set to acquire fellow OEM print vendor Lexmark in a deal worth $1.5 billion

www.opi.net

In a 23 December 2024 press release, Xerox announced it had agreed to buy Lexmark from its shareholders Ninestar, PAG Asia Capital and Shanghai Shouda Investment Centre. The $1.5 billion price tag attached to the deal includes debt and other assumed liabilities, with Xerox intending to finance the transaction through a combination of cash on hand and committed debt financing.

“By combining Lexmark’s solutions with Xerox ConnectKey technology and advanced print and digital services, the acquisition will create a superior offering portfolio and underscores Xerox’s commitment to increasing value for clients and partners,” Xerox stated.

It added: “The transaction will also strengthen the ability of Xerox to serve clients in the large, growing A4 colour market and diversify its distribution and geographic presence, including the APAC region. The new organisation will serve more than 200,000 clients in 170 countries, with 125 manufacturing and distribution facilities in 16 countries.”

6

TRANSACTION DETAILS Lexmark – which has annual sales of approximately $2.2 billion – was acquired by a consortium headed by Ninestar for $3.6 billion at the end of 2016. That doesn’t mean the Chinese company will be hit with a $2.1 billion loss on the deal with Xerox. In 2017, it sold Lexmark’s Kofax services business for an estimated $1.5 billion and has also offloaded real estate assets.

Other key takeaways from the transaction announcement include:

• The acquisition is expected to close in the second half of 2025, subject to regulatory approvals and the green light from Ninestar’s shareholders.

• The combined businesses have pro forma annual sales of $8.57 billion and adjusted operating margin of 8.4%. This margin figure includes the positive impact of $200 million in synergies which have been identified.

• The majority ($125 million) of these synergies are slated to come from reduced SG&A across four main ‘buckets’: sales and marketing spend reduction; elimination of duplicate roles; real estate consolidation; and shared services centre consolidation.

• The remaining $75 million are anticipated to come from supply chain and manufacturing ($30 million), services ($25 million) and R&D ($20 million).

• Together, Xerox and Lexmark will have a 25% share of the global MPS market.

PERFECT FIT The transaction does not come as a surprise.

In September, there were reports Lexmark was up for sale and could fetch between $1.8-$2 billion. Xerox was seen as a natural fit, although there were question marks about making such a large investment in print as the company looks to diversify into digital services.

However, Xerox CEO Steve Bandrowczak argued the deal tied in with his firm’s Reinvention transformation plan, pointing to access to Lexmark’s strong A4 colour offering, its front-office presence in verticals such as retail and banking, and a way back into the APAC region – where Xerox has not been present since 2021.

The acquisition will create a superior offering portfolio The acquisition does raise some wider industry questions, particularly regarding Lexmark’s future role as a supplier to many of the well-known print OEMs. It currently sells its technology to seven of the top ten global printer brands and Bandrowczak said he expected these relationships to continue and even expand. That, of course, remains to be seen.

One positive for Lexmark will be a return to US ownership. It has repeatedly distanced itself from its Ninestar ownership since the Chinese group was placed on the Uyghur Forced Labor Prevention Act list in June 2023.

Being part of Xerox will provide more clarity with US customers, particularly in the public sector as the country begins life under the new Trump administration.

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NEWS

ON THE MOVE CEO change at Office Depot Sweden Roberth Lyttegård (pictured), previously Office Depot Sweden’s Director of Sales, is the company’s new CEO. He takes over from Frank Egholm, who will remain a shareholder as the reseller works towards moving out of administration.

New Amazon Business UK leadership Amy Worth has been named Director and General Manager of Amazon Business UK. She succeeds Fabricio Pedroza who has “embarked on a new professional journey” after three years in the role.

Wolters joins PBS Holding Experienced business products exec Pieter Wolters has been hired by pan-European group PBS Holding as International Purchasing Manager, effective 1 January.

Wolters is charged with optimising purchasing strategies, enhancing supplier relationships and delivering long-term value for all PBS stakeholders.

D’Amery makes Arco switch Peter D’Amery (pictured) is the latest ex-Viking UK executive to join safety specialist Arco. As of 6 January, D’Amery is Regional Sales Director at the Yorkshire-based firm.

A well-known face in the UK business products industry, D’Amery joins former colleagues Simon Allan-Brooks, Andrea Kenna and Isabel Spence at Arco.

www.opi.net

Senior appointments at evo Experienced UK business products executive Martin Weedall has rejoined evo as Group Logistics Director. Weedall previously spent more than 30 years at the business before leaving for rival OT Group in 2022.

Meanwhile, another senior recruitment at evo is that of Keir Hayter as Channel Director at VOW Wholesale. Hayter has joined the business from healthcare supplier TSL where she was Head of Multichannel Sales.

8

Takkt confirms Weishaar appointment Takkt has appointed Andreas Weishaar as its permanent CEO. Weishaar was previously named interim CEO of the Germany-based business products and equipment reseller in July 2024 following the departure of Maria Zesch.

Domtar owner set to inherit APP

Jackson Wijaya, the owner of Domtar Group (formerly Paper Excellence), has revealed plans to take sole control of Asia Pulp & Paper (APP), currently owned by his father.

Domtar is a leading player in the North American pulp, paper Jackson and packaging sectors. It also Wijaya operates subsidiaries in France and Brazil. APP, meanwhile, is one of the world’s largest pulp and paper providers with manufacturing facilities in Indonesia and China.

APP has long been in the firing line of environmental groups, which have accused the manufacturer of widespread deforestation in Indonesia. Indeed, following news of the ownership change, WWF called on forestry certification body FSC to immediately terminate its certificates for Domtar’s group entities.

Domtar and APP have consistently denied any corporate links, a message that is not changing now.

Domtar called the transfer of APP shares “the outcome of normal course succession planning” by the Wijaya family, adding that Jackson Wijaya had “no intention” of taking his father’s position overseeing APP. “The company’s day-to-day operations will continue under the direction of its experienced management board, ensuring consistency and continuity. Any engagement with APP will occur at arm’s length. [Our] commitment to environmental sustainability has never wavered, nor will it now,” stated the Canadian group.

Lyreco closes workwear acquisition

As planned, Lyreco completed its previously announced acquisition of workwear provider Groenendijk (see News, OPI October/November 2024, page 8) on 1 January 2025. Groenendijk will now form part of the Lyreco Intersafe safety business unit and enable the reseller to expand its expertise in the work- and footwear segments.

Indeed, Lyreco revealed these are the two fastest-growing PPE product families at Intersafe, noting strong demand among SMB and corporate customers.

OPI was saddened to learn of the passing of Doug Chapman at the end of December. An inspirational leader, he was a driving force behind the growth of what is now ACCO Brands during a career that spanned six decades.

Doug passed away peacefully in Florida, just a few days short of his 97th birthday. Born in Canada in January 1928, he entered the office products industry in 1949. In 1957, he was tasked to run the Canadian subsidiary of what was then called ACCO Products. Company owner Gary Industries lured him to Chicago, Illinois, in 1966 to head the whole business, with Doug leading the 1971 buyout of what had become ACCO World Corporation.

Under his leadership, ACCO continued to grow through acquisitions and international expansion. In 1983, the company went public and was acquired four years later by American Brands in a deal worth more than $600 million.

Following this transaction, Doug stayed on for another five years before retiring in 1993.

Doug’s many philanthropic endeavours included the Doreen E Chapman Center for Alcohol and Drug Treatment in Illinois and the Chapman Charitable Foundation. In the industry, Doug served as President of the Canadian Office Products Association as well as Chairman of the manufacturers’ division of the National Office Products Association. He was also a non-executive Director of OPI between 1995 and1997.

OPI extends its deepest sympathies to Doug’s family.

Cintas makes hostile bid for rival

ODP opts for dual CFO set-up The ODP Corporation (ODP) has confirmed the appointment of Max Hood (pictured top) and Adam Haggard (bottom) co-CFOs. The execs have been handling the CFO duties in tandem on an interim basis since Anthony Scaglione left last September.

Hood joined ODP in 2018 while Haggard has been with the reseller for over 20 years.

BIC CEO to depart Gonzalve Bich will leave BIC, the writing instruments vendor co-founded by his grandfather, no later than 30 September 2025. He will remain as both CEO and a board member until a successor is found, after which he will assist the group as a Senior Advisor.

Bich has been with the vendor since 2003 and was named CEO in 2018.

Büroring adds experience German dealer group Büroring has announced two more appointments as its transformation efforts continue.

The organisation has brought in Björn Unfug (pictured top) as Procurement Director. Also joining the group to lead a strategic realignment of sales and marketing is Julian Lenz (bottom), previously Head of Sales at Soennecken’s LogServe business.

New Warehouse Stationery leader New Zealand reseller The Warehouse Group has appointed Jonathan Smith (pictured) as General Manager of its Warehouse Stationery business.

The return to a dedicated leader for the division forms part of the transformation plan under interim Group CEO John Journee.

SC Johnson Professional move As of 1 January 2025, SC Johnson (SCJ) Professional has a new General Manager for its operations in Europe.

Taking on the role of Executive Director and General Manager for the company’s European B2B business is Antonio – Toto – Brambilla (pictured).

Succeeding Lee Mellor, Brambilla has been with SCJ on the consumer side for 20 years in a number of sales and marketing roles, primarily in Italy and Southern Europe.

January/February 2025

US workwear giant Cintas has made an unsolicited $5.1 billion move for uniform rental firm and facilities supplies provider UniFirst. On 7 January, Cintas went public with its offer to acquire UniFirst after the latter’s board had refused to engage in discussions. Cintas initially sent its acquisition proposal on 8 November 2024, but said its suitor declined to meet despite two further letters in December.

Cintas is offering $275 a share for UniFirst. This implies an enterprise value of $5.3 billion and represents a premium of almost 50% on the company’s 90-day average share price as of 6 January 2025.

“While we would have preferred to have discussions with UniFirst in private, this is the second time in nearly three years that UniFirst has refused our constructive attempts to engage on an extremely compelling offer,” stated Cintas CEO Todd Schneider.

UniFirst’s immediate reaction was to once again rebuff Cintas’ advances. The Massachusetts-based firm said its board had “unanimously rejected” the proposal.

ON THE MOVE

NEWS

ACCO legend passes away

9

NEWS

Exit Inapa, enter OVOL Former Inapa entities in France and Germany are now trading under Japan Pulp & Paper’s (JPP) OVOL brand. Following the collapse of Inapa into administration last year (see Analysis, OPI September 2024, page 8), JPP has taken over five subsidiaries of the Portugal-based group.

Two of these are located in France (the former Inapa paper distribution and Loos visual communications units) and three in Germany. The German businesses – OVOL Papier Deutschland, OVOL Packaging and OVOL ComPlott – are based in Hamburg and employ almost 500 staff. At around €600 million ($605 million), they represent the majority of annual revenue previously generated by Inapa.

Commenting on developments, JPP stated: “The group will expand its wholesale business in continental Europe by utilising its logistics network covering the entire area of both France and Germany. We will also strategically integrate our existing European businesses in the UK, France and Germany with our global network to pursue synergies across the entire group.”

Other JPP businesses in Europe include Premier Paper (UK) as well as Gould Papier and EFP-Chavassieu (both France).

www.opi.net

Schneider buys components supplier

10

Germany-based writing instruments manufacturer Schneider has acquired precision parts supplier Peter Bock for an undisclosed sum. Following “intensive negotiations”, the transaction became effective on 1 January 2025. Schneider said the deal ensured its independence in producing nibs for fountain pens.

“For many years, Schneider’s management has deliberated on how to internally develop the production of this vital component to control both the required quantities and quality,” the company explained. “The opportunity to close this gap through acquisition has now arisen, providing a clear solution.”

Peter Bock employs about 40 people at its Heidelberg headquarters, with production and administrative areas covering approximately 3,000 sq m (30,000 sq ft), including its own toolmaking facilities. The legal independence of Peter Bock will be maintained, but it will be integrated into the Schneider Group.

Hybrid working taking hold in the UK

There was an eye-opening figure on hybrid working trends in the UK in a recent study by workplace management consultancy AWA. With many business products resellers hoping Andrew for increased Mawson return-to-office rates, AWA reported that UK employees are not even working on-site two days a week.

AWA’s fourth Hybrid Working Index used a relatively small sample, surveying 34 offices, 14 organisations and a combined staff of 39,433. It revealed these 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, but still lower than other organisations such as WORKTECH Academy have suggested.

AWA noted that 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.

“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 in-office mandates have decreased,” the consultancy stated.

It continued: “Just 18% of UK organisations are now mandating in-office days, a decrease from the first index when 49% were asking for at least one day in the office for employees.”

AWA founder Andrew Mawson added: “Our fourth Hybrid Working Index has shown 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 and support their well-being.”

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I T TAKES DEDICATION TO BECOME A LEADER IN YOUR INDUSTRY As we celebrate 90 years of the self-adhesive label, we want to thank our trade partners and customers through 0PI for their support.

A special shoutout to 0Pl's Steve Hilleard who knows a little something about dedication.

Congratulations Steve, for your 30 years of outstanding service and being instrumental in the success of 0PI and Avery!

