{"id":83196,"date":"2016-07-01T12:25:55","date_gmt":"2016-07-01T11:25:55","guid":{"rendered":"http:\/\/amateurphotographer.co.uk\/?p=83196"},"modified":"2016-07-01T12:25:55","modified_gmt":"2016-07-01T11:25:55","slug":"jessops-ceo-lays-plans-next-phase-high-street-comeback","status":"publish","type":"post","link":"https:\/\/other.kelsey.host\/amateurphotographer\/latest\/photo-news\/jessops-ceo-lays-plans-next-phase-high-street-comeback\/","title":{"rendered":"Jessops CEO lays out plans for next phase of high street comeback"},"content":{"rendered":"

Jessops CEO Neil Old<\/em><\/p>\n

In a wide-ranging interview, Jessops CEO Neil Old (above) was asked how many more stores Jessops may open. \u2018I think there could be another 20,\u2019 he replied. <\/p>\n

\u2018We\u2019ve been opening six high street stores per year for the past two years. I can see this continuing for at least another two to three years.\u2019<\/p>\n

He added: \u2018We\u2019ve got a list of 10 or 12 towns and cities that fit our criteria and that we\u2019re actively looking to go into, when we find the right premises.<\/p>\n

\u2018But there could be more beyond that.\u2019<\/p>\n

Jessops now employs 440 staff across its 52 stores \u2013 nearly all from the old business. This figure will swell to more than 500 if Jessops sticks to its plan of opening a dozen new stores over the next 18 months or so, not forgetting employing up to 150 more people that Jessops hires each Christmas.<\/p>\n

Expansion into Europe is also possible, though such a move is years away said Old who explained that the focus remains on continued growth in the UK.<\/p>\n

\u2018Once we\u2019ve got a robust and stable UK business we can look at moving into mainland Europe.<\/p>\n

\u2018We\u2019re on track at the moment. We\u2019ve got 20% like-for-like sales growth and a web business that\u2019s growing, which in a market that is considerably down in absolute terms is very pleasing.\u2019<\/p>\n

Jessops and Sainsbury\u2019s<\/strong>
\nAP noted that 10 of Jessops stores are Sainsbury\u2019s concessions. So, does Jessops have plans to expand those too?<\/p>\n

\u2018Again, if the location of the Sainsbury\u2019s is right and fits our demographic, then of course we\u2019d be interested, but we\u2019re not going to be just filling space in a random corner of south London.\u2019<\/p>\n

The Sainsbury\u2019s shops, where demand for photo-processing business is much higher, bring in a different type of customer.<\/p>\n

\u2018What you don\u2019t have, not surprisingly perhaps, are the photography enthusiasts who come in on a Saturday to browse and try out kit and have a chat.\u2019<\/p>\n

Understanding customers<\/strong>
\nOld says Jessops chooses would-be store locations on the basis of its understanding of the customer \u2013 a process aided by information gleaned from its database of hundreds of thousands of customers.<\/p>\n

Jessops uses the research to establish who its customers are, where they live, how far they are prepared to travel, and their average spend.<\/p>\n

\u2018Where are those clusters of enthusiasts who are prepared to pay \u00a3500 and upwards on a new camera? They\u2019re in Tunbridge Wells, Canterbury, Brighton\u2026 There\u2019s a lot of science behind it.\u2019<\/p>\n

Old is clear where Jessops\u2019 target market lies and the importance of providing a quality customer service: \u2018We\u2019re not talking to the pros. Some do come in, but they\u2019re not our typical customer.<\/p>\n

\u2018Equally, we see a lot of the occasional happy snappers at Christmas. But our core customers, who we\u2019ll see for probably 10 months of the year, are the keen hobbyists; those who have a serious interest in photography \u2013 either it\u2019s their first love and they\u2019re really passionate about it, or it\u2019s a companion hobby to their first love.<\/p>\n

\u2018Maybe they\u2019re a member of the National Trust and they want a good camera to be able to take great photographs of the stately homes and gardens.<\/p>\n

\u2018So, it\u2019s important for us that when a customer comes in they meet people who are passionate about photography and can talk to them on their level.\u2019<\/p>\n

