Revamp as David Sands unveils expansion plans

Published on Sunday 17 August 2008 21:14

FAMILY-OWNED convenience store chain David Sands has appointed a non-family member to take over the day-to-day running of the business for the first time as it hits the acquisition trail.

David Sands, which has 26 stores in Fife, Kinross and Perthshire, has taken on Ewen Chisholm as chief operating officer in what the company described as a "radical move".

The firm, which was founded almost 200 years ago, said projected sales would hit 32 million this year – up from 28m in 2007 – and added that it was looking to acquire more shops in the coming months, taking its total up to at least 30.

Managing director David Sands, who joined the family business in 1989 when it boasted only a single store and has since grown it to a 26-strong chain, said he would step back to concentrate on buying and integrating new shops into the company, targeting acquisitions.

The company is to target possible takeovers within a 45-mile radius of its Kinross base, predominantly in the Clackmannanshire and Alloa area, he said.

Sands is to take on the broader role of chief executive, while director Stephen Brown has been appointed into a new role as development and distribution director.

Sands said: "There seem to be a lot of opportunities around and we want to cash in on as many of these as possible."

He said that the firm's head office and distribution centre, which it built in Kinross three years ago, was capable of supporting the company's expansion up to 50 shops.

He said: "Eventually, that's what we're aiming for. We'll probably look at around five new stores over the coming year and take it from there."

Sands said the chain had been largely immune from the credit crunch due to its customers living close by.

He said: "Around two-thirds of our customers walk to our shops, which means they are not affected by higher petrol prices and, in some ways, we may be taking advantage of the fact that people no longer want to travel to out-of-town supermarkets as much.

"In these times, people want a friendly store as well as one which has good choice and is also good value."

Chisholm, who previously worked as client director with Harris International Marketing with supply and retail clients including David Sands, said: "In the last 12 months, I've got to know the David Sands business well and can see scope for further growth.

"My knowledge of the Scottish convenience store marketplace will help me identify these future opportunities.

"Having worked with convenience chains and groups across the UK in the last year and closely examined best practice, I would hope to look at ways of incorporating some of those 'best in class' ideas into the David Sands business.

"A look at these other retail operations, however, confirms that David Sands is punching well above its weight – and the business enjoys an excellent reputation among its peers."

The company was founded in Kinross in 1812.