Page 1 Page 2 Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Page 13 Page 14 Page 15 Page 16 Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Page 38 Page 39 Page 40 Page 41 Page 42 Page 43 Page 44 Page 45 Page 46 Page 47 Page 48 Page 49 Page 50 Page 51 Page 52 Page 53 Page 54 Page 55 Page 56 Page 57 Page 58 Page 59 Page 60SPRING//SUMMER 2017 49 48 SPRING//SUMMER 2017 WHEN I started working in the stationery industry in the late 1980s nearly all the stationery sold in the UK was made either in the UK or in Europe. The only things I remember buying from further afield were photograph albums from Japan and pencils from Thailand. Today the position is completely reversed, with only certain types of products made in the UK. So is it important that we still make stationery products in the UK, and has the referendum vote changed anything? Production in the UK and Europe moved further afield because of the significant cost savings available. Many in the industry believed this far outweighed the longer lead- times, quality control challenges and increased volumes that had to be bought when dealing with manufacturers in the Far East. However, some retailers, particularly those with own-brand programmes, could not justify ordering high volumes of individual lines. They frequently lacked the infrastructure to manage importing, so having a UK manufacturing capability was critical. Jon Green, sales director of Sinclairs, a UK manufacturer of notebooks including the famous HENRI DAVIS investigates the importance of home- manufactured product to the British stationery market STATIONERY BIZ MADE IN THE UK Silvine brand, has some interesting insights which highlight the pros and cons of the current situation: “In 2016 Sinclairs increased Silvine branded UK sales by over 9%, but post Brexit, trade is somewhat depressed as buyers feel the impact of cost-price increases of up to 15%, linked to the pound/dollar exchange rate. “Importers will probably have to absorb the whole cost-price movement, and as UK manufacturers we are not immune from these increases either, as we also buy bulk raw materials like paper globally. “Regardless, the price gap has closed and UK manufacturers should be confident of future business gains as the Chinese, Indian, Indonesian etc markets start to consume more production domestically, reducing their need to export in such volumes. We have also noticed the more dynamic UK buyers have been looking to move their product sourcing to the UK because of the service and flexibility benefits. “In Q1 the vast majority of goods have increased in costs in the UK, and consumers are now experiencing the impact of the recent referendum. Export benefits are real, and Sinclairs has gained new business as a result which, combined with our local UK growth, bodes well.” As Jon explains, this change in exchange rates is beneficial for anyone exporting from the UK and at the first trade fairs of the year there were significant numbers of buyers from Europe and further afield keen to buy at these advantageous rates. Kevin Turner at Charfleet Bindery noticed an increase in European customers for their Charfleet range of Linen notebooks, with interest coming from France, Italy, Turkey, Denmark and Portugal. For GO Stationery, exporting has been important for them for a while. Based in London, and manufacturing there too, they now supply stationery to more than 40 countries. Managing director Neil Atkinson said: “The growth of our export business has been fundamental to the success of GO Stationery ... whilst the weaker pound undoubtedly helps with some current price negotiations, most of our business is based on long-term relationships with clients who deal with us for a combination of factors, of which price is just one, alongside quality of design and the fact that we design and manufacture in our own UK factory.” The importance of Made in the UK as a marketing message has varied About the author,Henri Davis Henri has worked in the retail industry for 30 years, and in stationery since 1990, working as a stationery buyer for WHSmith until 2003. As an independent retail advisor in the cards, gifts, stationery and heritage industries, she works with many small and medium-sized businesses, including multi-site retailers, national and international manufacturers and suppliers. Henri is currently Chairman of The Giftware Association. For more information, please visit www.henridavis.co.uk. over the decades and this focus now has renewed vigour after last year’s vote, as industry and consumers become concerned about trading difficulties that may develop in the future. As more tourists come to the UK to take advantage of our cheaper prices, they are also keen to take home truly British souvenirs, particularly at the luxury end of the market where brands are important. Suppliers to retailers like Harrods and Selfridges are sure to benefit. Leathersmith of London diaries and undated products are sold in Harrods, Fortnum & Mason and Liberty. Their diaries had a very good sell through this year, with these retailers placing top-up orders. This suggests foreign demand was higher this year, and this is supported by the fact that their overseas web sales were up this year, too. Our visitor attractions will also benefit, as will their suppliers; Padblocks is a major supplier of bespoke stationery to this sector. However, there are product sectors like gift and personal stationery where design, finish and detailing have always been valued, and retailers and consumers have been prepared to pay a bit more for these unique features. One standout area is notebooks, where we now have a wide variety of formats being produced in the UK at competitive prices. A good example of the benefits of manufacturing in the UK is the experience of new entrant to the market Say Nice Things. Sourcing products from the UK was fundamental for their brand as they wanted to support home-grown manufacturing. SNT is positioned at the upper end of the market, so the products have to shout quality and detail on every level. To ensure this, they wanted to be able to work closely, face-to-face and side-by-side with everyone throughout the process; from design concepts to artwork and final production. By creating everything here in the UK they could deliver beautiful, well-made products that are a joy to use, with the additional benefits of smaller quantities of each product design/format and shorter lead times. Card publishers wanting to broaden their product offer have been one of the driving forces behind the growth in demand for design-led notebooks. Because of their understanding of board, paper and print, they have consistently challenged what can be achieved. Having UK manufacturers like Enveco offering lower minimums, shorter lead times and easier control over the design process, means that for many card publishers, stationery is now a significant part of their annual sales. Notebooks are not the only stationery products ‘Made in the UK’. West Design is a good example of a company making a diverse set of products, including Kids Craft activity kits, West Templates, Magic Color and Stephens papers and chalks, which generate almost half of their annual turnover. Managing director Jo Bray is proud of their Made in UK credentials, and believes the short lead times and flexible MOQs on their products are particularly appealing for UK buyers, as is the exchange rate since Brexit. For me there is no doubt that it is important for us to continue to make stationery products in the UK. In the current economic situation there is demand from retailers, consumers and tourists who want to buy it. For those manufacturers who have been brave enough to maintain capacity in the UK throughout, business is coming their way. It will not be easy and price will always be an issue, but there are plenty of other advantages for buyers who are prepared to support stationery products Made in the UK. WE HAVE ALSO NOTICEDTHE MORE DYNAMIC UK BUYERS HAVE BEEN LOOKINGTO MOVE THEIR PRODUCT SOURCINGTO THE UK BECAUSE OFTHE SERVICE AND FLEXIBILITY BENEFITS. JON GREEN, SINCLAIRS MOST OF OUR BUSINESS IS BASED ON LONG-TERM RELATIONSHIPS WITH CLIENTS WHO DEAL WITH US FOR A COMBINATION OF FACTORS, OF WHICH PRICE IS JUST ONE. NEIL ATKINSON, GO STATIONERY Charfleet Bindery GO Stationery Say NiceThings Enveco Padblocks Sinclairs