PMP plans overhaul of New Zealand print division
Transformation of New Zealand print business marks the latest chapter in PMP under the leadership of CEO, Richard Allely.
Allely, (pictured) could not be drawn on specifics, other than to say that the transformation plan would not be as substantial as what PMP did in Australia and was “fundamentally aimed at lowering our cost base and improving the operational efficiency of the print division.”
“It’s a smaller business, but there are opportunities to do things differently in New Zealand,” he told Print21.
Last year, PMP’s print volumes in NZ were down, due largely to weaker demand in the economy and some market share loss.
It has been good news for PMP’s magazine division, Gordon and Gotch, however, which has just signed on Pacific Magazines for another decade and secured two new major contract wins with News Magazines and Time Warner UK. Combined, this gives Gordon and Gotch 45 per cent of the domestic market share in audited titles and 100 per cent of the international market.
Two years ago, PMP acquired The Scribo Group, which has not delivered on its promise so far according to Allely, and reflects a 12-month hiatus in publishing investment following the events of October 208.
“As a standalone business it hasn’t yet delivered what we’d like it to do,” he said, “but when put together with our other businesses, it has significant upsides.”
As CEO, Allely has worked hard in putting PMP back on track following tough times, including a catalogue scandal where allegations that it had not delivered catalogues for major clients led to the loss of some key contracts.
His efforts are already yielding results. In PMP’s annual report, Allely wrote that: “I promised that, by June 2010, PMP’s reputation would have been restored as the trusted and respected leader in providing integrated print and distribution solutions in Australia and New Zealand. The many new and renewed customer contracts we secured this year speak volumes about our success in delivering on that commitment.”