The Bookseller.com

2nd December 2008

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Publishers back Waterstone's delay

03.07.08 Graeme Neill

Publishers have backed Waterstone's surprise decision to delay the full implementation of its new supply chain until April 2009.

A new centralised warehouse was due to begin supplying all of Waterstone's 313 stores by September this year, but it is understood that Waterstone's is now planning to supply one region from this autumn, with roll out to its other 18 regions to then be delayed over Christmas before being resumed in the New Year, completing by April. "While we may be only a few weeks behind schedule, it's simply not worth taking any risks," said the chain's m.d. Gerry Johnson.

Publishers said Waterstone's was making the right decision in delaying. "They are not rushing it and as a consequence endangering Christmas," said HarperCollins group sales and marketing director David Swarbrick. "What they are doing is difficult and very complicated. But Waterstone's has been very good at communicating with publishers; they are doing the right thing."

Canongate sales and marketing director Jenny Todd said the decision was a "smart move". "I'm impressed they are focusing on delivering a quality service rather than sticking to a deadline. It's reassuring for publishers." Octopus group sales and marketing director Steven Edney agreed. "I'm relieved they have taken a pragmatic approach by saying it's not quite right for Christmas and they want to make it work. Christmas is too important to put any high-level risk in there."

Work on the warehouse itself has been completed, and internet orders will be fulfilled from Burton upon Trent from the autumn. Waterstone's has said that the new centre could reduce returns by as much as 30%, with stock being recycled throughout the chain rather than sent back to publishers.

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