Retail Week finds out more about Findel chief executive Phil Maudsley and whether he can calm disruptive shareholder Mike Ashley.

When Retail Week last spoke to Phil Maudsley in 2014 he was hard at work turning around Findel’s retail arm Express Gifts and lamenting the fact he hadn’t been able to partake in one of his passions for some time – horse riding.

With the turnaround on track, has Maudsley been back in the saddle? “If I got on a horse now I think it would keel under me,” laughs the loud and proud Yorkshireman.

It should come as no surprise that Maudsley was appointed as chief executive of home shopping group Findel last week.

A self-confessed “out-and-out trader”, Maudsley has been at Findel for the past 30 years and has already held the chief executive’s seat there once before.

Maudsley took the top job in 2009 during Findel’s darkest time. The company became embroiled in a scandal when a fraud involving international contracts in its education business was discovered.

He helped navigate those tricky waters and steadied the ship before handing over to former boss Roger Siddle and returning to the helm of Express Gifts.

Maudsley is quick to point out that things are very different this time around. “We’re in a lot stronger place this time. There’s some remarkable momentum behind us.”

Clothing boosts business

That momentum has been driven by Maudsley’s impressive turnaround of Express Gifts, which runs mail order and web retailers Studio and Ace. In the past five years, sales have jumped by 35% and operating profit has soared 69%.

Maudsley puts this success down to broadening the former gift specialist’s offer, particularly in clothing.

Apparel now accounts for 28% of Express Gift’s total sales, compared to 12% in 2012.

“You only buy one Christmas tree a year but you’re going to come back more to buy clothes,” he says.

But operating at the value end of the clothing market – Maudsley says it uses Primark as a benchmark on price – has its challenges, particularly given the devaluation of sterling following the UK’s decision to leave the EU.

In fact, Findel revealed last week that it would come in “slightly below” profit expectations for the year as its retail margin was dampened due to it buying products in US dollars.

However, Maudsley is a man with a plan and that plan involves moving sourcing further afield, boosting sales per SKU, and upping its prices.

Digital transformation

Maudsley has seen much change in his 30 years at Findel but he admits that change has come thick and fast of late. “It’s off the scale,” he says.

The majority of Express Gift customers – more than 60%, he says – now shop online and the retailer is investing to make sure it is serving them.

It is upgrading its systems and aims to have both a single view of the customer and one data repository.

However, unlike some competitors such as Shop Direct, Findel will not be ditching its catalogues any time soon.

“We’ll let the customer decide what they want. They’ll drive the speed of change, not me,” he says.

However, he insists the business now thinks “digital first”.

Maudsley admits that moving to the digital world has been daunting for some of his staff.

“It’s right to be anxious or even frightened of the speed of digital change. It’s important that people don’t withdraw, we’ll get through it together,” he says.

You get the sense that after 30 years at Findel, Maudsley considers his co-workers as family and family is clearly important to him, particularly after his own have gone through a traumatic year.

The farmhouse where Maudley, his wife and three children live caught ablaze last summer. Although everyone emerged unscathed, the house and all their belongings were destroyed.

“It’s been challenging but we’ve got through it as a family,” he says.

Taming Mike Ashley

That resolve should serve Maudsley well for another challenge he faces at the helm of Findel – keeping disruptive shareholder Mike Ashley at bay.

Ashley, who holds nearly 30% of Findel’s shares, has been vying to take more control of the business for a while. He failed in his bid to become Findel chairman last summer and has previously attempted to appoint one of his representatives as chief executive.

Maudsley has yet to speak to Ashley since he was given the top job but says he will be meeting him soon.

“I’ll find out what his thoughts and ideas are,” he says diplomatically.

One gets the impression that straight-talking Yorkshireman Maudsley will not be a pushover.

When asked about his management style, he says: “What you see is what you get with me.”

Maudsley isn’t about to let troublemaking shareholders dent his confidence and is focused on building Findel’s customer base. It has boosted customer numbers by 21% in the first quarter alone.

“This is the fuel in the tank that’s given me confidence that this momentum can be maintained,” he says.

“We could be double the size we are today. This is a business with a lot of opportunity and with me at the helm, I’ll make it happen.”

If he can stay true to his word, even the most unruly of shareholders could be calmed.