Avery. Ideas that Stick.

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NEWS

OWG wholesale Positive news from Kaut-Bullinger Kaut-Bullinger Managing consolidation Director Robert Brech has

www.opi.net

Switzerland-based Office World Group (OWG) has announced the consolidation of its three wholesale brands into a single entity.

As of 1 March 2025, the distribution businesses of Ecomedia, Oridis and Papedis will operate under the name of Office World Trade. The integration of these operators will allow Office World Trade to offer a unified selection of products which encompass office supplies, stationery, and office equipment and services for retail environments.

According to the company, the new structure will not only exploit synergies across the merged brands but also expand the portfolio available to wholesale customers.

Meanwhile, OWG has confirmed a change of CEO. Johann Pintarich, who had been in charge following a management restructure at the end of 2021, has moved to a new role at Austrian parent company MTH Retail Group. He is succeeded by Felix Brunner, who joined the business in March 2023.

12

Felix Brunner

provided an update on the reseller’s situation following its filing of insolvency proceedings last September (see News, OPI October/ November 2024, page 8).

Brech said a restructuring plan was presented to the courts on 10 December. If approved, it could mean Kaut-Bullinger will be able to exit creditor protection as early as February 2025.

Supposing that happens, it will be a downsized Robert Brech business going forward.

This will be largely due to a new cooperation agreement with Soennecken, to which the company is outsourcing purchasing and logistics. There will be major job cuts at the Bavarian dealer, but Brech confirmed these will be handled in a socially responsible manner.

The plan further includes secured financing and a “significant contribution” from Kaut-Bullinger’s two shareholders.

Best Buy to launch marketplace Best Buy has announced its intention to launch a third-party (3P) marketplace in the US in 2025. The retailer is aiming to expand its product depth in tech categories, thereby enhancing the customer shopping experience.

The initiative follows the success of and learnings from Best Buy Image: Mirakl Canada’s marketplace – powered by Mirakl – which has been operational since 2015.

CEO Corie Barry said the move underscored changes to customer shopping behaviours, particularly the shift to digital. The marketplace will feature a curated selection of products from vetted 3P sellers, enabling Best Buy to go much deeper into the assortment it sells while trying to keep customers within its ecosystem. The platform is set to be launched by the middle of this year.

The marketplace announcement came as Best Buy reported softer-than-expected demand at the end of 2024. This was attributed to economic uncertainty, election-related distractions and a lack of consumer urgency in non-essential segments.

However, Best Buy noted that customers showed increasing interest in premium products and innovations. This was noticeable in laptops with AI capabilities, contributing to renewed interest in the category. The replacement cycle related to the end of Microsoft support for Windows 10 in 2025 is also expected to drive demand in PCs.

US business products industry legend Dave Guernsey has transitioned to a new role at the dealership he founded in 1971.

At the end of last year, Guernsey stepped down as President and CEO, but is continuing to serve on the company’s board in the new position of Executive Chairman.

He will remain actively involved, focusing on areas such as acquisitions, strategic planning and financial oversight in addition to his regular board functions.

Dave’s brother, Doug, will serve as the dealership’s CEO, with company veteran Gordon Thrall assuming the title of President. They will each take a share of the duties Dave has performed over so many years. Also joining the leadership team is Jake Mages, who has been promoted to COO. “I hand over to the new leadership with the company in very good shape post-pandemic,” Dave Guernsey told OPI. “I have great confidence in them as well as in the individuals we are readying to step up to fill vacancies becoming available in 2025 due to planned retirements.”

Dave Guernsey

US dealers acquire again

NEWS

Role change for Dave Guernsey

Two US independent dealers have made acquisitions in recent weeks.

In California, AAA Business Supplies & Interiors has purchased Clovis Stationery & Office Supplies, the second-largest independent OP reseller – after AAA – in Fresno, the third-biggest city in the state.

This is the fourth acquisition for AAA in the past two years, enhancing its position as the dominant independent in northern and central California – and one of the leading dealers in the US. Meanwhile, in South Carolina, Herald Office Solutions has bought one of its local competitors, Saulisbury Business Machines. This latest deal for Herald follows its November 2024 acquisition of facilities specialist Gamecock Chemical.

Doug Guernsey

January/February 2025 13

NEWS

IN BRIEF

The entry-level employee pipeline is broken. Companies must rethink how they source, train and onboard employees Jourdan Hathaway, Chief Business Officer, General Assembly

21%

Percentage of PPE and safety products assessed by the British Safety Industry Federation that met compliance standards in 2023

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Staples partners with Wayfair

Staples’ retail operation in the US is trialling a new concept in collaboration with online furniture giant Wayfair. A Staples location in Cincinnati, Ohio, now features a Wayfair Outlet offering returned and refurbished furniture and home décor.

Rebrand for Perry Office Plus Texas-based independent dealer Perry Office Plus has rebranded as Perry as it celebrates its 105th anniversary this year. Along with the name change, the company has revealed a new website address – perrytexas.com – and logo.

100 million

www.opi.net

MuteBox boosts Autistica’s neuroinclusive workspace

14

Furniture manufacturer MuteBox donated a soundproof meeting pod to UK-based autism research charity Autistica in December.

The booth intends to support a neuroinclusive workspace, providing a sensory-friendly environment to Autistica’s neurodivergent and neurotypical staff.

Number of Epson high-capacity ink tank printers sold globally since their launch in 2010

PICTURE OF THE MONTH

Last December, Tork – in partnership with the Philadelphia Eagles – hosted a community event at the team’s home ground, Lincoln Financial Field, to assemble 1,000 hygiene kits for those in need.

Part of the Tork Tackle Hygiene campaign, the packs contained essential items to be distributed in the Philadelphia area.

*Source: IDC WW HCP Tracker, 2024Q2, Share by Company A3 Color Laser Shipping units, Year: CY2023

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GREEN THINKING

Staples Portugal signs renewable energy deal

Staples Portugal has partnered with leading utilities firm EDP to integrate solar energy, sustainable mobility and electricity solutions. The project allows Staples to locally produce approximately half of its electricity needs and share benefits from the remaining capacity with both nearby residents and businesses.

The collaboration includes the installation of over 20 ‘solar districts’ at Staples stores. These will have a combined capacity of around 2.5 MWp, which is expected to produce around 3.5 GWh of electricity annually. The initiative aims to reduce CO2 emissions by about 1,800 tonnes per year.

As a result of the installation of these solar plants, Staples will be 50% independent from the electricity grid. Up to 2,000 residents within a 2 km (1.2 miles) radius of participating stores will also be able to tap into the network. EDP says Staples will achieve savings of more than 60% in monthly electricity costs.

The partnership also includes plans to install 60 electric vehicle charging points at nearly 90% of Staples locations. These chargers will be integrated into the MOBI.E network, accessible to all electric vehicle users.

Additionally, Staples has signed a long-term contract with EDP, with the provider supplying electricity to all Staples sites in Portugal for the next seven years.

Print OEM reveals cartridge return rates

Print OEMs rarely disclose the percentage of toner cartridges returned for recycling or reuse. Lexmark has broken this trend.

Towards the end of a Lexmark press release where the main focus was on the carbon neutrality of its global headquarters in Kentucky, US, the vendor revealed that approximately 50% of its “designed and branded” toner cartridges sold in the US are returned as part of the Lexmark Cartridge Collection Program (LCCP). Globally, the figure is 36%, which is still higher than the estimated – by Lexmark – industry average of 20-30%.

According to the company’s most recent sustainability report, almost 130 million cartridges have been collected through the LCCP since 1991. In 2023, 4,533 tonnes were returned, with 29% reused and 66% recycled. None of the collected cartridge material ended up in landfill, it added.

Lexmark has operated an LCCP recycling plant in Juárez, Mexico, since 2007. It processes approximately 12,000 used toner cartridges a day.

www.opi.net

Manutan exceeds emissions reduction target

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European MRO and business equipment reseller Manutan has surpassed its goal of reducing transport-related CO2 emissions.

It achieved a 9.4% cut over two and a half years – exceeding its 7% target set under the FRET21 initiative in March 2022.

The cut equates to 265 tonnes of CO2 emissions prevented.

The France-based group pointed to two key actions, including partnerships with sustainable transport providers such as Mazet, which has a fleet 50% powered

by rapeseed oil. Additionally, Manutan’s teams work continuously to maximise delivery efficiency by reducing trips and optimising transported volumes. This includes sending small items in envelopes, using a dedicated B+ machine to adapt parcel sizes to products, and improving truck loading arrangements.

Looking ahead, 50% of vehicles operating from Manutan’s site currently use renewable energy, with a target of 100% by the end of this year.

GREEN THINKING NEWS

Emerald announces sustainable initiatives

Emerald Ecovations has announced a series of initiatives.

One significant milestone is the launch of a renewable fibre manufacturing plant in Arkansas, capable of producing 250,000 lbs (125,000 kg) of material weekly. The facility will serve as a fibre aggregation hub and support Emerald’s 350+ products across the southern US market.

In its quest to offer green solutions, the vendor is also setting up a pilot in the Tri-State area (Connecticut, New Jersey and New York) to help with end-of-life management for disposable products. The ‘Cradle to Cradle Compostability Program’ encompasses the entire life cycle of disposables, from design and manufacturing to consumer use and then regeneration into a nutrient-rich soil additive.

Emerald is currently establishing strategic partnerships with composters, waste haulers and clients with a view to launching the programme in Q1 2025.

The company has further introduced a distributor programme called OG25. Standing for ‘Organic Growth 2025’, the programme is designed to provide reseller partners with the tools and knowledge to tap into the growing demand for sustainable disposable solutions. Emerald highlights a range of benefits: access to sales reps certified by the Emerald Sustainability Academy; environmental impact reports; and convenience packs for hybrid workspaces.

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Fujifilm moves towards circular economy targets

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Print OEM Fujifilm Business Innovation has received a Gold medal from sustainability ratings agency EcoVadis, scoring 77 out of 100 and ranking in the top 4% of all assessed companies.

In the computers and peripheral equipment (CPE) segment, Fujifilm is placed in the top 2%.

The OEM highlighted its strong scores in the Environment and Sustainable Procurement categories. It performed less well in the Labour as well as Human Rights and Ethics categories, but was still in the top 13% and 11%, respectively, of CPE firms assessed.

In line with its sustainability goals, Fujifilm Business Innovation Asia Pacific, meanwhile, has launched two A3 colour MFPs made primarily from reused parts.

The two new Apeos devices – the Port-VII C5573 R and C3373 R – are guaranteed as brand new products, but are manufactured from collected machines. They comprise up to 84% reused parts by weight. Fujifilm said these remanufactured machines have a life cycle emissions footprint that is over 50% lower than an equivalent new-built MFP.

MillerKnoll confirms PFAS elimination

MillerKnoll has announced it is the first office furniture manufacturer to commit to removing PFAS ‘forever chemicals’ from its North American production processes.

The company stated it will eliminate the addition of any PFAS in North America from May of this year and plans to extend this commitment globally by fiscal year 2027.

MillerKnoll’s announcement comes after it was named as a “frontrunner” and “disclosure leader” in the latest Chemical Footprint Project (CFP) report published by Clean Production Action. The CFP survey evaluates performance across four pillars of chemical safety: management strategy, chemical inventory, footprint measurement, and disclosure and verification. Other frontrunners include Clorox, HP Inc, Reckitt and Walmart.

SMALL TALK

OPI was in attendance as global contracts business PBS Global Solutions held its first-ever partner conference

Partner POWER

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arly in 2021, PBS Holding made a move into the international corporate contract space when it acquired the Global Accounts Team (GAT) of Staples Solutions. At the time, Lyreco was in the process of purchasing several Staples entities in Europe, but the competition authorities had blocked GAT from being part of the deal.

Needing a new home, GAT was seen as an opportunity by PBS CEO Richard Scharmann for the multichannel operator to develop its direct business. This was particularly relevant for the German market where, thus far, PBS had only operated as a wholesaler – largely as operating a direct B2B unit there would be viewed dimly by PBS’ core dealer customers.

By targeting international accounts, Scharmann effectively sidestepped the ‘competing with your customers’ argument because few, if any, local resellers operate in that sphere. As such, GAT would help PBS achieve greater scale in Germany without disrupting any sensitive market dynamics.

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GROWTH DRIVER GAT was about much more than Germany, however; it also gave PBS the chance to compete with Lyreco at the higher end of the B2B food chain and on a wider European basis. With core categories in decline, the entrepreneurial Scharmann was looking for growth drivers – international contracts seemed like a natural adjacency.

Ian Kirton

As originally tabled by Staples Solutions’ private equity owner Cerberus, the sale of GAT would only involve the transfer of a book of business. This was not enough for Scharmann, who realised PBS would need expertise and experience in these types of contracts if it was going to compete effectively and successfully.

He therefore negotiated for the GAT team to be part of the transaction. This included Managing Director Ian Kirton – who had been working for Corporate Express and then Staples since 2007 – and staff members mostly based at a shared services centre in the Polish city of Gdansk.

