Expansion on the cards for buoyant Paperchase
Sunday 08 June 2014
The greetings card industry is brushing off the threat from online, according to the boss of high street chain Paperchase.
“People are sending more cards than ever before,” said chief executive Tim Melgund. “The price of a card is nothing compared to a cup of coffee but people value the time and effort it takes to write and send a card.”
The stationery and greetings card retailer notched up a 14 per cent increase in sales to £113.8m in the year to February as profits leapt 27 per cent to £7.3m.
Mr Melgund said the retailer had caught the public’s imagination with strong sense of style. “We’re a fashion retailer, we just don’t sell clothes,” he said.
Mr Melgund added that cheaper rival Card Factory, which launched a lacklustre flotation last month, had enticed card shoppers back to the physical market.
The retailer is owned by private equity firm Primary Capital, which has a majority stake, and management who led a buyout of the firm in 2010.
It has 107 standalone shops and 28 concessions, largely in Selfridges and House of Fraser, and harbours an ultimate goal of 200 stores.
The company also plans to expand its online operations following its rapid growth to become a £4m division of the business. Paperchase last year inked a tie-up with online fashion giant Asos which has proved popular. “I was sceptical, but I’ve been proved wrong – it’s grown into a nice, steady business and growing,” Mr Melgund said.
Paperchase is eyeing growth overseas. It currently has operations in Europe, Asia and the US and hopes to expand into Spain within the next two years.
The retailer is also keen to step up its operations in the US, where its own brand products are sold through retail giant Target. “We went in in 1999, and we’ve never not made money in the US,” Mr Melgund said.
Paperchase was founded by art student duo Eddie Pond and Judith Cash in 1968 and has previously been backed by book stores WH Smith and Borders.
Jo from Northern Ireland was less than impressed by Russell Brand's attempt to stage a publicity stunt
- 1 Nigel Farage: Me vs Russell Brand on Question Time – he's got the chest hair but where are his ideas?
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Nigel Farage: Me vs Russell Brand on Question Time – he's got the chest hair but where are his ideas?
Shock poll shows voters believe Ukip is to the left of the Tories
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
New era of cheap oil 'will destroy green revolution'
Ukip founder Alan Sked and Nigel Farage 'begged Enoch Powell to stand as a candidate'
Ukip candidate jokes about 'shooting peasants' in racist and homophobic rant
iJobs Money & Business
£40000 - £470000 per annum + bonus: Ashdown Group: Java Developer / J2EE Devel...
£45000 - £55000 per annum + Benefits: Ashdown Group: An exciting opportunity h...
$125 - $175 per annum: Carlton Senior Appointments: Senior Wealth Manager In...
$200 - $350 per annum: Carlton Senior Appointments: Managing Producer Office...