Matalan

Matalan is a British retailer that specialises in shoes and clothes. It was founded by John Hargreaves in 1985. It currently has over 200 stores across the UK. The 200th store opened on 22 September 2006 in Croydon. The current Chairman is John Mills and the current Chief Executive at Matalan is Darren Blackhurst.

Stores
Matalans stores average out at a size of roughly 30,000 square feet (2,800 m2), emphasising the space strategy that the company employs. The majority of Matalans stores are based in out of town locations, based upon a concept that John Hargreaves discovered was successful in America, and then decided to launch it in Preston in 1985. Each store is typically divided into four departments, Women's, Men's, Kids' and Homeware. In May 2007, Matalans launched a new 'Partyshop' department at its Preston store named 'M Party'. This has now extended to almost ten stores across the country including three in west Scotland. During 2008, M Party was rolled out to a further 55 stores within the company. In January 2011 this department had been disbanded as it is not as viable as once thought.
In December 2007, the company made the decision to roll out a new store format, following a successful trial and an increase in pre-tax profits. This included new innovations to Matalans such as mannequins and more stylish fixtures and fittings.
In 2010 the potential buy over of Matalans fell through after the buy-out companies interested could not meet the £1.5 billion price tag placed on the company by owner John Hargreaves . An offer of £1.3 billion was rumoured to have been rejected. Following the breakdown in any buyout, plans were made by Hargreaves to invest more money into the Matalans brand. As well as investment into the current stores in the UK plans are in place to open a further 5/6 stores in Scotland and plans are also in place about the possibility of opening Matalans stores outside of the UK for the first time.

Shop-in-shop strategy
Since Matalan relaunched the brand in 2006, there had been a number of attempts to add more diversity to the traditionally single minded approach to product branding. Much of this was achieved by creating 'shop-in-shop' layouts across the stores. These include:
Et Vous - High quality ladieswear brand.
Soon - Relaunch of an old Matalan ladieswear brand in 2007. Product mainly for older market.
Sports Shop - Establishment of an area in store for ladies, mens, and kids selling high quality branded sportswear. Brands available include Fila, Umbro, PGA Tour and Everlast.
Be Beau - Catwalk inspired fashion brand, launched in 2009.
Falmer Herritage - an Abercrombie style range launched in 2011
24/7 - Quality men's casualwear designed by Jeff Banks.
Lee Cooper - Men's casual fashion, relaunched in 2009 with many new lines for the Autumn/Winter seasons.
Influence - Stylish and affordable designer home accessories from big household names including Laurence Llewelyn-Bowen, Colin McAllister and Justin Ryan, Anthea Turner, Antony Worrall Thompson, Gino D'Acampo, Linda Barker, Martine McCutcheon, Jane Asher and James Tanner, launched in 2009.

Expansion
As the UK economic downturn took hold in late 2008, value retailers such as Matalan began to benefit from the more cost-aware spending of the UK consumer base, as well as the demise of rivals such as Woolworths and Ethel Austin. This in addition to a strategy of store refurbishment, stock and marketing revision, and debt repayment led to an increased wealth within the company and a steady increase in sales. Increased revenue allowed Matalan to begin expanding again, and opening new stores for the first time in three years. The long term ambition is to expand Matalan's store portfolio to 300 stores in the UK, beginning in 2009 with stores opening in Elgin (Scotland), Colindale (London), and Cheetham Hill (Manchester).
As well as expansion in the UK, Matalan has announced plans to open stores outside the UK for the first ever time. Over the next year, Matalan will be opening fifteen new stores in the middle east in locations including Jordan and the United Arab Emirates.

Clearance stores
In order to make sure that new season ranges are given full attention upon launch, Matalan converted a small selection of its stores into clearance outlets. These stores are stocked through stock uplifts from regular branches, where old stock is taken in mass (often the culmination of 2 or more sale periods) and crossdocked to clearance branches. Matalan dustbin stores are generally selected from branches that are nearing the end of their lease or are located in an area which is commercially viable for a store of a clearance nature. At current, Matalan has clearance stores in Blythswood (Renfrew, near Glasgow Airport), Newport, Wood Green (London) and Sunderland. There are also stores in Portadown and Swindon, however these are both due to close.

Distribution
Matalan stores have goods distributed to them from three distribution centres:
Skelmersdale - based adjacent to the head office buildings, the Skelmersdale DC delivers to stores primarily in the north of the UK. The centre is made up of two buildings, one of which crossdocks goods directly to stores. The SDC is also the base of Matalan's logistical operation.
Corby - the most recently opened depot, supplying stores in the south of the UK. Corby DC is owned by Matalan, but is operationally run by logistical contractor Wincanton.
Knowsley - The smallest of the three centres. Primarily for distributing bulk goods. Knowsley also houses a small office complex.
Because Matalan's logistical operation is run by Wincanton, goods are also relayed through Wincanton's depot in Scotland, to ease pressure on Skelmersdale and allow Scottish stores to receive goods more quickly. In the earlier years of Matalan, a distribution centre was also situated in Leyland, not far from the head office in Preston. However, as the company rapidly expanded in size around the turn of the millennium, Leyland was closed and the distribution centre was moved to Skelmersdale along with the head office. Wincanton lost contract on 25 feb 2012, all distribution is in house now.

Official website

Matalan