Three of the world’s top ten brands sit within our organisation On 19 February 2021, the acquisition closed, with GAT transferred to PBS Holding under the PBS Connect International (PCI) brand. Initial priorities were the migration of customers, the establishment of a greenfield operation in Germany (led by former Staples global accounts executive Thomas Winkelhagen) and the novation of existing partners.

The latter included resellers Codex, Banner and Wulff which had recently acquired – or were in the process of buying – Staples business units as well as long-term Staples service partners such as Romania’s Dacris, OPLUS in Bulgaria and Turkey-based Aktuel Ofis.

The basket of products [now] is much wider, even in what are still called ‘office supplies’ contracts

In conversation with OPI’s Andy Braithwaite

OPI’s Andy Braithwaite was also in attendance and caught up with Kirton to record an OPI Talk podcast that delved into the story behind PGS and the state of the international contracts segment in Europe. What follows are extracts – slightly edited – from the podcast.

THE NUTS AND BOLTS Although PGS as an entity is relatively new, we are signing and managing some very large contracts. In fact, three of the world’s top ten brands sit within our organisation. Some customers have been with us since 2007 and moved across when we were sold by Staples, which is a sign of their commitment to us.

The fact we offer real competition in the market is highly appreciated in procurement circles, particularly as there is one huge player in our sector [editor’s note: Lyreco].

We are also pragmatic and nimble, which is probably unusual when dealing with large corporations; this is something I put down to the entrepreneurship of Richard Scharmann.

Gdansk is the real engine room of the business and the talent there is incredible. It’s where our commercial, pricing, marketing and tender writing teams are located. In addition, we have a matrix organisation with the partners in terms of dedicated salespeople from their side.

When a tender comes in, we will reach out to each of the regions based on the importance of the contract and volumes. We then get everybody on a call to agree a strategy and on how competitive the deal needs to be. There’s a phenomenal gathering of information around CSR, prices and products – including ‘local champion’ items. This is all brought together so we can present a unified offer from a single umbrella organisation.

January/February 2025

CONTRACT MARKET CHANGES The product mix has changed enormously. If I think back to 2007 when I started at Corporate Express, probably about 40% of the volume was in toners – backed by margin and price support from some of the biggest vendors in the industry. Today, this part has been decimated.

The reality is the basket of products is much wider, even in what are still called ‘office supplies’ contracts. Washroom products, PPE, safety boots, hand towels, toilet tissue, coffee, etc – we see all these kinds of things now appearing in international tenders.

One crazy thing I had never seen in my previous world of paper consumables at Kimberly-Clark was core/non-core pricing, where you had margins in the tail and below-cost prices in the core. It meant you were completely dependent on how a customer would buy. Thankfully, this has almost disappeared now due to more pricing transparency as a result of the growth of online marketplaces.

Something else which is dying out is the use of prebates. Not so long ago, you could have a situation where a customer owed you hundreds of thousands of euros before they

SMALL TALK PBS Global Solutions

STAND UP AND BE COUNTED The decision was then taken to make PCI a separate business unit within the PBS Holding group structure. As a result, PBS Global Solutions (PGS) officially came into existence on 1 July 2022. The entity is majority owned by PBS Holding, but Kirton and Wulff Chair Heikki Vienola also have minority shareholdings.

Led on a day-to-day basis by British national Kirton in the role of Managing Director, PGS’s sole functions are the winning, running and retaining of international contracts. It derives revenue based on contract commissions received from fellow PBS subsidiaries and external partners.

The partner network has now grown to include Bruneau (France and Spain), GECAL (Italy) and Ofix (Poland). Along with other ad hoc arrangements, PGS is able to service contracts in 42 countries around the world.

As the business grows in stature, PGS held its first-ever in-person partner event at the end of November 2024. Ironically, the gathering took place just a stone’s throw from the former Staples Europe headquarters (now occupied

by Tesla) in the Dutch city of Amsterdam, where GAT was based for many years.

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SMALL TALK PBS Global Solutions

had even placed an order. John Wilson (former Staples Europe President) described this as a “race to the bottom” and I banned this practice at GAT many years ago. At PGS, we don’t offer prebates to anyone.

The growing importance of ESG requirements has also been a big change. Today, you can’t even become involved in a tender until you’ve had the chat about sustainability. Fortunately, this is something close to PBS Holding’s heart – and that of our partners.

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THE COVID IMPACT When COVID hit, the bottom fell out of international contracts. We saw directives from central procurement advising local teams to look after themselves. When it came to sourcing products such as wipes, masks and gels, there was a complete deglobalisation of contracts.

This decentralisation trend gathered momentum when it looked as if employees wouldn’t return to the office. After all, what was the point of putting together a global deal when everyone was working from home?

It was quite a challenging time, but we are now seeing a U-turn as organisations focus on driving down costs. We are currently involved in two significant tenders with corporations doing their first-ever international contracts.

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AMAZON BUSINESS – A THREAT? As it stands today, we don’t see a big impact and rarely come across Amazon on tenders. In fact, I’ve only ever known one company we’ve dealt with that has an interaction with Amazon on large contract business.

Could it be a competitor in the future?

Absolutely, because its supply chain is off the scale. I believe, from Amazon’s perspective, it’s a case of how interested it is and if it can live with contract margins.

When I saw Amazon’s punch-in functionality, I thought it might be a game changer.

However, I don’t see any noise from our customers in terms of them looking for these

kinds of solutions. We have some contracts in the double-digit millions, for example, which are still running on hosted, static catalogues.

Of course, it would be foolish not to keep an eye on what Amazon is doing and try and emulate some of it. A case in point: we’ve just completed two deals on a marketplace to make it easier for our customers to order and offer more transparency. In the main, however, we still see really large customers looking for a bespoke offering.

I suppose we are fortunate at PBS because we operate across B2B, B2C and wholesale.

We are surrounded by experts who are exploring how we touch the customer at every level and in quite a sophisticated way.

PBS Global Solutions partner event

When COVID hit, the bottom fell out of international contracts WHAT NEXT? Our focus is squarely on winning market share and new business. Our sales funnel is in a much healthier position than it was a couple of years ago and we have an impressive conversion rate.

We also have an incredibly patient CEO in Richard, who really wants to get this right.

I’m a little bit more impatient than him, but I believe we have a fantastic offer, a great team and a value proposition that is as good as anything in the market.

Bi-silque

Inspiring ideas.

Supporting success.

For 30 years, OPI has shaped the office products industry under Steve Hilleard's visionary leadership. At Bi-silque, we share a passion for great ideas-brought to life on our writing and display boards.

Here's to 30 years of innovation and many more to come.

Congratulations, Steve!

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BIG INTERVIEW

Spilling the

BEANS

Kicking off 2025 with an unusual Big Interview, Steve Hilleard reflects on 30 years at OPI, 25 of them as CEO

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over the years, OPI’s Steve Hilleard has been in the interviewer’s seat quite literally hundreds of times – for OPI magazine and opi.net, contract publishing commitments, on stage at industry events around the world and, most recently, for sister publication Workplace360.

This time, the tables are turned and he finds himself on the receiving end of a long list of questions. The question master? Shaun Tidman, Head of Sales at Avery UK, a highly regarded and very much up and coming personality in our industry.

The reason for the role reversal? As this issue rolls off the press in mid-January, Hilleard celebrates 30 years at OPI, a milestone compounded by another impressive number: 25 years as CEO. Hilleard took on the CEO role in 2000 when founder Mike Jefferies left to pursue other interests.

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Steve Hilleard, right, with Shaun Tidman

As he tells Tidman, it’s been quite a ride and while at some stage in the future the plan is to take the foot of the pedal a bit, his love for and commitment to our industry remains unwavering and still shines brightly.

Shaun Tidman: It’s about a year ago that I joked about discussing your life and career for an OPI interview. Here I am now in the slightly odd position of the interviewer and you hopefully ready to tell me some secrets.

Steve Hilleard: Yes, it sounded like a great idea at 3 am after the BOSS Awards in 2023 – now I’m not so sure anymore! But fire away and we’ll see what happens.

ST: Let’s start with how you grew up, some of the early influences that shaped your career, highlights and significant events.

SH: Sure. I grew up in a working-class family with a council house background in a town called Hitchin in North Hertfordshire, about 35 miles north of London. I had my first job at the age of 11 and then multiple jobs throughout my secondary schooling.

People have often called me a workaholic.

This is not entirely true, but I did enjoy earning money and I always knew I would probably end up being an entrepreneur. It’s not the early career choice I made, however – I became an accountant to begin with.

One day, I had a chance meeting in a café with an old friend – Mike Jefferies – who I had worked with at Sainsbury’s during our school years. He had just come back from the US with some cash in his pocket and had this crazy idea about setting up a business.

I said: “What are you going to do?” He replied: “I’m going to sell paper because everybody buys and uses paper” – as they did back in those days. What a great proposition I thought. Of course, anybody with half a brain would have looked into it and realised there’s no margin in reselling paper, but it’s how I came to flirt with the office products industry.

I was still training to be an accountant and just helped out to begin with, but I soon became disillusioned with working for somebody else and that entrepreneurial thing started to creep in. When I had the chance to buy into what was a very fledgling dealership and be involved full time, I took it. Jefferies Hilleard Group was born.

We grew the business over a few years to around £3 million ($3.8 million) in sales – this was in the late 1980s. We were young and cocky and learnt an awful lot of lessons.

Probably the most important one – still true today – is that cash is king.

BIG INTERVIEW Steve Hilleard Inset: With OPI founder Mike Jefferies I learnt quite a bit about risk too. The company ultimately ran into trouble because we relied on too few, very large customers. We were really punching above our weight with some national contracts. It gave us some great buying power but when one or two of those ran into difficulties themselves, it put a huge amount of pressure on the business.

I always knew that I would probably end up being an entrepreneur

ST: But you went for it anyway.

SH: I did. 1994 was quite an unravelling personal year for me. I had just met my wife Kelly. To cut a long story short, we were both in relationships but fell in love and left our partners. I inherited two stepchildren and moved house.

When Mike offered me this chance, I thought: what the hell! I’ve had a crazy year and may as well go all in and change jobs and career as well. And you know what? I joined on 16 January 1995. By the end of December that year, we had made a profit of £399,500 – just £500 short of what he had promised me.

ST: (laughs) You’re definitely the biggest risk-taking accountant I’ve ever met.

SH: Perhaps. It was just one of those things – the stars aligned and I thought, “let’s go for it”. There was something about Mike. Some people reading this interview will remember him. He was quite a charismatic person. A complete and utter pain in the arse too and very difficult to work with. But he had some moments of genius.

January/February 2025

ST: How did you go from Jefferies Hilleard to OPI – can you chart that journey?

SH: Eventually, our customer base and the assets were absorbed by what became Staples’ – or what was then still Corporate Express – first ever acquisition in Europe.

I did something else for a while, but kept in touch with Mike who had started a small business that morphed into a black and white bi-monthly newsletter called OPI – Office Products International.

It didn’t make any money and I know that because I did the finances for Mike on a freelance basis. After a couple of years – this was 1994 – he said to me: “I’m going to make a ton of money next year and I’d like you to join the business. Come in as a shareholder.”

I said: “You’re insane. You’ve never made a penny – I take you to the airport because you can’t afford a train or a taxi. You don’t draw a salary and are, quite frankly, living on fresh air. Why on earth should I believe you when you tell me you’re going to make £400,000 profit next year?”

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Steve Hilleard BIG INTERVIEW www.opi.net

ST: What were the big challenges for a start-up publication back then?

SH: The first thing was building an audience.

No mean feat in those days because it was before the internet, Google and buying lists.

We did it the old-fashioned way with telephone books and begging people to supply their customer lists.

We wanted to be an international publication which helped people in different parts of the world to understand what was happening in others. North America was a real driving force in the industry back then. There was a lot of consolidation going on – so many roll-ups and plenty of Wall Street money.

Another factor was credibility. We were two young guys in our mid-20s. We had run a dealership, didn’t quite make that work and were now setting ourselves up as media moguls for the international office products industry. And, of course, we didn’t know anything about publishing. Neither of us were journalists; we didn’t even have any further education in the English language. Somehow, we winged it.

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ST: Much more than that, I’d say. Overall, what have been the highlights and what are you particularly proud of?

SH: On a personal level, receiving the Outstanding Achievement Award from the UK trade association BOSS Federation in 2019 was a standout moment. Another was becoming the first non-American to be inducted into the National Business Products Council for City of Hope’s ‘Hall of Fame’.

The single biggest accomplishment is the fact that OPI is still around. Think of the number of recessions, large economic events, COVID-19, etc, which have affected the industry and the countries where OPI is read – that’s in over 100 markets.

Digitisation has had a huge impact.

It’s been wonderful because it’s enabled us to keep our costs down and really be global. Conversely, it also meant everyone started to expect information to be free, which was – and still is – difficult.

We’ve always tried to evolve. Our events have massively changed in terms of their nature and scope. Take OPI Partnership, our annual event in Amsterdam, for instance. It’s become a key contributor to our company’s success and I’m very proud of that.

Ditto for the European Office Products Awards, now in their 24th year. They are a real benchmark for the sector in Europe; the same goes for the North American Office Products Awards (NAOPA) across the pond.

