Gillis, who joined the retailer last November, wants to increase Blacks’ market share in the UK by buying independent outdoor chains, with companies such as Cotswold Outdoor and Ellis Brigham likely to be targets.
“The focus at the moment is obviously on getting the business into shape but, after that, we want to reinforce our position as the largest outdoor retailer in the UK by acquisitions,” said Gillis. “We already have a 27 per cent market share and that’s without trying too hard, so there is much scope for growth.”
Gillis told Retail Week he would pursue independent chains that have loyal followings in their locations and that he would continue to run them under their present fascias.
He will then seek to take the brand overseas through acquisitions with a focus on developing countries such as China and India.
Blacks has opened two new-format Blacks stores in London and one new-look Millets store in Croydon. Gillis said: “The Blacks store in Kensington, which was the first to change, is delivering profits 25 per cent ahead of the rest of the chain and average transactions have increased from£41 to£71.”
Further new-format stores will be tested later this year, with a roll-out to most of the estate penned in for early 2009. New brands such as Nike ACG are also being piloted.
Gillis said Blacks was expected to deliver cost savings of£3 million for its financial year to March 3. He has cut 60 jobs at its Northampton head office and is in the process of closing the Sandcity office in Washington, Tyne & Wear.
Gillis wants to merge Sandcity, which distributes and retails the O’Neill boardwear brand, with the rest of the business.
The 30-day consultation with its 59 employees has started, despite Gillis having to suspend Sandcity managing director Darren Spurling last week after uncovering£2 million of accounting discrepancies (Retail Week, last week).
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