\"jessops.brighton2.web\"Inside the Jessops store in Brighton, East Sussex which opened in April<\/em> \u00a9 Nigel Atherton<\/p>\n

Something for everyone<\/strong>
\nJessops prides itself on offering \u2018unbiased advice\u2019. Old says: \u2018All our guys are equally confident to talk about any brand of camera.\u2019<\/p>\n

Unsurprisingly perhaps, given the enthusiast customer base, Jessops\u2019 core products are mirrorless cameras, DSLRs and high-end compacts.<\/p>\n

\u2018Mirrorless is going from strength to strength; there\u2019s still a level of decline in DSLRs but the high-end ones perform better [and] large-sensor compacts are doing well.\u2019<\/p>\n

Old notes how Sony has come to the fore as a real success story. \u2018What they do so well is innovate \u2013 it\u2019s just off the scale what they\u2019re achieving. They\u2019ve got some great products \u2013 like the A7 series, which is doing incredibly well.<\/p>\n

\u2018They don\u2019t have the biggest lens range yet but there\u2019s enough to give our core hobbyist customer the confidence to buy into the system.\u2019<\/p>\n

Jessops also sells second-hand cameras through Camera Jungle \u2013 a business it took over at the end of 2015 and which is based at Jessops’ Oxford Street store in London.<\/p>\n

It also houses the latest tech, including drones and 360\u00b0 cameras like the Ricoh Theta.<\/p>\n

Keeping up with the times<\/strong>
\nUnder previous owners, it could be said that some new technology did Jessops few favours as it struggled to adapt fast enough to the threat posed by the smartphone revolution.<\/p>\n

Asked how smartphones impact the current business these days, Old said: \u2018There are more pictures being taken now than at any time in history, and I couldn\u2019t be happier.<\/p>\n

\u2018These people have started coming in and printing some of those pictures, and we\u2019re getting the opportunity to talk to them about maybe purchasing their first camera. We\u2019re helping to take them on a journey.\u2019<\/p>\n

To help customers edit and crop their smartphone photos and turn them into prints, Jessops now employs ‘photo sales experts’ who are equipped with the bespoke skills.<\/p>\n

The chain also operates a print-and-collect service, so customers can order prints online and collect in-store.<\/p>\n

\u2018We\u2019ll also be offering it the other way around, so if you\u2019re in store and decide you want to, say, produce a photo book, you\u2019ll be able to start the project in the store, set-up the basic templates with the advice of the staff, and then carry on with it at home later.\u2019<\/p>\n

\"jessops.brighton1.web\"\u00a9 Nigel Atherton<\/p>\n

Click-and-collect surge<\/strong><\/p>\n

Click-and-collect is Jessops fastest growing sales channel, eclipsing its in-store and web business \u2013 a development Old describes as \u2018massive\u2019 for the company over the past three years.<\/p>\n

\u2018It\u2019s had very significant double-digit growth. It generally takes about a year for a store to find maturity, and click-and-collect follows that curve.<\/p>\n

\u2018As you\u2019re becoming established in a new catchment, click-and-collect is virtually nonexistent for the first six months. But once people have got used to you being there they\u2019ll start thinking \u201cDon\u2019t forget we can pop in and pick it up on Saturday.\u201d<\/p>\n

\u2018You don\u2019t buy online \u2013 you just reserve it. So you\u2019re not obligated to purchase it. You go into the store, you know they\u2019ve got it, [and] it\u2019s all ready for you. You have a play with it, talk to the sales guys and make a decision. It\u2019s a huge convenience for the customer.\u2019<\/p>\n

Jessops has also seen a marked growth in photo books sales, mainly online, through its tie-up with printing firm CEWE.<\/p>\n

However, the fastest growing part of the market for Jessops is wall art. \u2018Poster prints, canvas prints, acrylics\u2026 Enthusiasts want to share their work, not just online but on the walls of their house.<\/p>\n

\u2018In fact, there has been a general resurgence in the popularity of printing, just like with vinyl records. \u2018People want physical evidence of what they have created. I fundamentally believe that the more people print, the more engaged they will become with photography.\u2019<\/p>\n

