Sir Tom Hunter’s flagship footwear business Office has set its sights on the Middle East as it gears up for a record-breaking UK sales performance next year.

Office chief executive Brian McCluskey said the retailer was on track for 25 per cent growth on this year’s figures.

Office reported operating profits for the full year to the end of January 2007 up 13 per cent to£3.6 million.

McCluskey said Office has improved its supply chain and buying operation to focus on quality and service and has had seen great results in a “difficult climate”.

In the Middle East, he is in negotiations with interested partners about opening its first store in the region next year.

Office has decreased its reliance on Chinese factories and now also sources from Italy, Portugal, Spain and Brazil.

“We’ve moved away from pure cost-based sourcing so, while we still source about 20 per cent from China it used to be around 70 per cent,” said McCluskey.

“This has allowed us to focus on quality and bring in several high-fashion lines. Also, China needs a 16-week lead time whereas I can get products out of Italy in six weeks.”

Office’s flagging sister brand Qube fared poorly in the year to January, with losses growing from£4 million to£6 million. However, McCluskey said the chain is on course to reduce losses in the coming year.

Qube has 26 stores in the UK. Office has 55 standalone shops.

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