Poundland expands Tuesday, December 09, 2008
Image via WikipediaI heard a piece on the radio this morning featuring the CEO of Poundland, the retail chain that sells everything in the store for a pound. Thanks to the Government's reduction of VAT, his margins are up slightly as they retain the 2.5% drop in VAT. At the same time, their volumes are increasingly dramatically as the recession bites and customers look for cheaper alternates.
Most tellingly, they will have added 40 new stores this year and will look to do the same next year, on top of the 200 they already have.
A similarly sales boost is been experienced at other "value" retailers such as Aldi, Lidl, Asda and Morrisons.