Most recently – exactly two years ago – we launched Workplace360 in the UK. This is a publication which rides the diversification wave and really helps resellers go beyond selling just office supplies. It’s been amazingly well received by the UK market and I take my hat off to my colleagues Michelle, Chris, Joel and Aurora, to name just a few, for the work they’re doing on it.

Industry recognition: City of Hope Hall of Fame induction, top, and BOSS Outstanding Achievement Award

We proudly support OPI Magazine CONGRATULATIONS TO THE 30TH ANNIVERSARY OF STEVE HILLEARD Steve has been a trusted resource for the entire industry and Weeks Lerman has always benefitted immensely from the information reported by OP/ under his leadership. We couldn't be any happier for Steve in achieving this milestone!

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Steve Hilleard BIG INTERVIEW

Last but absolutely not least, there’s Mrs H, of course, who joined the company in 2016. She has become quite an industry figure in her own right, particularly with the leadership she has shown in modernising and professionalising the UK industry’s BOSS Business Supplies Charity which she now chairs.

I’m immensely proud of the way the team has come together and addressed the challenges of our industry.

The OPI team

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I’m immensely proud of the way the team has [...] addressed the challenges of our industry

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Debbie Garrand, OPI’s first employee

ST: I’ve been to a few OPI events and you seem to have an amazing team of committed people.

SH: Very much so. They are undoubtedly OPI’s biggest asset. We’ve got a very stable team. Some have accumulated over 25 years of service – people like our Editor Heike and Lisa, who heads up our event logistics.

Several others have double-digit figures of service, including my business partner Janet who celebrates 25 years at OPI this year. Or Debbie who will transcribe this interview – with a little help from AI. Debbie was our very first employee in 1993. She left after a decade at OPI but rejoined some years later.

Our most recent recruit is Jade Wilson who many of our readers will know from sales and marketing agency Highlands. Jade joined the commercial team a year ago alongside Chris who’s been with us for a long time.

ST: What are you excited about that’s coming down the line?

SH: What excites me the most is arguably the most dangerous problem we have: the shift away from traditional product categories and the absolute necessity for diversification. I had calls recently with several European business leaders and it seems 2024 was a pivotal year in terms of the decline in product consumption in certain categories.

This leaky bucket needs to be filled with other products and services. It’s tough because the shiny new things we see in our industry – be that jan/san, packaging, technology, furniture or catering supplies – are not shiny and new for others. There’s an incumbent channel of distribution which services those categories already, so muscling in is tricky.

However, I see great opportunities for those that get it right. We at OPI are certainly trying to align ourselves with players in those adjacencies and operators which are rising to the threats we face.

ST: Products aside, other factors are becoming increasingly important. If I may just throw some words and acronyms in here: DEI, ESG, work/life balance, remote and hybrid working, AI. They create threats as well as opportunities I imagine.

SH: Running a business is certainly more complex now. You mention ESG. Under that umbrella term, sustainability is coming at our industry like a truck. Bigger organisations have been engaged with this for some time, but the floodgates are about to open and I would advise everyone to get their house in order.

At OPI, we’re about to embark on a programme in partnership with a UK dealer group to make sure we operate with the highest standards of compliance and sustainability.

We know companies such as 3M, Avery, Essity and many other supporters of ours are going to be knocking on our door soon and say: “Let’s talk about your sustainability and ESG principles and ethics. What is your story?”

The other challenge for our industry revolves around people. It’s twofold. First, we need to get more women into the boardroom. There’s

ST: I would also argue that for people on the outside looking in, our sector can look at bit old-fashioned. Although once you’re in it, you soon realise it is quite fast paced and dynamic. We’ve talked about OPI’s global reach before and I believe you’re incredibly well travelled...

SH: I’ve lost count of the number of planes I’ve been on. Going to the US alone amounts to about 300 and I’ve been to pretty much every state. This job has also taken me to most markets around the world: Japan, most of Asia, South America, almost every European country, North Africa and the Middle East...

I’m a great believer that face-to-face contact for relationship building is vital – it’s part of my job. Be seen to be heard. It’s expensive, but I view it as an investment in the company.

There used to be many more events, of course, and technology has improved so much to overcome communication obstacles. But it remains really important to me.

channel in North America. But then I look at organisations such as Bureau Vallée in France or Officeworks in Australia – they’ve both done a tremendous job.

ST: You must have met hundreds of interesting – and perhaps not so interesting – individuals over the past 30 years. Any standout moments you recall – good or bad?

SH: There have been so many. Ryman CEO Theo Paphitis is always excellent value. He’s a really funny guy – a bit of a celebrity and a bit full of himself – but he keeps things simple. That’s his mantra, of course: “Keep it Simple, Stupid (KISS)!”

He boils down complex problems into straightforward issues and I admire that. And he always does it in an engaging way and he’s hilarious to interview.

On the other end of the spectrum, I spoke to a guy called Richard Martin about 15 years ago. He was then the CEO of Vasanta Group – now evo – and that interview was, quite frankly, a bit of a car crash for him. People in the UK who were around at the time still remember it: I will just say ‘the Caboodle moment’.

I fell asleep on stage once when I was interviewing someone during an OPI conference – in front of 100 CEOs. I blame your colleague Jonathan Smith who had kept me up very late the night before. I momentarily nodded off on stage – not my finest moment I will admit but he was a particularly boring man.

I can say that now because he’s not in the industry anymore. No names though.

January/February 2025

ST: Out of all these different countries you report on, is anyone doing anything special your readership might have missed?

SH: (laughs) If there was, we wouldn’t be doing our job of disseminating ideas and best practice properly.

What is interesting though is how some models work in certain markets, but not in others. I’ve been around long enough to watch the spectacular rise and then – let me be kind here – the waning influence of the office products superstore channel in many markets.

There are parts of Europe where superstores are not a thing now, and it’s a challenging

BIG INTERVIEW Steve Hilleard

been some progress and we shone a spotlight a couple of years ago on influential women in our sector (see Special Feature, OPI March 2023, page 30) and will do so again in the next issue, but there still aren’t enough of them.

Second, young talent. Shaun, as a member of the Leaders of the Future (LOTF) movement in the UK, I know you will agree with me: we need to do a much better job of attracting and then keeping young individuals in our industry – they will be the lifeblood of our sector as we move forward. On this note, I would like to give a quick shout-out to our Assistant Editor Kate who recently joined the LOTF committee; we are very proud of her for getting involved.

Being a good employer – and all the things you mentioned like DEI, work/life balance, etc – plays a big part in addressing the ‘people problem’.

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Steve Hilleard BIG INTERVIEW

The funniest thing that ever happened to me was coming back to my hotel room at the Montreux Palace Hotel in Switzerland at about 2 am one night in the middle of our European conference. The door to my suite was open and in it were about 20 very well-known industry executives. These guys basically had somehow gained access to my room because, as the organiser, I had a minibar that was very well stocked.

I do have some things in my life which are not industry related. Well, not exclusively

Probably the best-known of these personalities stood on my giant television cabinet with nothing but his boxer shorts on.

Everyone was loudly cheering and there was a big glass bowl full of money in different currencies – this was before the euro. They had dared him – for the princely sum of about £2,000 – to strip off and do a dance. Which he did. Again, no names – what goes on tour, stays on tour.

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ST: I know exactly who you’re referring to… We’ve chatted about ‘work’ work and what you’ve been doing. But you’re also involved in many other industry initiatives. You’re currently President of UK networking group, The Society of Old Friends, and are really engaged with things like the Climb of Life, also in the UK, and, as you’ve just mentioned, City of Hope in the US. All of this suggests little spare time. What do you do to just unwind and switch off?

SH: I like what I do. OPI enjoys a privileged position within the industry and I enjoy a privileged position within the company. All the things you’ve just mentioned – the Old Friends, my support of the Institute of Cancer Research

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as part of the Climb of Life, City of Hope: I don’t really view these as jobs. They are more like hobbies and I do them with and for the people I genuinely care about. Yes, they take up time and energy but they are also fun.

I do have some things in my life which are not industry related. Well, not exclusively.

Cycling is one of them. I also frequently watch Manchester United play. Although, sadly, it’s currently more stressful than enjoyable. Mrs H and I have a caravan which we love to escape in occasionally. And of course, we have three grandchildren we try and spend time with.

ST: When I prepared for this interview, I found out that you’re a mentor at the Leigh Stationers’ Academy. Can you tell me a bit more about this and what is involved?

SH: Many people in the UK are liverymen or freemen at the Worshipful Company of Stationers and Newspaper Makers – it’s the livery company for our sector. It was founded in 1403 and is an incredible institution which does a lot of good for many causes.

One of the things this institution does is it sponsors and supports a secondary school in the southeast of London, in Eltham – the Leigh Stationers’ Academy, as you say. The school is very close to where my father grew up. When I heard about the mentoring scheme and the opportunity to go to the school and help young people, some from disadvantaged backgrounds, I jumped at the chance. It’s been an amazingly rewarding, fulfilling experience.

The first mentee I had was a young girl from Romania who came to the UK at the age of 14 and spoke no English. I spent a couple of years mentoring her and she completed school with excellent grades and then followed her dream of becoming a forensic scientist. She now works for the Metropolitan Police.

I’m currently mentoring a young lady who is 16 and wants to go into nursing. I’m working with her to try and make sure she makes the right choices. A big shout-out to the British Heart Foundation which helped me recently to secure some work experience for her. It’s good to give back.

ST: It sounds incredible. Since I’ve known you, I’ve always found that you’re not backwards in coming forwards. Have you always had this devil-may-care attitude?

SH: Some people might find this hard to believe, but I am an incredibly shy person.

I find it difficult to network and I used to be terrified of public speaking.

In 2010, I had the opportunity – it didn’t seem like one at the time – to stand on stage in front of 2,000 people to present the first-ever

Steve Hilleard BIG INTERVIEW

NAOPA at the S.P. Richards Advantage Business Conference in Miami. Imagine emceeing an awards ceremony and making giving out prizes for shredders, flipcharts and pencils interesting.

I came up with a bit of a comedy routine and no idea how to deliver it. I have never been so scared in all my life, but it was one of the most rewarding things I’ve ever experienced. It was also a watershed moment for me to confront my fears and go for it. It was terrifying but probably led to one of the highlights of my career a year later when I was asked to do it again.

In 2011, I walked out on stage at the Mandalay Bay Resort in Las Vegas in front of 2,500 industry people at a gala dinner. There were two show girls with their big plumed hats either side of me and CeeLo Green blasted out Bright Lights, Bigger City. It was a moment I will never forget. Does that answer your question?

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ST: It most definitely does! We’ve mostly been looking back so far. What are your future plans for the company you’ve been leading for so long?

SH: I’d like to step back a bit at some point. It would be nice to monetise the three decades I’ve put in. This could happen by selling the company to another publisher. We did this once already, about 25 years ago, but then I bought it back in an MBO with Janet.

An alternative would be to try and see if the staff want to raise the funds and take the business on. We have one or two very dynamic individuals in the organisation who I think are more than capable of rising to the challenge.

Or we just keep it, let the staff run it and take a bit of an income from it.

I don’t imagine any of this is going to happen anytime soon. When it does, it will be a phased process. I won’t just stop and vanish into the sunset, that’s not me. I enjoy it too much.

But I am actually learning to chill out a bit more. Having a one-year-old puppy – our gorgeous Cockapoo Barney – waking me up every morning with a cuddle and lots of tail-wagging definitely starts the day with a smile and is a really nice position to be in.

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ST: Good to hear you’re at least thinking of winding down a little. Finally – and without wanting to sound too morbid – how would you like to be remembered when you do decide to step back? What do you want people to say when your name comes up?

SH: (laughs) “I don’t know how he ate and drank so much and didn’t drop down dead.” I say this because I do have to go to a lot of meal functions and it’s a constant challenge to keep the weight in check.

I won’t just stop and vanish into the sunset, that’s not me.

I enjoy it too much Seriously though, I hope people appreciate that I’ve given this industry 100%. It’s important to me that the community which has provided me with a very good living, should get some of my time in return, so I’ve always tried to give back to our sector. As a company, I hope OPI has offered guidance but also created some fun along the way.

FOCUS

FALLING short

At COP29, the world’s climate leaders delivered agreements that could redefine the path to a sustainable future. However, the tangible impact of their decisions remains uncertain – by Michelle Sturman

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lthough every recent Conference of Parties (COP) seems plagued by political grandstanding, nitpicking, plenty of “oops, I shouldn’t have said that” moments and, this time, even a dramatic walkout, COP29 in Baku was contentious from the start.

Held from 11-22 November 2024, the conference drew criticism due to its host country, which generates much of its GDP – and over 90% of its export revenues – from oil and gas. Tension rose during Azerbaijan President Ilham Aliyev’s opening address, where he called natural resources, including oil and gas, “a gift from God” and defended their extraction.

While he noted Azerbaijan contributes just 0.7% to global oil production and 0.9% to gas, such comments may have been better avoided. The controversy deepened when Azerbaijan’s Deputy Minister of Energy and COP29 CEO, Elnur Soltanov, was caught agreeing to include discussions on oil and gas investments during the summit. Adding fuel to the fire, there was widespread backlash over the heavy presence of fossil fuel lobbyists.

