Music retailer Fopp will trial a standalone book store this spring, as it seeks to diversify and find new growth avenues.
Fopp Books will open in Cardiff in April. Fopp managing director Peter Ellen said the pilot venture follows a strong performance in books over the past 12 months.
He said: 'Books were 10 per cent of our business in 2003 and they are the liquid part of our range. We believe we can develop that and take it further. We have not acquired any more sites for Fopp Books because we want to see if it is viable.' He added that books are the highest-margin products in Fopp's range, which includes CDs and DVDs.
The book market is fiercely competitive at the moment. WHSmith issued a profit warning and discounter County Bookshops plunged into administration for the second time last month.
Fopp will also open its 15th music store - in Manchester - in April.
The shop will be Fopp's biggest to date, at 8,000 sq ft (745 sq m) across two floors. Ellen plans 'four or five' new stores in total in 2004.
Fopp increased sales by 57 per cent to£27.5 million for the year ending November 30. Operating profits soared by 149 per cent to£1.7 million, and December sales jumped 21 per cent year on year.
No comments yet