Moving online, the pound store pioneer

THE concept of the high street pound shop is transferring to the internet.

The man who founded Poundland in 1990 has revealed plans for an online store where everything costs £1.

Steve Smith, who sold his share of Poundland for £50million in 2002, believes he can make the idea work on the web.

However, shoppers will be required to make a minimum order of £23 – and there will be a £3 postage fee.

The 51-year-old told Retail Week that the £3 compares favourably with the cost of transport and parking in town centres.

He said: ‘People are used to delivery costs. My challenge is to make sure it works out cheaply for the customer.’

Mr Smith is also considering a ‘click-andcollect’ system which would allow customers to pick up their goods at other stores and shopping centres.

A small-scale launch of Poundshop.com in London has proved successful.

He opened his first discount shop at the age of 16 in West Bromwich, selling for 10p items that had lost their packaging. With a £50,000 loan from his father, he opened Poundland in Burton upon Trent in 1990.

Poundland now has 460 stores in the UK and is the biggest bargain basement chain in Europe.

A record number of middle-class shoppers went through its doors over Christmas, making up more than one fifth of its customers. The chain now stocks Jane Asher baking equipment and Duchy Originals tea.