Nevertheless, leaders stressed the need for action. “We are racing the clock. Violent weather is inflicting human tragedy and economic destruction,” said United Nations Secretary-General António Guterres.

TRADING UP Despite the controversies, COP29 delivered some positive outcomes in global climate negotiations. 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.

We are racing the clock. Violent weather is inflicting human tragedy and economic destruction

While many agree this system could help countries achieve their climate targets, critics argue it risks enabling wealthy nations and companies to avoid emissions reductions at home, opting instead to pay for offsets.

Still, the new framework might accelerate international collaboration, helping developed and emerging nations to meet their climate goals. The system’s success will depend on how these rules are implemented and whether they promote real decarbonisation efforts or become a loophole for polluters.

EMERGING ENERGY A central theme during the conference was the transition to renewable energy. Greece’s Prime Minister Kyriakos Mitsotakis delivered a candid critique, saying: “Europe and the world must be more honest about the trade-offs involved in the energy transition.”

He continued: “We need to ask hard questions about a path that moves quickly at the expense of our competitiveness, and one that goes somewhat slower but allows

our industry to adapt. It’s our responsibility to weigh these trade-offs carefully, not to whisk them away.”

Discussions highlighted the evolving role of nuclear energy in the global push for decarbonisation. Among the major announcements, the US unveiled targets for expanding domestic nuclear capacity. The Framework for Action document outlined plans to add 35 gigawatts (GW) of new capacity by 2035 and deploy 200 GW of net new capacity by 2050. Such goals reflect growing recognition of nuclear energy’s reliability and zero-emission attributes, particularly as electricity demands surge due to advancements in AI, for example.

These developments have come at a pivotal moment as climate change is expected to decline as a national priority under the incoming US administration.

As the top greenhouse gas emitters, combined effort between the US and China is vital for progress but differing priorities hinder collaboration. While cautious optimism has surfaced, disagreements over technology transfer and financial commitments persist.

Some analysts have suggested competition between global superpowers might drive innovation and expedite the energy transition, albeit at the cost of global cooperation.

NEW VOICES COP29 witnessed a surge in activism from Indigenous groups. Demonstrations called for stronger action to limit global warming to 1.5°C and protect vulnerable ecosystems.

Indigenous leaders emphasised the value of incorporating traditional knowledge into climate solutions, highlighting their communities’ frontline experience with environmental changes.

Europe and the world must be more honest about the trade-offs involved in the energy transition

Youth delegates, meanwhile, strengthened the urgency of the climate crisis. Throughout COP29, the International Organisation for Migration Youth Delegates had the opportunity to engage with government officials, migration and climate change experts, civil society organisations and other stakeholders. Their presence was a stark reminder that the consequences of delayed action would fall on future generations and an open and inclusive approach to tackling global challenges is the way forward.

LOOKING AHEAD 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 Nationally Determined Contributions, due for submission in early 2025. These revised pledges will help determine whether the global community is on track to meet the goals of the Paris Agreement.

Brazil’s presidency offers an opportunity to shift the narrative from negotiation to action.

With the Amazon rainforest – the ‘lungs of the planet’ – under its stewardship, Brazil is likely to prioritise biodiversity protection and measures that combat deforestation.

January/February 2025

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 emerging nations in annual climate finance.

With the current $100 billion commitment expiring next year, a new deal needed to be struck. Talks turned fiery when an initial

FOCUS COP29

proposal of $250 billion caused members of the Alliance of Small Island States to stage a walkout, arguing that wealthier nations must contribute far more to address the crisis they have disproportionately caused.

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 unhappy as the figure constitutes a fraction of what is required and the final text lacks details on how the figure will be achieved. There was also widespread disappointment that the text failed to up the ante on last year’s pledge to ‘transition away’ from fossil fuels.

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SPOTLIGHT

CHALLENGES and OPPORTUNITIES

Senior business products executives from around the world give their take on what’s in store for 2025

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obody needs reminding that 2024 was a difficult year for many players in the business products industry. Macroeconomic and geopolitical factors were again a concern, while ongoing trends such as digitalisation, hybrid working and the shift to online continue to create challenges.

Against this backdrop, what can we expect from 2025?

OPI canvassed opinions from industry leaders to get their views on the main topics and trends for the months ahead.

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STEVE SCHULTZ, PRESIDENT, RJ SCHINNER Considerable growth is forecast for 2025, driven not only by the return of inflation (boosting price realisation), but also by increasing demand for convenience, hygiene and sustainability products – all impacting foodservice disposables.

The substantial potential in these disposables can primarily be attributed to two major macroeconomic factors. First, a growing inclination in favour of on-the-go, ready-to-eat and takeaway meal options is boosting demand for packaging solutions that offer convenience and maintain food hygiene.

Second, heightened environmental awareness is leading to a shift to eco-friendly and biodegradable disposables.

Furthermore, stringent government regulations regarding single-use plastics are pushing the industry towards sustainable choices, necessitating investment in new materials and technologies. These create excellent opportunities for resellers to capitalise on.

One notable factor to watch closely in early 2025 is US trade policy which will impact key raw materials and finished goods in our categories. Under the Trump administration, potential policy changes which may elevate

effective tariff rates could impact dynamics between imported and domestic product alternatives – possibly affecting product volume availability and contributing to higher inflation. Resellers should be very mindful of this as they address growth opportunities this year.

The paper, janitorial and foodservice disposables industry is poised to experience further consolidation through M&A over the next 12 months. Acquirers continue to actively seek an expanded market presence and greater operational scale, supported by stable cash flow. Their involvement is expected to drive further consolidation as they buy and merge companies to build comprehensive platforms.

One notable factor to watch closely in early 2025 is US trade policy With heavy M&A activity having occurred for several years now, consolidators are beginning to integrate and optimise their operating platforms and remove redundancies to manage costs more effectively. These developments are often coupled with unavoidable changes and disruptions – which create openings for resellers to be aware of and benefit from.

JAMES RODGERS, CEO, INDEPENDENT SUPPLIERS GROUP As we move into 2025, our commitment to growth remains unwavering. We will continue to broaden our service and product portfolios, ensuring we meet the evolving needs of our customers.

At the same time, we will place a strong emphasis on fortifying our supply chains to improve efficiency, reliability and responsiveness – positioning ourselves for continued success in the year ahead.

ANDREW GALE, CEO, EVO It is going to be an ‘interesting’ year. We have UK government budget costs to push through the chain from April onwards. I expect the process of passing on these increases will be a challenge.

The numbers are just too big for businesses to ignore.

I suspect inflation is going to rise too. All of this is not an ideal canvas to work on, but there are massive opportunities, and businesses and consumers will be spending billions on products we can sell. We therefore need to keep a sense of perspective.

As regards evo Group, look for new products, more marketplaces to be opened, new geographies to be entered and – hopefully – an acquisition or three. I expect VOW, Banner, Complete, our Ireland business and Premier Vanguard to all win in their specific channels. It won’t be dull.

MARK COOPER, PRESIDENT, AVERY 2025 feels unpredictable. The current geopolitical climate will likely have a big role to play in how economies and businesses fare. The looming threat of more broadly imposed tariffs could have significant implications and push us back into inflation – which we would like to avoid.

Hybrid office working has settled in at a 2-3 day norm level and looks unlikely to change much in 2025. We have seen slowing levels of consolidation but it feels like there’s more to come. This is needed as some of the larger players struggle for organic growth – and what growth we do have is not from the traditional OP categories.

We are starting to see some of the productivity and efficiency benefits from the adoption of AI, but I suspect we haven’t yet scratched the surface.

ROBERT PAAR, COO, WEEKS LERMAN In New York City, a congestion charge was proposed and then suspended for 2024. At the beginning of January, it finally came into effect – car drivers have to pay $9 a day, with varying rates for other vehicles.

This charge hurts the in-office push for Manhattan and could lead to an erosion of sales to clients located there.

It, of course, also means higher delivery costs.

Overall, 2025 will have the same challenges as the prior years, including the continued leakage of C and D items to Amazon. Traditionally, these were products dealers could profit from; however, with this Amazon shift, resellers like Weeks Lerman will make less money on consistent volume.

January/February 2025

DENIS MATHIEU, CEO, NOVEXCO Political changes in North America, with the arrival of new border tariffs, will certainly lead to changes in the way we source from Asia.

Distributors are looking for more products made in North America to avoid paying these import taxes.

Meanwhile, inflation will be even more pronounced in Canada as we will have to deal with the weakness of our currency against the US dollar.

These fluctuations will have a significant impact on smaller independent dealers whose profitability depends on their purchasing power. The effect of buying local will no longer be able to counterbalance the price differential and many will be forced to sell or simply close their stores due to competition from large supermarkets and online players.

The consolidation of recent years, both between suppliers and resellers, and the elimination of levels in the distribution chain, will continue to increase. Diversification will also be very important in our sector in 2025.

SPOTLIGHT 2025 Predictions

CHRISTA FURTER, MANAGING DIRECTOR, VIKING EUROPE Speaking on behalf of RAJA Office, we are well prepared for 2025. We believe we have attractive product offerings in all our markets and are also targeting specific verticals across our sales channels.

Investments made in digital initiatives and new AI tools will have a positive impact.

We will further see the fruits of the stronger relationships we have developed with many of our suppliers. These include bespoke product training programmes which are taking place throughout Europe.

Areas of focus for us this year will be growing sustainable product assortments and developing personalised offers and overall workplace solutions. In addition, we are looking to leverage group synergies – our central purchasing team will play a vital role in our progression.

The economic outlook for Europe is slightly better than in 2024 and we see this as an opportunity for our business.

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2025 Predictions SPOTLIGHT

RICHARD SCHARMANN, CEO, PBS HOLDING 2024 was the most difficult year I can remember. The final quarter was comparable to Q4 in COVID-impacted 2020. In this context, 2025 will provide opportunities for those moving faster and more aggressively.

This will ultimately lead to fewer players but also more efficient operations and future-ready concepts. However, we can be sure the difficult economic environment will leave us little time to catch our breath.

2024 was the most difficult year I can remember

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DAVID HARMAN, GROUP MERCHANDISING DIRECTOR, LYRECO 2024 was a ‘combative’ year in the core office categories. All things being equal, we predict similar trends for 2025. That said, we do see some important category dynamics accelerating within the workplace this year and will focus our energy on unlocking them with our alliance partners across the merchandising team.

Areas include: continuing to tap into the potential of hybrid working; accelerating the digitalisation of our offering; innovating around the wellness theme – be it physical or mental; and the need to represent a clear direction on our social purpose.

As always, the true North Star for Lyreco will be to listen, act and deliver for our customers around the world.

Provided we do that, we look forward to another progressive year ahead as we approach our centenary in 2026.

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MIKE TUCKER, EXECUTIVE DIRECTOR, WORKPLACE SOLUTIONS ASSOCIATION The future appears bright. Most dealers are bullish about their furniture business. Government funding has driven a lot of volume in the past two years and mid-market resellers are doing well at the expense of higher-end lines.

There’s less transactional business but companies are refreshing products sooner to entice staff back into the office. The market for tech products also continues to offer growth opportunities and higher margins although dealers generally struggle to make a comprehensive commitment to this vertical.

There are concerns about the stability of the wholesale channel in the US, especially with the change in leadership at Essendant in 2024 and the unpredictability of [Essendant owner] Sycamore Partners.

JONATHAN WEISS, GENERAL MANAGER, GLOBAL BUSINESS SOLUTIONS, RECKITT Nothing is easy to predict. A continued focus on labour issues, including staff retention and protection, alongside tech advances such as autonomous cleaning robots, will continue from 2024. AI as a tool will augment what the industry does, allowing us greater insights and better aggregation of data – from product R&D through to on-site cleaning results.

At Reckitt Pro Solutions, we have been concentrating on our next big product launch – to be rolled out across Europe in H1 2025 – which delivers against the ever-growing need for performance and efficiency to minimise the cost of labour in cleaning.

What I would really like to see is the next step in large-scale industrial sustainability. Now that many organisations, Reckitt included, have set their goals and know what they want to achieve, it’s time for greater collaboration between companies to significantly reduce the impact we have on our planet.

If we want this impact to be global, we need to have reach across corporate boundaries.

What I would really like to see is the next step in large-scale industrial sustainability BRIAN BOWERFIND, PRESIDENT, OFFICE PROUCTS & CONTRACT FURNITURE, ECI Entrepreneurial dealers are always finding ways to remain competitive. The most successful ones are leveraging technology to expand their product offering.

They are creating one-stop shops with integrated ERP and e-commerce tools which provide wholesaler content and also the ability to add non-wholesaler supported SKUS. Diversification is the path to growth. Our resellers meet with their customers and ask them: “What are you buying today that I’m not selling you?” They are then figuring out how they can create a supply chain to ensure they earn this business moving forward. It’s this kind of hustle and creativity which is seeing dealers gain traction despite difficult market conditions.

We’re also witnessing an increased appetite for customer self-service. B2B buyers move further along their journey before they pick up the phone or send an email to a dealer. In addition, they want to be able to conduct business and pay bills outside of the 8-5 window.

