Poundland has revealed plans to roll out over more 150 store-in-stores with budget fashion chain and Steinhoff stablemate Pep&Co.
Over the 12 months from February 1 Pep&Co fashion outlets will be opened in Poundland stores across the UK bringing the total to over 300.
The budget retailer has also set its sights on Ireland and plans to launch the same store-in-store concepts in its Dealz stores between February 23 and Easter. Concessions will reportedly also be introduced to France for the first time, alongside 11 new locations in Scotland.
According to Poundland, if sales volumes are met the expansion will put it in league with high street fashion staples like Peacocks and River Island, as it would break into the top 15 clothing retailers by volume.
Poundland has drawn unwanted attention recently due to its ties to the embattled South African retailer Steinhoff, which also owns Pep&Co. Following revelations of “accounting irregularities” the retail giant endured the decimation of its share prices, seeing an estimated £10 billion wiped of its value.
However, Poundland recently announced a fresh loan that would relieve reliance on Steinhoff and reassure investors of its financial independence.
“This Christmas we sold over a million more items than we did in our whole first year of trading from standalone stores,” Pep&Co managing director Adrian Mountford said.
“Thanks to our partnership with Poundland – and now Dealz in the Republic of Ireland – we’re set to double in size over the coming year, helping us to drive economies of scale to keep prices low, helping make Poundland an increasingly popular new fashion destination”.
Poundland’s managing director Barry Williams added: “Who would have thought 12 months ago that we would make Poundland a must-stop fashion destination.
“Well we’re turning that ambition into reality and by the end of this year, with over 300 ‘shop-inshop’ fashion stores, we’re set to become a major fashion player.”
