Retailer Dealz is opening its 50th shop in Ireland today on Thomas Street in Dublin. The company is also announcing further expansion plans which, it says will lead to new store openings and the creation of up to 400 jobs in 2016.
Dealz, which is the Irish version of UK single price discount retailer Poundland, already employs 1,500 people here.
The company's chief executive Jim McCarthy says that each new store opening creates between 15 and 20 new jobs. Jim McCarthy says that consumers are now used to getting real value and they are being very savvy about their purchases. He predicts the company's success will continue here as the economy continues to improve, with Dealz becoming a net beneficiary of that improvement.
Mr McCarthy says that Dealz has been very well received in Ireland - something which actually surprised the company. He said the company had originally thought that 50 shops here would be its limit, but that figure was then revised to 70 and now the company has ambitions for 100 Irish shops. According to Mr McCarthy, the Dealz shopper comes from right across the consumer spectrum and includes all the socio-demographic groups. He says that people with high disposal income are choosing to shop at Dealz, while people who really need to shop for value are also very evident. He says the company sees a really good spread among the income brackets, as well as all ages. The company's biggest customers are ladies - making up 60 to 65% of its total customer base.
Mr McCarthy says that "pure discounters" do operate a lean business model and the business is built on volumes in order to offfset the low margin. He says the company engineers all the processes very carefully and it watches its costs absolutely - which is in its DNA - to continue to offer the amazing value it does. Any inflationary pressures are unwelcome, but he adds that necessity is the mother of invention and so the company is constantly trying to improve.
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