Spicers announces structural changes

He said, "in our channel, Spicers have been very progressive with both the Alliance and Brilliant Partner programmes giving our customers the option to work in closer collaboration to remove cost and focus on selling versus buying. This we believe is critical for the survival of the independent dealer in a market which is being impacted by Online, consolidation and general decline in the core business.

"To further support the Alliance program, which we have been initially developing through a single Alliance Development Director, resource has been reorganised to strengthen the implementation and on-boarding process, whilst ensuring the immense strength of the SPOT team is available to the Alliance dealer. Kim Thurgood continues to lead the Alliance Development but now backed by a stronger in-depth team.

"What is very evident is that there is a group of dealers who recognise the value of changing direction with a clear focus on adding value and selling into the consumer. We will work closely with these customers some within the Brilliant Partner program and a number through the Alliance program and with like-minded dealer groups to continue to support these key initiatives.

"Underpinning all of our value propositions is the need for Spicers to be an excellent low cost wholesaler. The ability to stock a relevant range of product, provide high service levels, pick, pack and despatch product on time is an accepted base requirement. Providing value added services where price alone appears to be a major driver is disappointing and in truth a concern where reducing cost in the supply chain and helping drive sales carries far more benefit than driving for the lowest possible price, irrespective of the costs associated in doing so. 

"However, there is part of the market whose strategy is just that, so Spicers have, without detriment to the supporting customer base, had to reduce cost in certain areas of the business and is reviewing many initiatives that add cost to Spicers but are not valued by that sector of the market. To achieve this we have initiated a full review as part of our strategic planning for what the channel will look like in the future. As a result there have been casualties for the purely transactional side of the business, whilst investment to better support dealers who value the 'wider picture' have been made.

"We are excited about helping lead how the channel will change over the coming years with Spicers positioned to continue being a key partner for the dealer community at whatever stage of their business strategy they are at.

"Spicers have some exciting initiatives to launch over the coming weeks and months and will ensure these are communicated as soon as practical."