Business model - Macfarlane Group

Our business model

We design, manufacture and distribute protective
packaging products to business users.

Source – Consolidate – Deliver

We operate a Stock and Serve model from Regional Distribution Centres (RDCs) and satellite sites providing a UK national network to support customers on a local, regional and national basis and three satellite sites linked to RDCs.

Design – Manufacture – Deliver

We operate two manufacturing centres in Grantham and Westbury.

New Business

Macfarlane aims to grow its business by increasing the penetration of existing customers and winning new customers.

Our strategy

For many years we have followed a consistent strategy to create
value for shareholders. The Group’s objective is to continue to grow
sales volumes and achieve a return on sales of 7%.

Strategic priority

Our approach

Strategic priority 1

We seek to implement a segmental sales strategy to improve customer retention levels, increase product penetration and accelerate new business, and focus on key sectors with above average growth potential, particularly National Accounts and internet retail.

Strategic priority 2

We work to enhance gross margins through a focus on higher added value products and more effective sourcing.

Strategic priority 3

We ensure operational effectiveness is maximised through efficiencies in our logistics operations.

Strategic priority 4

We seek to optimise the costs associated with the physical infrastructure of our business.

Strategic priority 5

We aim to supplement organic growth with at least two good quality acquisitions each year.