Confectionery supplier Bonds of London has revolutionised its delivery capabilities and its sales prospects - by introducing digital pen technology. Joanne Grew reports
Sometimes little things make a big difference. Since acquiring confectionery supplier Bonds of London in 2000, Philip Courtenay-Luck has managed to slash delivery times from an average of nine days to under 24 hours - thanks in no small part to the humble pen. Actually, a not-so-humble pen.
Courtenay-Luck claims his company, which supplies a 450-strong range of traditional and fashionable sweets, including its own confectionery and key lines from 60 other manufacturers such as Haribo and Maoam, is the first fmcg company to use pioneering digital pens to revolutionise the way they handle orders.
As they travel across the UK, Bonds' 37 sales reps use the pens in the normal way to record orders on a digitised order form. The data is then transmitted instantly to a mobile phone - rather than faxed as before - and then on to Bonds' head office via supplier Destiny's secure servers. The transaction can take less than a minute and also reduces the risk of lost, misplaced or delayed orders.
With just the one depot in England, and a second one in Northern Ireland, the success of the business depends heavily on this speedy transfer of information. "When I took over we had three GB depots, but the delivery service was appalling so I shut them," recalls Courtenay-Luck.
"Instead I opened a depot in Nottingham and recruited couriers to deliver all over the country. That helped us get delivery times down to 48 hours. Now, with the pen, they have been cut to 24 hours."
It means 90% of customers, who include The Co-0perative Group, Budgens, Scotmid and Gilletts, will get deliveries the next day if they order by 5pm.
Bonds has also been helped by the demise of pick'n'mix champion Woolworths. "Woolworths was one of the UK's biggest confectionery retailers, but not one of our retail customers," he says. "Children did not suddenly stop spending their money on sweets when Woolies closed. They now shop at more outlets, so we benefit."
Top sellers include two hanging bag ranges - the Sweetstars large bag of traditional sweets range and the 39p smaller bag range - both introduced by Courtenay-Luck four years ago.
Sales of the smaller bags, which include fizzy cola bottles and chocolate buttons, were up 24% in 2008 to 20 million units and he expects to sell 25 million this year. Thanks to a three-for-a-pound offer, they "have gone down a storm", he says.
It's not all plain sailing for the company, however. Bonds is extending its delivery service to the Irish Republic next month and faces the challenge of having to try and service this new customer base from its Northern Ireland depot.
"Around 1.2 million people live within a 20-mile radius of Dublin, but as you go further away, shops become fewer and farther between, which can be tricky in terms of distribution," says Courtenay-Luck.
Eventually, he concedes, he may have to expand his facilities and recruit more sales reps. "Our forecasts are in process."
Sometimes little things make a big difference. Since acquiring confectionery supplier Bonds of London in 2000, Philip Courtenay-Luck has managed to slash delivery times from an average of nine days to under 24 hours - thanks in no small part to the humble pen. Actually, a not-so-humble pen.
Courtenay-Luck claims his company, which supplies a 450-strong range of traditional and fashionable sweets, including its own confectionery and key lines from 60 other manufacturers such as Haribo and Maoam, is the first fmcg company to use pioneering digital pens to revolutionise the way they handle orders.
As they travel across the UK, Bonds' 37 sales reps use the pens in the normal way to record orders on a digitised order form. The data is then transmitted instantly to a mobile phone - rather than faxed as before - and then on to Bonds' head office via supplier Destiny's secure servers. The transaction can take less than a minute and also reduces the risk of lost, misplaced or delayed orders.
With just the one depot in England, and a second one in Northern Ireland, the success of the business depends heavily on this speedy transfer of information. "When I took over we had three GB depots, but the delivery service was appalling so I shut them," recalls Courtenay-Luck.
"Instead I opened a depot in Nottingham and recruited couriers to deliver all over the country. That helped us get delivery times down to 48 hours. Now, with the pen, they have been cut to 24 hours."
It means 90% of customers, who include The Co-0perative Group, Budgens, Scotmid and Gilletts, will get deliveries the next day if they order by 5pm.
Bonds has also been helped by the demise of pick'n'mix champion Woolworths. "Woolworths was one of the UK's biggest confectionery retailers, but not one of our retail customers," he says. "Children did not suddenly stop spending their money on sweets when Woolies closed. They now shop at more outlets, so we benefit."
Top sellers include two hanging bag ranges - the Sweetstars large bag of traditional sweets range and the 39p smaller bag range - both introduced by Courtenay-Luck four years ago.
Sales of the smaller bags, which include fizzy cola bottles and chocolate buttons, were up 24% in 2008 to 20 million units and he expects to sell 25 million this year. Thanks to a three-for-a-pound offer, they "have gone down a storm", he says.
It's not all plain sailing for the company, however. Bonds is extending its delivery service to the Irish Republic next month and faces the challenge of having to try and service this new customer base from its Northern Ireland depot.
"Around 1.2 million people live within a 20-mile radius of Dublin, but as you go further away, shops become fewer and farther between, which can be tricky in terms of distribution," says Courtenay-Luck.
Eventually, he concedes, he may have to expand his facilities and recruit more sales reps. "Our forecasts are in process."
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