Poundland to commence website marketing push this month

Poundland will start a marketing push for its newly-established online retailing operation later this month, after what CEO Jim McCarthy described as "an encouraging start" to eCommerce trading.

The single price point retailer launched its first transactional website in September, offering around 2,000 products for home delivery, and the early signs have been positive, according to McCarthy.

Commenting at the IGD's The Big Debate event in central London on Tuesday, the CEO said the company's move into digital retailing can be described as a "low key trial" to date, with the business looking to find out how well it can process orders and what type of customer service it can offer.

McCarthy said that marketing activity around Poundland.co.uk will be "ramped up" in October, following an "encouraging start" in terms of overall operations and the mix of products being sold online. He also drew attention to differences in the behaviours of shoppers across channels, with sales of Halloween items via the internet significantly outpacing those in its stores.

During a 20-minute presentation to grocery and FMCG delegates at the Park Plaza Westminster Bridge Hotel in London, the former Sainsbury's executive also used the platform to dispel some "myths" surrounding the Poundland business. He argued that the company, which is expecting a £2 billion turnover by 2017, will be able to continue selling products at £1, and that shoppers will continue to return to its stores even if the economy improves.

He also suggested that products are not inferior quality, even though they are priced £1. "Clearly they are not," he asserted. "You can't fool customers."

McCarthy emphasised that some of its beauty lines are performing well, and revealed that it recently had to re-stock on selfie sticks in time for Christmas after 20,000 of these items were sold within a week.

Commenting on the Poundland customer base, of which 22% are deemed to be the AB demographic, he added: "Another myth is that all of our customers are on limited incomes.

"Absolute rubbish. Those of you who have been in our stores will have seen a wide demographic of customers. One in five people with higher incomes are shopping in discounters […] We expect to see more of that."

Source : Ben Sillitoe - Essential Retail
www.essentialretail.com/news/article/5613bd486ca2d-poundland-to-ramp-up-marketing-of-ecommerce-operation