PMP picks up Franklins catalogue contract
$25 million printing and distribution contract allows PMP to begin the climb back into the catalogue market.
After suffering from a “disappointing year” and numerous disasters, PMP has taken a step in the right direction by gaining the contract to print and distribute Franklins’ retail catalogues for the next 3.5 years, commencing 1 October 2009.
The contract announcement follows a successful seven-year printing and distribution relationship between Franklins and PMP. PMP Limited CEO, Richard Allely, (pictured) welcomed the decision by Franklins, adding that it demonstrated the confidence held in PMP by one of Australia’s leading retailers.
“Franklins has an impressive track record since its new ownership and it’s a business with good growth trajectory ahead of it,” he said. “To secure a client like that for 3.5 years is great and an opportunity to provide not just our printing service but also distribution, pre-media and photography.”
PMP’s catalogue and distribution business has been under scrutiny since last year when Coles Supermarket hired private investigators to watch PMP’s distribution centre after claims that it had been overcharged by approximately $8 million during 2007-08. Bernie Brooks, chief executive of Myer also admitted that the company had experienced problems with PMP either not delivering, or delivering later.
Admitting the errors in distribution, PMP’s future in catalogues looked shaky after it lost the Coles contract, which was picked up by Franklin Press, AIW Printing and Michael Hannan’s Independent Print Media Group with the distribution being managed by Salmat. In addition, PMP also lost catalogue contracts with retailers Kmart and Harris Scarfe.
Allely is confident that PMP is now back on track. “Our catalogue distribution business has had some issues in the past but those issues have all been addressed and I’m delighted today with the people running that business and the changes we have made which will enhance our performance and reliability for customers,” he said.