Scribbler, Red Card, IC&G and Wishes work out pips from an interesting start
With the first quarter of 2023 now ticked off the calendar, it seems to have been fairly juicy but there were still some troublesome pips that added a sour taste.
PG Buzz checked in with some of those in greeting card community to find out how the first chunk of the year has panned out and what their expectations are for the coming three months, with the Coronation and bonus bank holiday – as well as what would put a spring in their step right now.
In the first of this series, we hear from Scribbler’s John Procter, Sally Matson of Red Card, IC&G’s Allen Taylor, and Victoria Robinson from Wishes…
John Procter, co-founder of Scribbler
First quarter
“Trade definitely improved on all fronts as shoppers continue to return to the High Street, especially in our out-of-London branches. Our gift ranges have performed well and our card sales are nearly back to pre-Covid levels.
“The low points were simply strikes and, to a certain extent, weather-related.”
Next quarter hunch
“We’re feeling cautiously optimistic in that spring seasons thus far would, had it not been for the rail strikes, have performed well.”
What would put a spring in your step?
“Contented unions.”
Your happy business news
“Our instant card kiosks, in conjunction with Fuji, are potentially game changing. We’re looking forward to launching our new website and wholesale ranges, plus we are expanding our design team with the intention of growing internationally.”
Sally Matson, owner of Red Card, Petworth
First quarter
“To be honest, January wasn’t great for us. I feel there was a lot of hesitancy in the market because of the economy, and people really don’t have as much disposable income. Having said that, our general card sales have matched previous years, it’s the gift market which was down for us.
“Sometimes, if this happens, you can tweak the stock and the sales lift, but I know the stock we currently have is really great, so I’m hoping summer and people holidaying will give the gift market a boost. Valentine’s Day and Mothering Sunday card sales were both up on last year, which we’re really pleased about.
“The high point has definitely been card sales, especially spring seasons, and the low points have been the weather and the gift sales. The price hike for stamps is a disaster. Breaking that £1 threshold for first class stamps will make a huge difference – as first-class postage doesn’t guarantee next day delivery anymore, we will be recommending our customers buy second-class stamps, it’s the more sensible option.
“I don’t actually understand why Royal Mail don’t do away with the idea of next day delivery and just have one stamp price that aims to deliver within three days!”
Next quarter hunch
“Given that we had Easter, with very good gift and card sales; and there’s the Coronation, which has also brought strong sales of souvenirs and bunting alongside Ilona Drew’s Landmarks card range; and Father’s Day, which goes from strength to strength with great humorous cards, to come, I’m feeling very positive about the spring quarter.
“The longer days have already shown shoppers are staying out until 5.30pm, rather than calling it a day when it gets darker and, with the daffodils now in full bloom, everything is feeling brighter.”
Your happy business news
“We have a few irons in the fire at the moment, a couple of them looking at rewarding customer loyalty in different ways, and also dipping our toe into e-commerce. We’re also investigating revamping our branding from signage through to packaging – so watch this space!”
Allen Taylor, regional sales director of IC&G
First quarter
“On the back of a challenging trading period for our industry as 2022 came to an end with poor footfall for many independents, all of us pinned our hopes on a strong Christmas trading period.
“While, overall, the Christmas season ended strong in the normal last minute.com 10-day rush, many factors, including the Royal Mail strikes, the public’s lack of money to spend due to ever-increasing costs, and rail strikes, left many of our trading partners not being able to catch up over the poor trading of previous weeks.
“As a company that supports the independent retailer and doesn’t trade in the supermarket sector, this had an obvious knock-on effect to our own business. As we approached the start of 2023, an expectation of our trading partners having lower than normal cashflow due to a low-performing Christmas, meant every penny spent in January to top up everyday displays must count.
“That said, from January to date we’ve been pleasantly surprised that our core customers have brushed themselves down and pushed through, by continuing to spend with us and freshen up their displays. This has been helped with strong Valentine’s and Mother’s Day seasons.”
Next quarter hunch
“The next three months, we believe, will continue to be challenging, as costs for all households continue to rise. However, the good old British public always finds a way to celebrate birthdays, anniversaries etc, by sending a physical card. We also approach the lucrative wedding season – the fifth spring season – that’s still in catch-up from lockdown. So, our forecast for this quarter remains positive for growth as our wedding range is 100% new for 2023.”
What would put a spring in your step?
“To see our industry be supported by government, with support in easing business rates/energy costs, settlement of industrial action by rail/NHS, etc, and some good weather to get our public back out on to our High Streets, helped by local councils providing free parking in towns and cities to drive footfall – not forgetting Royal Mail who need to support our industry with the price of first and second-class postage.”
Your happy business news
“We continue to develop our greeting card offer with constant refresh and introduction of new looks to our traditional offering, being mindful of price points. We’re also excited to show some brand-new IC&G contemporary designs at PG Live in June, as we work with our talented studio and new artists we have sourced.
“We’re also investing heavily in looking at the humour sector to enhance our current ranges in open and captions. And finally our Barley Bear plush range is being looked at and developed based on the positive feedback received in the ranges showcased at Spring Fair, so watch this space.”
Victoria Robinson, director of Wishes Of Cockermouth
First quarter
“A sigh of relief! In planning for what would be on our racks in January I bought more cautiously for fear the new year would bring a dip in sales as the cost-of-living crisis bit. Since then we’ve been over the moon to see our customers returning and they’ve given us confidence.
“We’ve had a strong start to the year with spring seasons’ sales exceeding expectation, a fantastic and much-needed trip to Spring Fair, and lots of new product and suppliers on board with us for 2023. That trip to the show has to be our high – it was our first visit since 2020 and gave us a much-needed lift, lots of inspiration, and it was great to see and catch up with fellow shop owners and suppliers again.
“The low is undoubtedly the price rise in stamps. While we must remain positive and push special sends, the amount of cards posted is bound to be impacted. It has been more challenging to buy for Christmas 2023 not knowing how big the impact will be.”
Next quarter hunch
“It’s time to party! We’ve had enough doom and gloom, and Easter, the Coronation and Father’s Day give the perfect excuse to celebrate and get together. Easter is a growing season for us, so we took the opportunity to offer a wider product range with an emphasis on making memories through crafts and making things together with crafting items and activity books, Easter parties and egg hunts with decorations and tableware, as well as the traditional cards, both captioned and packs, which we’ve always offered but demand actually seems to be growing! We’ve been asked countless times for more captioned Easter cards.
“Ready for after Easter, we had a full 2ft-wide floor-to-ceiling display of bunting, tableware and decorations for the Coronation – and the sales have already started! We can only hope the weather will be on our side for parties and decorating.
“We hope to see the start of a boost in sales for first wedding anniversaries. After an incredible year for weddings this year, it would be lovely to see families recognising the anniversary and seeing it as a reason to celebrate with a card to mark the occasion!”
Your happy business news
“It has to be the new product ranges and suppliers we’ve brought in for this year. In these first three months we’ve welcomed more than 10 new suppliers to Wishes and hope to grow these with repeat orders in the coming weeks. After such a nervous start to the year, it’s exciting to be broadening our product range and trying something new. We’ll also soon be raising a toast for our 14th business birthday!”
These Viewpoints also appeared in the April edition of Progressive Greetings magazine which can be read online here, or you can subscribe here to receive the magazine by post each month.
Top: Sally Matson, Allen Taylor, John Procter and Victoria Robinson speak out
