UK-listed retailer Poundland is now planning to open 100 Dealz discount shops in the Republic, having originally set a target for this market of 70 stores when it opened here in 2011.
Poundland chief executive Jim McCarthy told The Irish Times yesterday that this ambitious expansion programme reflects the success of the business in the past four years and would increase staff numbers here to between 2,500 and 3,000.
“We have reviewed the (target of) 70 stores) and we now think it’s 100,” Mr McCarthy said. “We did the first 50 stores in four years and we think we can do the next 50 in less than that.”
Mr McCarthy said Dealz would open more than 10 additional stores in Ireland in 2016 as it accelerates its programme of store openings, which would take place across the country. “It will really be opportunity driven.”
As recently as June, Poundland said it had a long-term target of 70 stores for the Republic with Mr McCarthy saying the brand was “under-exploited” in Ireland.
Mr McCarthy said Poundland could establish a central distribution centre in Ireland when it gets to 100 stores in Republic, as this would give it 130 shops on the island. “At that scale it would be a very serious option for us,” he said.
Mr McCarthy conceded at the strength of sterling against the euro had affected its margin in Ireland. “It’s unwelcome but do we do hedge so we’ve insulated ourselves against some of the impact,” he said.
The company’s 50th store will open on Thomas Street in Dublin later this month and the group has invested more than €20 million in its operation since launching here four years ago.
Dealz currently employs more than 1,500 people in the Republic and expects to create a further 200 temporary positions over the holiday period.
“We are delighted to be celebrating our fourth year of trading here in Ireland with the opening of our 50th Dealz store. Now as a major retailer in the Irish market we look towards year five and our exciting expansion plans, which will not only continue to create new job opportunities for Irish workers but will allow us to bring our amazing value and customer experience to more Irish shoppers across the country,” Mr McCarthy said in a statement relating to its latest store opening.
Dealz was recently listed as one of the top 30 companies in Ireland for customer experience in a survey carried out by Amárach Research for CEXi.org.
Dealz opened 10 stores, including one retail park, across Ireland in the year to March 29th. The company does not disclose financial results for Ireland but said it currently serves about 300,000 customers in the Republic.