It’s important for all of us to ensure we’re providing ways for customers to learn about us and our products before buying. We see e-commerce as the best technology resource a dealer can deploy to accomplish this.

2025 Predictions SPOTLIGHT

JAN VAN BELLEGHEM, MANAGING DIRECTOR, INTERACTION 2024 was a challenging year for our Q-Connect brand, with pressure on the traditional OP and paper categories in most countries.

These declines are expected to continue this year. Therefore, it is key for us to have enough new products on offer to compensate for this. At the same time, we need to make sure our members have the best content tools to successfully sell our brand online.

RIC ANDERSEN, GENERAL MANAGER, THE HON COMPANY There has been a gradual return to the office, with potential acceleration expected in 2025.

We anticipate a competitive environment, with significant potential in both the commercial and public sector spaces.

There has been a gradual return to the office, with potential acceleration expected in 2025

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Independent dealers have continued to display resilience by evolving and driving focus to lines of business which offer them the best opportunity for predictable and sustained future growth. At the same time, they have shed lines that offer less future potential. We have seen this accelerate across the dealer channel in 2024.

We plan to maintain our focus on high-growth segments in the public sector which have historically been beneficial for us. We also continue to target specific commercial spaces that have shown recent positive trends.

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PETER DAMMAN, NON-EXECUTIVE DIRECTOR, SOFT-CARRIER In 2024, we witnessed further declines in demand for business supplies. Revenue decreases of over 5% were not uncommon.

For 2025, the economic forecasts in Europe are relatively favourable – interest rates have come down and unemployment appears stable. In the white-collar sector, there will still be demand for traditional products, but this will again decline rapidly due to the enormous speed of digitalisation and workplace changes.

My expectation is that, at every level of the distribution chain, consolidation will continue – and quicken – over the next 12 months because organic growth is impossible.

This will first occur among resellers – they will face the

biggest challenges in 2025 in my view – followed by the manufacturer community.

Buying groups will have a tough year. Larger members will become even bigger, creating dealers that don’t necessarily need group membership to have good purchasing terms.

GORDON CHRISTIANSEN, PARTNER, HIGHLANDS Market conditions were tough in 2024 and I suspect this will be the same in 2025. From a reseller perspective, the pivot to selling categories other than core office products continues apace. The resellers that survive will be those which can reshape their category portfolio the quickest.

Demand for traditional OP remains in decline and this impacts the whole supply chain. In 2025 and beyond, I believe we will see Asian brands wanting to be directly involved in the European and US markets rather than rely on western brands to ‘front’ their manufacturing capabilities. This will happen across many markets, not just in our industry.

Another trend will be the ongoing enhancement of the office environment to ensure back-to-office is as attractive as possible. I don’t just mean better office design and furniture, but areas such as the free availability of feminine hygiene products, higher quality breakrooms, outdoor working facilities and so forth.

DAVE GUERNSEY, EXECUTIVE CHAIRMAN, GUERNSEY The Washington metro area has entered 2025 with a decided burst of optimism. Federal employees are expected to return to the office in large numbers, thus correcting much of what we all struggled with over the past year.

We predict all facets of our business will improve to an extent whereby we will get back to our 2019 performance – a record year for Guernsey. Moreover, we expect to be active on the acquisition front – letters of intent are in place and we are waiting to close deals.

We expect to be active on the acquisition front

CATEGORY UPDATE

Put down in WRITING

The writing instruments category has faced tough times, but vendors see calmer waters ahead and are optimistic about the future – by David Holes

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hen OPI asked several leading players in the writing instruments segment to give their views on how this category was performing, they gave somewhat mixed responses.

Frank Groß, Managing Director at Schneider in Germany, is bullish, for instance: “This category has been very positive for us in the last 12 months. We’ve seen growth worldwide and strengthened our position as the market leader for ballpoint pens in Germany. We’re also among the top brands across Europe where, over the past seven years, we’ve achieved revenue growth of more than 100%.

“While 2024 was challenging for the entire sector due to difficult economic conditions, we’re optimistic about continued opportunities and innovation this year and beyond.”

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CAUTIOUSLY POSITIVE At Pilot Corporation of Europe, Brand & Communication Coordinator Cécile Poirot-Crouvezier is more cautious, due to varying dynamics in the market. These include a decline in volume over the previous five years exacerbated by shifts in consumer behaviour and reduced purchasing power, but at the same time growth in value which was primarily driven by inflation.

She comments: “Certain categories have demonstrated resilience. For instance, rollers

have remained stable over the past four years, with annual volumes hovering around 127 million units, underscoring the continued demand for high-performance writing tools.

Despite the challenges we face, we remain optimistic for the future and will be adopting an assertive strategy in response to increasingly bold competition.”

Fellow European vendor BIC also highlights the challenging economic environment, with softness in consumption and reticent consumer spending negatively affecting sales.

Sustainability is [a] concern, with growing demand for recycled materials and packaging Group Category Leader for Stationery, David Cabero, says value for money and longevity are uppermost in the minds of end users and promotional offers are popular. “Sustainability is another concern, with growing demand for recycled materials and packaging, plus the ability to refill items. While not necessarily willing or able to pay more, consumers are looking to limit their impact on the planet.”

Across the Atlantic at Pentel of America, Senior Brand & Digital Marketing Manager Jason Cole talks about a veritable cat and mouse game being played with buyers, as

Writing Instruments CATEGORY UPDATE

retailers have not always been replenishing their stock when expected.

However, he says the category is slowly clawing its way back up to pre-pandemic levels and he expects things to be fully back to normal by the end of 2025.

For Zebra Pen, the first half of 2024 was solid, despite a modest decline in overall sales which was also mirrored during the peak back-to-school season. Director of Marketing Ken Newman believes one of the biggest challenges in the US is the shifting focus for some key distribution partners.

He explains: “The drugstore channel, for example, is minimising its focus on writing, but also closing stores in general. We have concerns about market consolidation. There further seems to be an increasing emphasis on private label even though consumer research suggests national pen names still rank over store brands. It will be interesting to watch how this battle impacts retailer performance.

“Of course, a continuing trend is the increase in online sales. We need to provide relevant and impactful content, so dealers can leverage their own sites. Connecting to a consumer audience is more complex than ever.”

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A continuing trend is the increase in online sales

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SUSTAINABILITY IS VITAL Every manufacturer OPI spoke to mentioned sustainability as a top focus point. According to Pentel, nearly two billion pens and pencils end up in landfill each year and the vendor wants to play its part in eliminating them from the waste cycle.

Cole adds that plenty of consumers also don’t refill their writing instruments.

The company has implemented several marketing programmes to try and alter buying behaviour, with the aim of firmly positioning these products as reusable items.

Pentel has been partnering with Arbor Day Foundation for several years to plant trees and offset the harm done by deforestation due to pencil manufacturing, with nearly 100,000 trees added to date.

The vendor is further committed to completely eliminating plastic from its packaging and aims to achieve this within the next 3-5 years. It has already successfully managed this for its entire line of RSVP ballpoint pens and is currently working on its lead and eraser packs.

Schneider, meanwhile, says it was the first licensee of the well-known and trusted environmental label Blue Angel for writing instruments. Adds Groß: “Today, ten of the 12 Blue Angel-certified writing instruments come from Schneider. Production at our two German sites is 100% powered by green energy.

Unavoidable CO2 emissions are offset through a financial contribution to certified projects.

“As a result of our long-standing commitment, we won the 16th German Sustainability Award 2024 in the office supplies sector. We are convinced our focus on sustainability and new product development will be key in maintaining our competitive edge. Looking ahead, we expect to see further growth driven by increasing demand for sustainable and innovative writing solutions in both existing and emerging markets.”

ALL-ENCOMPASSING EFFORTS Fellow German manufacturer edding believes only those companies which address sustainability in all areas of their activities will be economically successful in the long term. It aims to reduce its CO2 output by at least 3,000 tonnes before the end of 2026.

By switching from conventional to recycled aluminium for most of its marker barrels, edding has already achieved an important milestone. At the start of 2025, the company launched a new packaging concept where plastic is replaced by FSC-certified cardboard – containing 90% recycled material – for three more of its ranges.

Says Ewoud Bosch, VP Business Unit Office & Industry Supplies: “We are increasingly investing in products largely made from recycled material, such as our new flipchart effect marker featuring 51% recycled plastic.

There will also be various new sustainable products for industrial use this year, such as the EcoLine paint markers with a post-consumer recycled plastic barrel.”

EVOLVING HABITS AND TRENDS In addition to a heightened focus on sustainability, Poirot-Crouvezier refers to two other dominant trends. The first is personalisation: there is growing demand for tools which allow users to express their individual style through multicolour or customisable pens.

Secondly, the vendor is seeing a move towards products embodying analogue/digital hybridisation, combining traditional writing with digital functionality. Pens compatible with an app, for example, are gaining traction.

Bosch too says that edding is embracing more digital products. He cites ‘easycheck by edding‘ as a good example – it’s a smartphone-based tool for checking the validity of driving licences which works using invisible ink.

Habits have changed, Schneider’s Groß asserts, with most writing today being done for short notes or signatures. He adds: “It places different demands on a writing instrument – it should write immediately and feel pleasantly light. This is where we score points with our One or Slider series – these products deliver exceptionally smooth and gliding writing.”

Colour preferences are evolving too. This is why Schneider has considerably expanded the fashionable colours for its Slider range – previously recognisable by its cyan barrel.

Groß says the Slider Rave is Germany’s most popular retractable pen as well as one of its top sellers in most European markets. It is now available in five new colour combinations, with three more being added imminently.

Pentel has used technological innovation to make its recently launched Floatune Rollerball Pen. Floatune is a substance which uses a unique blend of water-based ink infused with an oil-based lubricant to provide a smooth, consistent, skip-free writing experience.

Currently available in a capped design, the vendor is continuing to expand the brand – new retractable models are scheduled to come out in the next few months.

It is highly likely more change will come [in the US] over the next few months and years

FUTURE POTENTIAL Most key players in this category are looking to expand outside of their traditional markets, either by exploring new geographical regions or seeking opportunities in different verticals.

While maintaining a focus on Europe, Schneider sees big potential in Asia where demand for high-quality writing instruments is still growing. Meanwhile, Pentel believes Central and South America are regions with good prospects and the vendor is moving resources to those geographies.

For edding, the education and industrial sectors are targets and it will be exhibiting at major trade fairs this year to specifically promote these. Within mature markets such as its home turf of France, BIC is seeking new business within the tourism industry; it is also gaining share in the US stationery sector.

On the US note, Zebra Pen’s Newman warns that this market is currently in a state of slight limbo, waiting for the impact of the change in presidency and how certain policies enacted will alter sourcing, pricing and distribution.

He concludes: “Nothing is the same as it was four years ago and it is highly likely more change will come over the next few months and years.

The ability to adapt will prove critical to growth.”

January/February 2025

MAXIMISING ADJACENCIES Other sub-categories receiving more attention right now include ‘gifting’, with customisable items and trendy pens sought for corporate giveaways, Christmas presents or other significant events throughout the year.

Servicing the ‘creative hobbies’ space is another opportunity, with many vendors

expanding their ranges to appeal to enthusiasts of drawing and scrapbooking. Pentel, for instance, launched a new series of pens called EnerGel Expressions, featuring demonstration artwork created by influencers, who also helped select the colour line-ups. According to Cole, they’ve been flying off the shelves.

Zebra Pen introduced its ClickArt range – porous felt tip pens which aim to solve two consumer pain points: lost caps and tip dry-out.

Retractable – no cap to lose – this line features technology that keeps the tip fresh for up to a year even if it’s not retracted.

CATEGORY UPDATE Writing Instruments

Similarly, 2025 will see Pilot expanding on its Begreen range and introducing the FriXion Ball+, a unique erasable roller made with over 80% recycled plastic.

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OPINION

Education

EVOLUTION

As Chair of the board for EDmarket, Darlene Akers explores the current state of the education sector – and the potential within it

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www.opi.net

erving in a leadership position on the EDmarket board has been an incredibly fulfilling experience for me so far. Just to set the scene, EDmarket is a US non-profit trade association comprising thought leaders in the education industry.

Our mission is to facilitate relationships among manufacturers, dealers, architects, designers and schools to make a positive impact on education and the welfare of students. We aim to connect and support individuals who are passionate about inspiring the future of education.

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WELL-BEING FOCUS Educational furniture, in particular, has experienced a remarkable shift, driven by a growing recognition of the importance of classroom environments in enhancing learning outcomes. From flexible seating options to ergonomic products and designs, there’s a clear trend towards improving student well-being.

By prioritising ergonomics, flexibility, sustainability and technology integration, manufacturers are not only meeting the functional needs of modern classrooms but are also contributing to the overall health and comfort of students. I’m convinced we will see plenty more exciting and innovative solutions that support effective learning in this incredibly buoyant sector.

Photo by Custom Educational Furnishings

IMPACT OF COVID The pandemic has significantly altered the education landscape by speeding up the adoption of online learning platforms and technologies. This transformation has resulted in a high demand for digital content and resources, in turn increasing investment in EdTech companies.

Moreover, there is now a stronger emphasis on personalised schooling experiences as educators and companies work to address the needs of students. COVID has prompted a re-evaluation of traditional education models, with a growing appreciation of neurodiversity.

