Snap Queensland franchise owners will close the state’s manufacturing hub rather than invest millions on new printing equipment. Staff at the 12-year-old facility are set to lose their jobs, as the print franchise group continues to reposition itself as a marketing services provider.
- Stephen Edwards, CEO, Snap
Operated under joint ownership of the state's franchisees for the past 12 years, the Queensland Hub's shareholders have agreed to shut down the site to consolidate their resources, citing the prohibitive investment in technology and equipment necessary to remain competitive. It has been confirmed that 14 jobs will be lost due to the closure.
News of the closure also leaves a question mark hanging over the 22 retail outlets serviced by the hub, but Snap says it is confident to avoid service disruption to its print clients. Snap has stated that the decision will have no immediate impact on the operation of franchise’s Sydney and Perth hubs.
Speaking with Print21, Stephen Edwards, CEO, Snap, said, "Snap has a transformation strategy which includes a print, design, website and essential marketing services focus. This doesn't affect manufacturing hubs. The hubs will continue to operate as co-ops and the relevant Franchise Owners will make business decisions on their future as required. The closure of the Queensland Hub is not around poor performance, it was based around the strategic direction of their franchises and the network."
No announcement has yet been made as to how Snap will reallocate its manufacturing requirements in Queensland. Edwards indicated to Print21 that Snap Franchising will work to support the franchisees to integrate business into the state and national supply channel, emphasising that: "Print volume from the hub is not lost to the Australian print industry"
Edwards is quick to mention the group’s Gold Partners (Konica Minolta, EFI, Canon, Ricoh, Fuji Xerox) and industry relationships may assist in developing the supply chain.
“We are committed to the continuous development of best-in-breed technology for our franchise owners and clients, and the closure of the Hub gives us the opportunity to evolve our supply chain model with the latest technology," he said.
Edwards extends his thanks to the Hub’s staff for their efforts and involvement with the business, notably during the devastating floods in 2011, and informed Print21 that, where possible, Snap is working with their partners to help relocate the 14 employees impacted by the closure.
Snap runs 179 owner-operated centres across Australia, New Zealand, China and Ireland, claims over 500,000 business and retail clients, and over $120 million annual turnover.