Retailer confirms new COO and growth plans at strategy meeting.

 

Wesfarmers has reiterated expansion plans for Officeworks, with an acquisition in the education sector at the top of its wish list.

 

During an annual investor strategy meeting last week, Wesfarmers’ management confirmed earlier reports that Officeworks would open more stores while continuing to grow its online business, which accounts for about one-third of sales.

 

The stationery and office supplies retailer will also expand its art, early education, back-to-school and office furniture ranges while moving into adjacent categories, possibly through bolt-on acquisitions and partnerships.

 

Officeworks CEO Sarah Hunter has reportedly been exploring an expansion into the education market off the back of record growth during COVID-19 lockdowns. 

 

According to financial reports, a priority for the next fiscal year would be to maintain momentum and achieve consistent and sustainable profitability, accelerate online growth through new customer acquisition, improved app and website experience, and improved fulfilment.

 

Officeworks has previously stated that the current accessible market for its retail chain was $28 billion, of which it has a 10 per cent stake, with a potential accessible market of $56 billion.

 

During the past 24 months Officeworks has expanded its relationship with consumer electronic brands with several suppliers claiming that they are getting “excellent” sell- through and that they “prefer” to deal with the Wesfarmers-owned business because there is less demands for marketing dollars or instore merchandisers.

 

While there is talk of a sale of the poorly-performing Target chain, it seems earlier plans by Wesfarmers to float the healthy Officworks business have been shelved for now.