Ecommerce future for Poundland?

UK retailer Poundland has finally launched an ecommerce site, offering all goods for sale for only a pound, but requiring a £4 delivery fee (free for orders over £50).

Given the immense pressure on margins for online retailers, it will be interesting to see how the high street retailer fares in the online market. The test site will sell 2,000 items available across its most popular non-food categories, including health and beauty, cosmetics, bakeware and DIY equipment.

More novel features of the site include a shuffle button that serves up random produces from the range alongside a ‘scratchcard’ giving shoppers deals and offers such as free delivery. The increased gamification on the site is expected to drive significant interest from its customer base. The site is also appealing to cash and carry customers with bulk buying opportunities and a click and collect trial is also expected to roll out within the next 12 months.

Poundland opened its first store in 1990 and has grown to operate a network of over 550 stores across the UK and Ireland, with a long-term target of operating over 1,000 stores in the UK. It hit £1bn in sales earlier this year.