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PETS AT HOME

ABOUT PETS AT HOME

Pets at Home Ltd is the largest pet supplies
retailer in the UK by a significant margin,
employing over 5,000 staff and operating 325
stores nationwide. When it was sold to a US
investment firm in 2010, it was valued at just
under 1bn. The company continues to grow at a
rapid rate, with on average 25 new stores added
to its roster each year and sales consistently
increasing year-on-year.
Although the companys main Support Office is in
Wilmslow, Cheshire, the hub of the Pets at Home
operation is its 160,000 sq metre warehouse in
Stoke, which supplies the vast majority of the
companys nationwide network of stores. In June
2011, this was supplemented with a second
warehouse near Northampton. A similar size to
the Stoke site, its creation is a clear indication
that the business is only going in one direction.

THE PETS AT HOME CHALLENGE Pets at Homes logistics function must therefore be
in complete harmony with the rest of the business,
For a specialist retailer like Pets at Home, the
with distribution activities closely aligned to sales in
ready availability of products is the lifeblood of the
order to manage the fluctuations of demand.
business. As a result, logistics plays a business
critical role. With demand for products in constant
For Downton, as Pets at Homes main logistics
flux, the logistics function must be able to adapt to
contractor, this has meant immersing itself in the
ensure that retail stores are neither overstocked
business and adopting a truly responsive approach
nor undersupplied.
to the partnership.
This is easier said than done. New product lines are
launched regularly sometimes rolling out across
all UK stores, sometimes in certain regions and
Pets at Home cannot accurately predict consumer
demand until initial sales figures become available.
Demand for existing product lines also changes
constantly, and any new stores need to feel their
way in determining what will sell well in their It is the willingness to go the extra mile to support
catchment area before product distribution can Pets at Homes goals as a business that sets
adjust accordingly. Downton apart.
Phil Hackney
Supply Chain Director, Pets at Home
 THE DOWNTON SOLUTION
Downton has a long history in the pet retail industry,
working with the sector for over 20 years. Having worked
with a local pet food manufacturer in Gloucestershire,
Downton was making the early deliveries to the first
specialist out-of-town pet provider, Pet City, when it opened
its flagship store at Swindon in 1990.
Pet City quickly began to grow during the early 90s,
building up to a chain of ninety stores. Downton carried
out all of the deliveries in the UK, delivering to retail stores
We deliver with scheduled deliveries and via tail lifts and pump trucks.
the difference After Pet City was sold to Pet Smart in 1996, the business
grew very rapidly as the out-of-town retail model took off in
the UK and within three years, Downton was delivering to
150 stores.
Pets at Home purchased the group in 1999, becoming the
Downton has largest UK pet supplies retailer. When it opened its new
gone above and distribution centre at Stoke-on-Trent in 2003, Downton
beyond to ensure became the lead UK logistics partner for the business.
that we have a This involved an on-site management team and a core fleet
delivery schedule of liveried vehicles, undertaking up to 100 loads per day to
that works for our retail stores as well as collections from suppliers.
colleagues.
Downton has worked jointly with Pets at Home over many
years to drive improvements across the logistics operation.
A quick win in the early days of the new distribution centre
was the switch from single to double-deck trailers together
with Moffett mounted forklifts, fitted to the rear of the
From the start of
trailers. This improved payload efficiency by 50 percent
the relationship,
and, more importantly, negated the need for Pets at Home
Downton has been
to have mechanical handling equipment (MHE) at all of
ready to respond
its stores, along with the necessary training of store-
to changes in
based employees to handle MHE. Pets at Home cancelled
requirements and
contract hire agreements on over 250 forklifts overnight as
alter their approach
a result, saving more than half a million pounds a year on
accordingly. No
MHE hire costs and training.
matter what
happens, or how
Other initiatives included the introduction of aerodynamic
much our operation
trailers the reduced fuel requirements of which have
grows and changes,
saved costs of around 14 percent. Downton has also
we know that
undertaken a strong driver training programme on Pets at
Downton will do
Homes behalf, with the emphasis on ensuring safe and
whatever they can
fuel efficient driving across the distribution operation.
to make it work.
Phil Hackney, Supply Chain Director at Pets at Home,
explains why Downton was chosen as UK logistics partner:
From the start of the relationship, Downton has been
ready to respond to changes in requirements and alter
their approach accordingly. No matter what happens, or
how much our operation grows and changes, we know that
Downton will do whatever they can to make it work.
FOCUS ON THE CUSTOMER
Pets at Home reviews delivery requirements on a
fortnightly basis, making sure that planned deliveries
align with predicted peaks and troughs in demand. Very
little buffer stock is held at the stores themselves most
products go straight on sale as soon as they arrive so
it is vital that Downton is able to tailor deliveries quickly
and accurately.
Phil Hackney notes that at many large national retailers,
store workers are not only expected to deal with
customers; they are relied upon to unload deliveries,
replenish products on shelves, manage stock all of which
shift focus away from the core task of helping customers
to make a purchase. At Pets at Home, however, the
entire business is geared towards making the shopping
experience an enjoyable one for customers, with a member
of staff always on hand and willing to help.
To ensure that colleagues have the time to dedicate to
serving customers, Pets at Home and Downton worked
together to implement night-time deliveries for the
entire network of retail stores. Under the new schedule,
Downtons drivers deliver overnight between 6pm and 4am
the following day. Instead of depositing the products on
site, drivers unload the products using Moffett forklifts
and deliver them directly to the relevant department in the
store. This means that from 7.30am when workers arrive
until the store opens, staff can focus on replenishing the
stock on shelves ahead of the days trading, instead of
managing and handling the delivery. Phil explains:
This change has really taken the pressure out of the first
hour and a half of the day. By the time the store opens,
usually at around 9am, our colleagues on the shop floor
are ready to serve customers and can put their efforts into
providing good service. By avoiding deliveries during times
of heavy congestion, we also now enjoy 99.4 percent on
time deliveries.
With the switch to out of hours deliveries and the continued
growth of Pets at Home, Downtons depot infrastructure
also helped to create a hub and spoke model for the
retailer. The Downton-Pets at Home dedicated core fleet
concentrates on optimum deliveries (typically within a 70
mile radius of the distribution centres), but also trunk loads
to Downtons depot network at Dunstable, Gloucester and
Leeds from which deliveries on to more remote regions
are undertaken.
WHY DOWNTON?
According to Phil Hackney, Downton has proved that it is a
business with the flexibility and scalability to cope with the
demands of a growing and constantly changing business:
Everything is fluid when it comes to our distribution
requirements weve got some stores needing two deliveries
a week, some needing seven. Weve got new stores opening
all over the country at different times throughout the year,
and our sales fluctuate on an almost daily basis.
Downton has the capacity to manage our significant UK
requirements and the experience and ingenuity to be able to
solve problems, responding to any challenges that may occur.
It is the willingness to go the extra mile to support Pets
at Homes goals as a business that sets Downton apart.
Phil concludes:
This company has built its reputation on the excellence
of its customer service as much as its product range,
and our supply chain needs to support this. Downton has
gone above and beyond to ensure that we have a delivery
schedule that works for our colleagues and the wider
business. Their willingness to operate a flexible delivery
operation means our colleagues are free to do what they
do best serving our customers.

Address: Email: info@downton.co.uk

Head Office, Tel: 01452 720 242 or 01452 720 637

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