Old stresses that Jessops is not about selling cameras but about \u2018selling photography\u2019\u2013 and a large part of that is printing and sharing.<\/p>\n

\u2018To give someone a framed photograph is a highly personal thing, and a lot of thought goes into it. There\u2019s still a magic around looking at a physical print.\u2019<\/p>\n

Jessops Academy<\/strong>
\nAnother key element of the customer experience is the Jessops Academy that starts at a one-to-one level, akin to a tutorial. \u2018You\u2019re buying your first product and you want to be able to move that dial away from \u201cAuto\u201d and into other functionality\u2026<\/p>\n

\u2018We can book you into a one-to-one [session] for an hour, half an hour \u2013 whatever fits in with you. The amazing thing is the journey you take people on with the Academy.<\/p>\n

\u2018As retailers, we all like to talk about lifetime value, [and] with the Academy we see repeat visits all the way through.<\/p>\n

\u2018We have a very structured sales process that explores what customers\u2019 needs are to ensure that the camera is right for them.<\/p>\n

\u2018This year alone we\u2019re looking to spend a considerable amount on [the] further development of our teams.<\/p>\n

\u2018We\u2019ve just launched an online training platform for them so that they can log in on their phone or tablet and learn about new products. Our colleagues are at the core of everything we do.\u2019<\/p>\n

\"jessops.brighton.web\"Staff cut the ribbon at the opening of the new Brighton shop, Jessops’ 51st store (CEO Neil Old is pictured centre)<\/em> \u00a9 Nigel Atherton<\/p>\n

Lessons from the past<\/strong>
\nIt has been a remarkable turnaround for Jessops, since it was taken over by Dragons\u2019 Den <\/em> entrepreneur Peter Jones in 2013. And it is clear that the high-profile persona of the Jessops chairman played a big role in winning back consumer confidence. \u2018In the very early days, the fact that Peter Jones stood behind the business counted for a lot.<\/p>\n

\u2018We were completely debt free, and that first Christmas we had Peter on TV putting his name behind it. People trust him \u2013 his reputation is worth far more to him than he would potentially lose with Jessops. So that got us airborne, just off the tarmac.<\/p>\n

When the new Jessops launched its first 28 stores, reopened from the old business, its former customers returned.<\/p>\n

\u2018We had good luck cards, congratulations cards and people coming in just to say \u201cGreat to see you back.\u201d\u2019<\/p>\n

Old recalls a genuine outpouring of sympathy and sadness in the country over what happened when Jessops closed its 187 stores in January 2013.<\/p>\n

\u2018Jeremy Clarkson even wrote a piece in The Times<\/em> saying how sad he was about it. So when we re-opened there was a lot of goodwill.\u2019<\/p>\n

Old blames Jessops failure on a \u2018very badly run business that got bloated with central costs and just fell over\u2019.<\/p>\n

He added: \u2018When Jessops went under, I don\u2019t think it was due to poor service or there being no demand.\u2019<\/p>\n

‘A lovely industry to work in’<\/strong>
\nAsked how he can ensure that what happened to Jessops before won\u2019t happen again, the CEO is upbeat about what lies ahead for the photo industry in which he is still a relative newcomer.<\/p>\n

\u2018All of the lessons for our future are in our past,\u2019 replies Old whose pre-Jessops career includes roles at Comet, Dixons and Carphone Warehouse.<\/p>\n

\u2018One small advantage that you get when you emerge from a mess like that\u2026 is that you can clear out the dead wood and cherry pick the best people \u2013 the ones who really got the business and who cared.<\/p>\n

\u2018Some of them had gone off and found other jobs in the meantime, but once we told them we were coming back they resigned immediately and were back on day one before the stores opened, helping to fit them out.<\/p>\n

\u2018And they did this because it\u2019s well known that photography is a lovely industry to work in. <\/p>\n

‘I\u2019ve only been in the industry for four years but it really is \u2013 I\u2019ve never known anything like it in my career.\u2019<\/p>\n","protected":false},"excerpt":{"rendered":"

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