NEWS NEWS IN BRIEF


n BHETA’s latest initiative is a trade mission to Bucharest in Romania taking place on November 25-27, 2018. Organised in partnership with the British Romanian Chamber of Commerce, the event will bring together buyers, distributors and market experts from Romania’s major home improvement, housewares / utility and garden retailers, including store visits and one-to-one buyer meetings. The trade association is offering two- and three-day packages, with a 20% discount for bookings made before the end of this month. n Kingfisher plc has announced the resignation of CFO Karen Witts after six years on the board. She will now join multinational contract foodservice company, Compass Group plc as group chief financial officer. Kingfisher said its board will conduct a search for a replacement and Ms Witts will remain in her position at Kingfisher to allow a smooth handover of her responsibilities. The date of Karen’s departure will be confirmed in due course. n Despite the tragic Grenfell fire in London last summer, an online poll has revealed that 50% of tradespeople don’t feel confident in advising customers on fire door safety.


Despite extensive media coverage about the dangers of inadequate fire protection since the disaster, less than 20% of tradespeople polled have seen an increase in demand for fire safety products or parts, and almost one in two people surveyed admitted that they do not know how to identify a fire door. n Security specialist ERA has maintained its Secured by Design license accreditation for a further three years. Secured by Design (SBD) is the national police crime prevention initiative and, to qualify for accreditation, ERA has to prove that its products are sufficiently robust to resist physical attack by casual and opportunist burglars. ERA’s Tania Tams said: “Many homeowners now look for the Secured by Design logo on products, everyone associates it with quality, trusted products.”


4 DIY WEEK 26 OCTOBER 2018


Pricing competition puts the squeeze on Wickes in Q3


Travis Perkins’ consumer division saw like-for-like (LFL) sales slide 4.2% in Q3, as Wickes reported declines in both core DIY and kitchen and bathroom categories. Announcing the results,


Travis Perkins said “the market environment in UK DIY remains challenging”, resulting in continued volume declines in these key categories for Wickes. The group also said significant pricing competition across the


sector had prevented the


recovery of cost price inflation, although added that this pricing pressure had begun to ease in recent weeks, leading to “early signs of recovery” in kitchen and bathroom order activity. Total sales for the consumer division, which also includes


Toolstation and Tile Giant, were down 1.8%, bolstered no doubt, by a robust performance from Toolstation, which reported strong like-for-like and total sales growth. This was underpinned by successful range extensions, which helped increase sales density said the company, as well as Toolstation’s continued expansion of its store network. Travis Perkins revealed the retail chain remains on track to open 40 stores this year. Travis Perkins said it remained cautious on the near-term market outlook,


with lead indicators,


such as secondary housing transactions, house prices and consumer confidence continuing to paint a mixed picture. In light of


this the Group continues to focus on managing


its underlying cost base in order to ensure that its full- year performance remains on track for £363million, and in line with market expectations. Cost reduction activities across the business are said to be progressing as planned, with reduced distribution costs and tight control of overhead costs Total Group sales grew by 3.9% in the third quarter, with LFL sales growth of 4.1%, in line with the first half of the year. The combined Merchanting


Westland Horticulture buys Gardman Westland Horticulture has


bought established garden products provider, Gardman group, and taken the company out of administration. The purchase includes all trading assets, stock, infrastructure and Gardman brands, which include Cole and Bright, Grow It, Moulton Mill and Gardman Wild bird care.


“This acquisition will bring much-needed stability for our customers and to the Gardman business,” Westland Horticulture said in a statement, adding: “The purchase of Gardman provides the opportunity to put a greater focus on core gardening by joining together the product


strengths in Westland and Crest with those of Gardman…The growth of wildlife, the increased interest in the outdoor space and the opportunity to re-energise propagation and growing were factors in purchasing the business.”


A devastating fire broke out


at Gardman’s warehouse in Daventry in March, completely destroying the company’s main UK warehouse and distribution centre. Shortly afterward, rumours of the company’s closure began to


circulate, refuted, which


we will use our warehouse at Kings Lynn to supply customers until a permanent warehousing solution has been identified.” Westland MD Edward Conroy said: “We have always believed that Gardman is an important part of the gardening landscape, and we are committed to maintaining this for the long term.


“Our focus is to work together with all customers to make the transition simple and clear


to Gardman with a spokesperson


telling DIY Week: “Following the fire at our warehouse in Daventry… we can confirm that


Online retail sales fall to lowest level this year


Capgemini e-Retail Sales Index, online sales have faltered since the close of the hot summer. Despite a brief uplift around the August bank holiday, growth online fell to a new low for the year in September. For the third quarter overall,


UK online retail sales were up


just 7.5% YOY last


month – recording the lowest September growth since 2014, as shoppers are left counting the pennies after summer and hold out for Black Friday deals. According to the latest IMRG


online retail sales growth was up 10.1%, compared with a 17.1% increase in Q2.


IMRG strategy and insight


director Andy Mulcahy believes the heatwave and events like the World Cup and Royal Wedding in Q2 may have left people with less disposable income in Q3. The gift category saw online


all… Westland is focused on delivering a strong future for Gardman categories which can only thrive from being part of the Westland family. For now, it’s very much business as usual for all concerned.”


sales fall by 23% YOY, in its biggest drop since March 2010, suggesting that wallets have tightened after a high- spending Q2. Meanwhile, home and garden had a slightly better performance but still recorded month-on-month declines. Sales in the home sector – which includes DIY – were down 6.33% on the previous month, however, sales growth was actually up 5% compared with September 2017. The gardening sector saw some


YOY growth in September, with sales up 3.13% on the previous year but transactions fell by -34% compared to August 2018. Mr Mulcahy said: “Several


retailers have spoken publicly about the scale of discounting that has been active across various retail sites.”


Continuing its plans 42nd for


expansion, Sofology has opened its


store


at Gateway Retail Park, Plymouth.


The Plymouth store marks the first South West opportunity. Located over a 20,000sq ft area, the new store boasts 80 interior designed room sets that offer inspiration and ideas for Sofology’s exclusive sofa ranges. Each product bay features touch


interactive screens to


allow customers to digitally visualise their chosen sofa in any colour or combination. With products


organised


into dedicated collections, the new store will showcase each range in a designed ‘in-home environment’. Sofology has also introduced its new collection, called ‘Private Label’.


www.diyweek.net


businesses (General Merchanting, Plumbing & Heating and Contracts) achieved LFL growth of 7%. Meanwhile, LFL growth


rate in General


Merchanting softened modestly compared to the second quarter of 2018, as the business cycles strong comparative growth rates from Q3 2017.


The Plumbing & Heating division maintained its positive sales growth momentum from the first half of 2018, continuing its outperformance of the market.


Sofology opens its 42nd store in Plymouth


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