There is greater recognition that flexibility, technology integration and a focus on holistic development are crucial for the future.

COVID has prompted a re-evaluation of traditional education models Schools will continue to evolve by incorporating lessons learnt during this difficult period to create more resilient, inclusive and adaptive education systems. The opportunities for innovation and improvement are abundant.

DEALERS TO THE FORE Most schools and education settings acquire their supplies through business products dealers, commercial furniture vendors and specialised online retailers. These suppliers offer a wide range of school furniture, such as desks, chairs and storage solutions. They often collaborate directly with schools to understand the unique needs and provide customised solutions.

Business products and office furniture dealers play a crucial role in ensuring schools are well-equipped with the tools and supplies to create an optimal learning environment.

OPINION Education

that individuals have uniquely wired brains with different ways of thinking, studying and processing information.

By embracing inclusiveness, the education furniture industry in particular is making strides towards creating spaces which support every student’s unique journey. Aside from enhancing the learning experience, this progress also creates a sense of belonging and respect among students, preparing them for a diverse and inclusive world.

Photo by Diversified Spaces

Their responsibilities extend beyond mere sales as they help schools navigate all the complexities of procurement, budgeting and product selection.

We identified a significant need for dealers to understand how students learn

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Dealers often build long-term relationships in the education sector. By consistently providing high-quality products and exceptional service, they become trusted partners in that community. These partnerships foster a collaborative approach to solving problems.

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BECOMING SPECIALISTS However, we identified a significant need for dealers to understand how students learn and what the core competencies are. To address this – under the direction of Dr Lennie Scott-Webber, a pioneer in exploring how the design of the built space impacts learning – EDmarket developed the EdMarket Certified Learning Place Specialist (ECLPS) programme.

This comprehensive certification programme aims to elevate the learning experience for school districts and industry professionals involved in planning, managing and designing future learning environments.

Participants in the ECLPS programme will gain the knowledge and tools necessary to create high-quality, healthy and collaborative environments. They will also learn about inclusive education which ensures that all students – regardless of their abilities, backgrounds or learning needs – can study and participate together in the same space.

This involves designing classrooms that are comfortable for everyone and recognising

STREAMLINING PROCUREMENT Educators face the constant challenge of balancing budgets while offering access to the best resources. One popular solution gaining traction among institutions is the use of cooperative contracts. These are agreements made between multiple educational entities which combine their purchasing needs to negotiate better prices and terms with vendors.

By coming together, schools can leverage their collective buying power, leading to significant savings on everything from classroom supplies to office furniture and technology products.

Contracts such as TIPS, OMNIA and Sourcewell are transforming procurement in education settings. By working together, schools can achieve greater financial efficiency, streamline the purchasing process and foster a spirit that benefits everyone.

Combined with government grants and other funding programmes, financial resources are maximised, enabling schools to modernise their learning environments and create the best possible support – and educational outcome – for students.

The education market is undergoing a dynamic transformation, driven by innovative solutions and a focus on student well-being.

The role of organisations such as EDmarket, combined with the efforts of a cohesive and collaborative supply chain, is to shape a future where education settings are adaptable, inclusive and conducive to effective learning. I am honoured to be part of this journey.

Darlene Akers is the founder and CEO of Akers Business Solutions, a manufacturer’s rep firm on the East Coast of the US. She has been involved with EDmarket for many years, acting as Secretary before becoming Chair-Elect in 2024. Akers was also instrumental in the establishment of the Bold Women Collective, a year-round forum for connecting, sharing and learning with other women in the education market.

For more information on EDmarket, its mission and services, visit www.edmarket.org

OPI GLOBAL FORUM - BOOK NOW! Early bird rates are available before 24 January, with free cancellation until 18 April 2025.

We also have special, discounted deals for OPI members and independent dealers.

“Two days of excellent, thought-provoking conversations, presentations and discussions.

A great opportunity to step back from day-to-day operations, learn from others and take home new ideas.”

“The OPI Global Forum was a great opportunity to have all levels of the IDC together in one room sharing our successes, concerns and visions for the future.

I am thankful I attended.”

DAVE BENT ECI SOFTWARE SOLUTIONS

This is a unique event where senior executives take time out of their business in order to work on their business. Don’t miss this opportunity to join them BOOK NOW WWW.OPI.NET/GF2025

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CATEGORY UPDATE

storm PAPER

Suppliers of office paper are confronting a tough market and must focus on those sub-categories where demand is highest – by David Holes

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ith people spending less time in the office and the need for printing on a steady decline, the paper sector faces numerous challenges. Mill or machine closures, raw material price hikes and political tension around tariffs are just some of the headlines we see all too regularly.

In the Key Statistics 2023 report, published last year by the Confederation of European Paper Industries (Cepi), the paper association referenced a 13% decrease in paper and board production across Europe, compared with 2022, as well as a 9.1% reduction in pulp production. Packaging grades dropped 11%, while sanitary and household paper fell 4%. Additionally, raw material consumption declined, including the use of integrated pulp, market pulp, plus paper for recycling and non-fibrous materials.

In North America, the market is relatively flat, says Stacey Couch, Channel Marketing Manager at Domtar, noting that cut size – office paper – demand gained only 1.3% in 2024 (to end of November). Forecasts for 2025 predict a decrease of 2.6%, potentially wiping out the previous year’s growth, with other paper categories being hit even more significantly.

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THE MAIN ISSUES According to Eric Kriegsman, Senior Manager Purchasing & Assortment, Paper & Mailing at Viking Group, the industry continues to struggle with an imbalance between end-consumer needs – which keep decreasing by 4-5% annually in Western Europe – and reseller demand. He adds: “With spiralling

office paper capacity and available volumes from Asia – which will more than offset any reductions in Europe – plus uncertainty about tariffs for EU manufacturers exporting to the US, competition among market players is likely to increase further.”

There’s a constant f luctuation of supply and demand balance in this declining paper market

13% Decrease in European paper and board production in 2023

Financial pressures are certainly a topic of conversation, says Couch. With inflation still on the rise, even though at a slower rate, keeping costs under control while budgets stand still, continues to create business stress. “There’s a constant fluctuation of supply and demand balance in this declining paper market, which is forcing manufacturers to run their operations as efficiently and flexibly as possible. In North America, over the past few years, Domtar has both removed and then added back capacity to support fluctuating requirements.

“The changing landscape of where and how office supplies are sold is a key focus. As the

FIRST CLASS IN BUSINESS SUPPLIES MEETS FIRST CLASS IN INDUSTRY COVERAGE. PBS Holding congratulates Steve Hilleard on 30 years of excellent reporting and thanks him for bringing us all closer together!

Connecting the

business products world

Dr. Richard Scharmann, CEO PBS Holding AG

Paper CATEGORY UPDATE

bricks-and-mortar retail picture continues to change and with e-commerce thriving, we’ve been focused on supporting customers in the omnichannel environment. This entails new supply chain solutions and packaging configurations. As a supplier, we’ve had to be agile and ready to embrace change.”

Keeping machinery output at full capacity has been the biggest challenge for manufacturers, reports David Harman, Group Merchandising Director at Lyreco. Plus, he adds: “The high cost of pulp, with more increases likely in Q1 this year, has been a major challenge to margins. Meanwhile, military conflicts along the supply chain routes from Asia have inflated costs and seen some customers switching back to sourcing from EU manufacturing plants.”

Kriegsman agrees that geopolitical events have had a huge impact on the market, with the 2025 crystal ball suggesting there are more troubles on the way.

79.3% Paper recycling rate in Europe in 2023

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Selected sectors, such as finance, legal and healthcare, will always require high paper volumes

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THE NEW REALITY The market has fully recovered from the huge hit taken during the pandemic, Harman asserts, but the cost of raw materials rose to all-time highs during 2024 – and is expected to remain at these levels going forward. “The upside is that, with a bigger addressable market and customers within all verticals now prioritising sustainability, there are benefits to reap for those jumping on board.”

New ways of working are undoubtedly having an impact. According to research in the US conducted by Keypoint Intelligence, workdays in the office averaged around 2.5 days a week for the first half of 2024 and this will likely increase to 3.5 days going forward.

Despite a call for more on-site presence, office paper demand is predicted to reduce 2-3% percent over the next few years.

And although employers are also approving more printers for home-based work, the rate of process digitisation is negating much of this potential gain.

Viking paints a similar picture, with Kriegsman saying the company has had to adapt to the ‘printing less’ working model.

He adds: “While staff returning to the office in Europe is accelerating, we do not expect this to have a significant impact on paper needs.”

Despite overall demand being low, Lyreco is managing to outperform the market.

“Selected sectors, such as finance, legal and healthcare, will always require high paper volumes,” says Harman. “These are key target verticals for us.”

TRENDING NOW Some of the products currently most requested include high-quality paper for printing images and graphics. Domtar’s Couch puts this down to businesses and individuals prioritising the presentation quality of their documents.

In addition, there’s rising interest in copy paper design for colour printing for creative and DIY projects. This is fuelled by the need for eye-catching materials and the growing use of digital printing technologies. The adoption of these, plus intelligent process automation, is transforming how firms handle print tasks.

As Harman has already alluded to, Kriegsman agrees that areas of growth in an overall contracting market will be those segments that address – with evidence provided – sustainability concerns and preferences. He highlights paper made from 100% recycled waste, including environmentally certified virgin fibre pulp, or from alternatives such as straw, bamboo and sugar cane.

Cepi’s aforementioned Key Statistics 2023 report also emphasised the paper category’s role in the circular economy with a European recycling rate of 79.3%. Carbon emissions are on a steady downward trend, having been reduced by 46% since 2005.

In the sustainability context too, an additional consideration for manufacturers in the European market is the new European Deforestation Regulation which targets the elimination of deforestation-linked products from the EU market. Although implementation has been postponed for one year, it will have an impact as new regulations regarding the origin, traceability and sustainability of raw materials used come into force.

Challenges undoubtedly lie ahead, but with considered plans on how to weather the storm this segment is currently battling, rays of sunshine are still on the horizon.

The 24th European Office Products Awards

PRESENTATION DINNER TUESDAY 11 MARCH 2025 HOTEL OKURA, AMSTERDAM

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We invite you to join colleagues, customers and friends for an unmissable night of networking and celebration.

Book your tickets now at www.opi.net/EOPA2025 or email awards@opi.net for more information Sponsored by:

ADVERTORIAL

HUMBLE

beginnings

As Deli sets its sights on expanding further into Europe and the US, OPI examines how the vendor aims to build partnerships and localise its offerings

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he office products industry has witnessed a remarkable transformation over recent years, with China-based Deli emerging as a key innovator. From a small manufacturing operation, Deli has grown into a comprehensive stationery supplier. Today, it reaches 145 countries and is committed to solutions tailored to local market needs.

In this interview, Bertrand Fournier, Marketing and Branding Director of Deli International, sheds light on the company’s values which are rooted in efficiency and reliability. He explains how Deli is pushing boundaries through market expansion and embracing new opportunities.

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OPI: You mentioned expansion. What benefits does partnering with Deli bring to potential customers in Europe?

BF: We provide a one-stop solution, allowing partners to meet all their product needs efficiently. In addition, our global R&D network and manufacturing base guarantee full control over goods development.

Finally, we invest heavily in building our brand. While we have long-term goals, we’re also willing to make short-term investments.

We provide a one-stop solution, allowing partners to meet all their product needs

OPI: Can you share a brief overview of Deli’s journey to becoming a global brand?

Bertrand Fournier: Deli was founded in 1981 as a small injection workshop making pen holders, file trays and desktop accessories.

Over the first 20 years, we diversified our expertise and product portfolio in office and school supplies. By 2004, Deli had become a leading stationery brand in Asia.

Our current expansion into the US and Europe is an important milestone.

OPI: How would you describe Deli’s values?

BF: Deli ( ) in Mandarin means efficient, reliable and helpful, which perfectly represents what we’re about. We’re committed to being a trustworthy brand that offers great-quality products and an enhanced user experience.

Sustainability is a big focus for us. Since 2018, we’ve invested over $15 million in a factory solar power system, reducing carbon emissions by approximately 70,000 tons.

OPI: Speaking of short- and long-term targets, what is your vision for growth in Europe and the US? BF: These are two very competitive markets and making our mark there will take time. Our initial goal is to establish a reliable network of strategic partners in each country. Once this is in place, we will invest in marketing to strengthen the brand.

We see strong opportunities in categories such as writing instruments, adhesives and office accessories. Our Deli Nusign and Dmast ranges offer high-end office collections and creativity products that I’m confident are suitable for both the US and Europe.

Bertrand Fournier

OPI: How do you adapt your offerings for different markets?

OPI: Tell me about your manufacturing facilities in China and Vietnam.

BF: Deli’s production sites span over 750,000 sq m (8 million sq ft) with seven industrial centres and 12 factories. Our competitive advantage lies in automation – our systems now have an automation rate of 65%, a significant leap from 20% a decade ago.

Global success is the sum of local successes

We were the first in China to shift from manual labour to fully automated assembly lines, ensuring stable manufacturing and improved capacity. We plan to expand our industrial presence globally, so you’ll likely see more Deli factories in other countries soon.

