Hong Kong-based Origin Red Group has announced its intention to pull out of UK distribution to concentrate on its growing international container business for furniture and home decor products.
Sales at Origin Red Furniture Ltd in the UK have reportedly grown consistently over the past three years, but at a much slower rate than international sales have grown for its parent company, Hong Kong-based Origin Red Ltd. A strategic review was conducted in Q3 2015, and it was concluded that an orderly wind-down of the UK operation would allow the group's management team to focus on container business to existing and new customers in the UK, Republic of Ireland and Australia, as well as new business in Canada, the US and elsewhere.
The target closure date for the UK business is the end of March 2016, which is in line with the group’s financial year-end.
Since the relocation of Origin Red Furniture from Huddersfield to Lanark in 2011, warehousing and fulfilment services have been provided by OR Solutions, operating out of a 65,000 sqft warehouse. OR Solutions will continue to offer these services to existing and new customers.
“OR Solutions has given us an excellent level of service during our time in Lanark and I can strongly recommend them to anybody looking for a furniture distribution and direct home delivery service,” says Jon Veitch, MD of Origin Red Group.
“I would also like to thank Paul James for his fantastic service to our UK operations. He joined Origin Red Group when we acquired Ruddiman Furniture in 2009 and has been instrumental in the development of our UK business. His dual role as sales and operations director was a lot to take on, but he has handled both areas of the business with the utmost dedication.”
Origin Red Furniture will be exhibiting at the January Furniture Show this month on stand 4F30, where it will offer substantial discounts on remaining stock.
“I am expecting to do some great deals with existing and new customers at the NEC,” says Paul James. “I will also be open to discussions about new roles in the UK furniture industry. It’s been my life for the past 25 years and I am looking forward to new challenges and opportunities.”
