The deal will see the company, run by former Youngsters board member Simpson (pictured) in Belfast, become the preferred supplier for all clearance lines that are sold through Youngsters. It is estimated to be worth approaching £5m in the coming period.
Bob Wiggins, Youngster’s MD, said: “In some senses, this formalises a relationship that already existed. However, I want to see our activities increase in this area and to achieve this means working with Alan in a way that allows him to expand his supply activities.”
This new arrangement will see Alan Simpson focusing his efforts entirely on his own companies, SMF and Toy Town and give up his board role at Youngsters.
“My own businesses have expanded and I need to ensure I can give them the time they deserve,” said Simpson. “The new arrangement with Youngsters moves to a third party supply basis but allows me to carry on working closely with the group. Of course, my Toy Town business remains a Youngsters’ member”.
Bob Wiggins added: “Alan and I have worked closely on this to ensure that we can both be more cost effective here and we think we have come up with something that achieves this on the logistics side of supply.”
He continued: “I am also pleased to say that Alan has agreed to provide consultancy support to Youngsters’ selection and purchasing team for this year’s FOB purchasing. He has been working directly with our team in the Far East and his experience and knowledge will be invaluable in ensuring we get the best out of this year’s programme.”
Meanwhile, Richard Hogarth has joined as group purchasing director following Ian Henley’s departure from the company earlier this year.
Bob Wiggins added: “His previous experience with Staples and Tandy including working with Far East suppliers will be invaluable as we take Youngsters forward. Richard will be responsible for ensuring that synergies between the buying strategies of Toyzone, Youngsters retail subsidiary, and of Youngsters itself will be fully realised.”