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British Red Cross invests in charity shops

1 July 2008
For further information please contact Heron Holloway
tel: 0207 877 7520 or 07659 145 095 (out of hours)
email: HHolloway@redcross.org.uk

The British Red Cross has embarked on an ambitious five-year retail improvement plan, investing £12 million in its charity shops.

By 2012, the British Red Cross will have opened over 100 new shops in commercially viable areas, at a rate of 20 a year; refitted 140 existing shops to ensure a modern and dynamic Red Cross presence on high streets across the UK; and closed approximately 70 of the least profitable shops.

Sue Azzopardi, British Red Cross Head of Trading, said:
“We are right at the beginning stage of implementing the retail investment plan but are already starting to see the benefits - British Red Cross shops are making more sales overall and selling a wider variety of goods. The overarching aim of our investment plan is to double current British Red Cross profit from its charity shops to £8 million in 2012.”

In addition to the extensive opening, closure and refit programme, the British Red Cross will be introducing electronic tills into all shops. These tills will streamline the management of information in shops and give a greater commercial focus – eliminating paperwork, regulating stock more accurately and tailoring price by shop location and product line. The tills will also be ‘web based’ thereby improving communications with the wider organisation and enabling shops to more effectively signpost members of the public on to British Red Cross services.

Tied in to this investment plan is a renewed emphasis on recruiting Red Cross volunteers, both to Red Cross shops and into a variety of service delivery roles across the charity.

On 1 July 2008, the British Red Cross introduced a new salary structure for all shop staff comprising of a base salary complemented by additional earnings tied in to the income of their shop. This brings British Red Cross shops in line with current practice across charity and mainstream retail sectors.

Current figures show that the British Red Cross is on-track to achieve its goal of doubling retail profit by 2012, with shops undergoing minor refits seeing an average profit upturn of 15% and shops undergoing major refits seeing a 17.5% upturn in profit.

Sue adds:
“It is an exciting time to be working in retail at the British Red Cross as we invest in our shops, our staff and our customer experience.”

ENDS

Notes to editors
§ The British Red Cross Trading Department currently generates an income of £23m, profit of £4m, employs over 600 staff and engages over 6,000 volunteers. This makes it responsible for approximately 11% of total British Red Cross fundraising. Funds are predominately generated by goods donated and sold through British Red Cross charity shops, with additional funding coming from greeting cards, independent living products (ILP) and bought-in goods (BIG).

The British Red Cross helps people in crisis, whoever and wherever they are. We are part of a global voluntary network, responding to conflicts, natural disasters and individual emergencies.

We enable vulnerable people in the UK and abroad to prepare for and withstand emergencies in their own communities. And when the crisis is over, we help them to recover and move on with their lives.

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© British Red Cross 2009
British Red Cross, UK Office, 44 Moorfields, London EC2Y 9AL Phone: 0844 871 11 11. Fax: 020 7562 2000.
The British Red Cross Society, incorporated by Royal Charter 1908, is a charity registered in England and Wales (220949) and Scotland (SC037738).