Deli launched its World Partners Conference in 2023 to share future strategies with partners

OPI: How do you ensure continuous quality alongside efficiency?

BF: We’ve got several tools and processes to this end. For example, our micro-electromechanical systems – MEMS – semiconductor factory allows us to independently develop both laser and inkjet printer technologies, something no other Chinese manufacturer can claim.

In 2021, we spent in excess of $100 million on a smart logistics centre that automates processes dealing with inbound as well as outbound operations. These endeavours have reduced labour costs and improved efficiency and they are just the most recent investments.

We are always working to optimise our working techniques.

INTERVIEW ADVERTORIAL Deli

BF: Global success is the sum of local successes. We rely on our partners’ expertise to understand consumer preferences and tailor our products accordingly.

Localisation involves rethinking our offering and brand strategy for each market. It’s not always easy – sometimes a complete product redesign is needed – but it’s essential.

There are strong differences between Europe, the US and other markets – the most obvious being quality. EU and US customers have higher expectations than what we might see in some other regions. Additionally, I’ve noted calls for specific product variations. For instance, we’ve changed scissor handle sizes and ink colour shades to meet various needs.

OPI: What is your approach towards product development?

BF: We analyse market evolution through travel and in-store observations, and by studying trends in other industries such as toys and FMCG, which can sometimes be ahead of the stationery segment.

We also attend trade fairs across industries and access research data. To develop products which meet changing needs, we’ve established a global network of design teams in Germany, China, the US and beyond. This collaborative approach means we can stay ahead of international trends.

OPI: Deli has recently expanded into home storage. What inspired this move?

BF: We identified a growing demand for functional and stylish home storage solutions.

As people spend more on optimising their living spaces, there’s a gap in the market for innovative, high-quality products.

Our storage selection is both practical and elegant, offering a personalised touch to meet diverse requirements. This expansion also allows us to reach a broader audience.

OPI: Finally, how would you describe Deli’s future outlook?

BF: Delivering our products to consumers around the world has always been our goal.

Step by step, this vision is becoming more achievable. It’s thrilling to develop a brand which positively impacts so many people across the world. It’s this responsibility that motivates us to keep innovating and striving for excellence.

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RESEARCH the state of the industry report

Where Is The

Volume?Part 2 B

STATE OF THE INDUSTRY PREVIEW

ack in 2023, the state of the industry report by Martin Wilde Associates (MWA) and OPI found that the majority of survey respondents – 76% – believed core OP market volumes had declined during the year. In value terms, 41% said the market had decreased in the same period. This compares to an expected decline of core OP market value by as many as 56% of respondents in 2024.

It is already clear that last year has been another turbulent period for the industry, with mergers, business failures and consolidation continuing to cause disruption.

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ASKING QUESTIONS Against this backdrop, MWA and OPI will once again investigate how the market actually performed in 2024 and what the prospects are for 2025. The State Of The Business Products Industry 2024-2025, the twelfth edition of this annual sourcebook for sector leaders, will be looking at a broad range of topics:

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• What has been happening with core OP volume demand in 2024 and what strategies are being put in place to lessen the impact of falling unit sales?

• Office furniture and education supplies have performed well in recent years: what shares of total revenue were accounted for these product categories in 2024 – and what are the expectations for 2025?

• Which other new products and services have emerged as opportunities?

• What is the estimated current market penetration of Amazon and Amazon Business; what can resellers do to respond?

• Which new channels/distributors have surfaced in 2024?

• How important are online marketplaces/ platforms and what are the key players?

Some of the best minds in the industry – senior executives from key business supplies companies in Australia, Benelux, Canada, France, Germany, the UK and the US – will be answering the above questions and many more besides. The State Of The Business Products Industry 2024-2025 is based on approximately 45 in-depth online interviews.

Several crucial KPIs will be examined in detail. They include respondents’ overall revenue and margin trends in 2024/2025 as well as resellers’ average order values.

Arm yourself with all the information you need from both peers and competitors Additionally, what share of sales are accounted for by jan/san supplies, breakroom/catering products, workwear/PPE and MPS in the timeframe? And how big a role does online revenue play – what percentage of sales is generated via the web?

The State Of The Business Products Industry 2024-2025 will be published in April/ May 2025. The report is available for only £725 (approx. $920) if ordered before 31 March 2025 and £995 thereafter. To order your copy, go to www.opi.net/ soti2025

VALUABLE FEEDBACK The research will further report on interviewees’ perceptions of the main growth – and declining – product categories and distribution channels during the investigated period. It will finally summarise and detail the 2024 financial performance of the key 15 business supplies distributors in the US, Europe and Australia.

Our industry continues to change fast, internally and as a result of fluctuating macroeconomic influences. Keep ahead of the curve and arm yourself with all the information you need from both peers and competitors – with The State Of The Business Products Industry 2024-2025.

EVENT

Aside from the highly popular vendor/ reseller discussions and building on its inaugural success in 2024, Partnership EXPO is set to return with an even broader scope. EXPO showcases a diverse range of innovative service providers and runs ‘drop-in’ style sessions, allowing delegates to gather insights into areas such as sustainable solutions, digital advancements and operational efficiency.

2025 PREVIEW

ELEVATING

collaboration

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ringing together senior executives from Europe’s business supplies industry for its eleventh edition, OPI Partnership – now sold out – will return to the Hotel Okura in Amsterdam from 10-12 March 2025. The exclusive event, designed as a ‘top-to-top’ platform, continues its legacy of fostering strategic relationships between the vendor and reseller communities.

This year, 320 meetings will take place between approximately 30 vendors and 32 resellers.

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A TRUSTED PLATFORM In a rapidly changing market, collaboration remains a stabiliser, allowing organisations to navigate challenges with greater resilience and adaptability. Since 2014, OPI Partnership has been providing a focused environment where senior management teams can engage in constructive discussions with their biggest partners as well as prospective customers.

The format is tailored to maximise value: over two days, participants can hold up to ten pre-arranged one-hour meetings with key representatives from Europe’s most innovative resellers and manufacturers. These private, high-level discussions allow for direct and meaningful exchanges.

As one of several regular vendor attendees, 3M’s Director Key Accounts EMEA Gareth Farrell recalls Partnership 2024 as “highly efficient and rewarding”. He says: “You will not attend a more productive event where senior executives can explore opportunities and forge collaborative initiatives, all within a very structured format.”

Seven new suppliers will join Partnership in 2025, ensuring a fresh mix of industry leaders.

Attendees can explore emerging trends, share valuable insights and develop effective strategies for success – all in one location.

MORE THAN MEETINGS Beyond the structured sessions, the event offers ample chances for networking. Informal interactions during breakfasts, lunches and coffee breaks as well as evening functions all help to foster deeper relationships.

“If you’re active in the business supplies industry, you can’t afford to miss out. OPI Partnership is a unique event and an excellent use of time with great networking opportunities for vendors and resellers alike,” notes OP veteran and soft-carrier’s non-Executive Director Peter Damman.

You will not attend a more productive event where senior executives can explore opportunities and forge collaborative initiatives The European Office Products Awards (see ‘2025 EOPA’ below), as always held on the second evening, offer a celebratory highlight, recognising outstanding industry achievements. As David Harman, Group Merchandising Director at Lyreco, says: “It’s a brilliant moment to recognise the special energy we have within our industry – something we all need to hold dear and build on.”

OPI Partnership is an unparalleled forum to forge strong connections and position businesses for sustained growth – all in a beautiful and very accessible location.

2025 EOPA

Partnership 2025 is now sold out.

For more details about the event or to enquire about Partnership 2026, contact OPI Chief Commercial Officer Jade Wilson at jade.wilson@opi.net

The European Office Products Awards (EOPA) will once again shine a light on excellence in the industry during a celebratory dinner on 11 March 2025. Now in their 24th year, the EOPA continue to reward outstanding achievements across a broad range of categories.

Delegates attending Partnership are automatically invited to the dinner. Others interested in joining this celebration should contact Lisa Haywood at lisa.haywood@ opi.net or visit opi.net/eopa2025

5 MINUTES WITH...

CAREER Q&A

Szilvia Lázár

Describe your job.

I wear many hats as Operations Manager at Zebra Pen’s Hungarian branch. My primary role is overseeing our sales and expansion across Europe.

What’s your life philosophy?

Small, consistent actions lead to significant change.

Who is your celebrity lookalike?

Mila Kunis.

A goal you hope to achieve.

In the next decade, I want to grow as a leader and inspire others to pursue their passions with integrity and purpose.

Where would you most like to visit?

Australia. It’s somewhere I’ve never been and I would love to catch the Australian Open tennis tournament while I’m there.

Guilty pleasures?

Chocolate and ice cream.

Worst character trait?

I can be a perfectionist. Holding myself and others to high standards can sometimes be challenging.

What day in your life would you want to experience again?

The day I first visited Japan and the NOGI factory with my father. It was a transformative experience that opened my eyes to the global scale of the business.

Szi lvia Lázár, Zebra Pen

What skill would you like to master?

Time management.

What TV programme would you love to be on?

Dancing with the Stars.

What is your most prized ‘possession’?

My sons (pictured below).

What keeps you awake at night?

I sometimes worry that I won’t live up to my own standards, even when I know I’m trying my best.

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If you could change one thing about the industry, what would it be?

I would love to see a stronger commitment to sustainability.

It’s not about being ‘green’ for the sake of it, but recognising our responsibility to future generations. If every firm made even small changes, the cumulative results would be profound.

What would you sing at karaoke night?

Just Once by James Ingram.

How do you overcome adversity in the workplace?

I don’t see challenges as setbacks but as opportunities to learn. I also rely heavily on my team; their diverse perspectives often lead to original solutions.

Japan in 2000

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Who do you look up to?

I deeply admire my father for his pioneering work with Zebra Pen in Hungary. He taught me that success isn’t just measured by profits, it’s about your impact on people and the environment.

Best career decision?

Joining Zebra Pen. Following in my father’s footsteps and continuing his legacy has been incredibly rewarding.

Preferred place to work?

I thrive in the office where the team and I collaborate.

That said, I appreciate the flexibility of working from home occasionally, especially when I need to focus.

FINAL WORD

ADAPT or be left behind

T

www.opi.net

he race to become a one-stop shop is transforming every B2B sector. Business supplies are no exception. Buyers today expect convenience, a vast assortment and seamless transactions all in one place. Industry giants such as Amazon Business and Walmart are capitalising on these expectations, rapidly expanding their product ranges and raising the bar in terms of the buying experience.

Office supplies, with their low barriers to entry and constant demand, have become a prime target segment for disruption. This shift is reshaping the competitive landscape for traditional wholesalers.

Many find themselves struggling with fragmentation across supply chains, buyer interactions and internal operations. Any inefficiencies are driving up costs, eroding loyalty and making it harder to compete with digitally advanced players.

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ROADBLOCK TO GROWTH Fragmentation on the extended supply side remains a persistent challenge. Wholesalers have to manage sprawling networks of suppliers, warehouses and distribution centres, often handling thousands of SKUs. Without centralised visibility, inventory issues such as stockouts and overstocking become inevitable, disrupting fulfilment and straining relationships. For buyers, it also means inconsistent or inaccurate inventory information across different channels, further impacting trust and satisfaction.

Buy-side fragmentation is equally significant. Today’s B2B buyers interact through many channels, including EDI, PunchOut catalogues, e-commerce sites and sales teams. This multichannel reality makes it difficult to provide a consistent experience.

Customers increasingly seek one-stop shops, leaving traditional wholesalers vulnerable to competition from massive platforms such as Amazon Business.

Convoluted internal technology systems exacerbate these problems. Many wholesalers operate with patchwork IT solutions that are inefficient and unscalable, particularly for those operators expanding through acquisitions. Internal silos further hinder the ability to streamline operations and adapt to evolving demands.

For wholesalers facing these challenges, adopting a B2B platform such as marketplace, dropship or single creditor models is a strategic imperative to drive growth and streamline operations. They act as central hubs and unify supply chains, buyer channels and internal processes into one cohesive ecosystem. They allow wholesalers to:

Marc Teulières, General Manager B2B, Mirakl

unify extended supply sources into a single, expansive catalogue, offering buyers a wider range of options; l streamline operations by managing inventory, pricing and fulfilment through one platform, reducing inefficiencies; l deliver consistent buyer experiences across all channels, meeting modern expectations for transparency and convenience. l

Many wholesalers operate with patchwork IT solutions that are inefficient and unscalable

MARKETPLACE IMPORTANCE The business supplies sector is at a turning point. Buyers demand convenience, competitors are growing stronger and traditional operating methods are no longer enough. For wholesalers, adopting some sort of marketplace platform is becoming essential.

In doing so, they can simplify operations, meet expectations and remain competitive.

In 2025, businesses which act decisively will lead the way in creating unified, efficient and scalable commerce ecosystems.

The race to become a one-stop shop is quickening. Wholesalers that adapt now will secure their place in the industry’s future.

Those that don’t risk falling behind.

Marc Teulières leads Mirakl’s global B2B team. His objective is to drive adoption, growth, customer satisfaction and advocacy across B2B platforms.