Off-price retailer The Original Factory Shop is to introduce a click-and-collect service this year, as well as home delivery on product bought in stores.
Chief executive Angela Spindler told Drapers she wanted to build on The Original Factory Shop’s strategy to be “ultra-local and accessible”, after it helped to drive a 5% increase in like-for-likes over Christmas. Sales for the six weeks to December 26, 2010 were up 23%.
“The Original Factory Shops are very embedded into their communities. We want to tie the website and stores closer together. There is no [launch] date but it is something we want to develop this year,” she said.
The Original Factory Shop has about 160 stores in small towns, usually serving a catchment area of 20,000 people. Spindler reiterated plans to grow by 30 to 35 stores a year and said the retailer would continue to adhere to its small-town strategy.
“Fuel prices have gone up 10% over the past year and people don’t know what 2011 holds, so they are being cautious and shopping locally. There is less temptation than in the big high streets or malls,” she said.
“Logistically it is very challenging because we have a lot of small stores that are remotely located, but it is [what we do],” she added.
Spindler, who is a former managing director of value retailer George at Asda, added that consumers would be looking for “value for money as opposed to cheapness” this year.