Glenn Leech, CEO of Banner, provides a company update including the business’s response to the cost of living crisis and how it is further cementing its dedication to social responsibility.

 

Laura Turner: To what degree is the cost of living crisis impacting the schoolwear sector?

Glenn Leech: The cost of living crisis has had a significant impact on the schoolwear sector, as it has on pretty much every consumer-facing industry. People simply have less money than they did even 12 months ago. So, they are cutting back, making do, and being far more thoughtful in their purchases. The cost of living crisis has also come at the same time as the DfE uniform guidance. I think this has made schools far more conscious of the cost of uniform when reviewing their policies, and we have also seen reductions in the number of compulsory garments or garments being made optional. This is exactly what the DfE was trying to achieve with its new guidance and in that regard, it’s good to see the DfE guidance working and benefiting consumers. The DfE uniform guidance also required schools to establish second-hand provisions. Whilst a lot of schools had this in place, it has noticeably impacted some of the bigger secondary and independent schools that didn’t. This is a testament to the durability of specialist schoolwear and is great for the environment, but it has been another factor in a tough trading year for the schoolwear industry.

LT: Is there anything you’re doing to help support retailers during this time?

GL: We currently host a wide range of support resources on our Media Hub designed to help retailers navigate the tender process and keep up to date with the DfE guidance. The resources include tender templates, business information and top tips for tendering. Our team are always on hand to provide support to our retailers who are tendering for a school contract. We provide any information they need about our supply chain and sustainability and ethics policies.

LT: Do you offer any cost of living support to Banner employees?

GL: Since 2022, when the cost of living crisis hit, we have significantly uplifted colleagues’ wages giving the highest increases to those colleagues paid the least. Training has been available to all colleagues on managing their personal finances and we also extended a mental wellbeing programme that was first launched during the pandemic and proved to be incredibly helpful. Our benefits programme includes access to discounted shopping aimed at getting great deals on things our colleagues regularly purchase, such as groceries. This brilliant benefit has the potential to save colleagues over £860 per year with frequent use. We regularly bring attention to popular deals available through the discounted shopping platform as well as sharing news and guidance from payroll and other financial partners on how to make the best of your money.

LT: Overall, how was this year’s Back to School (BTS) compared to last year?

GL: We have had a very strong service year, which is our primary focus. Stock availability has averaged 98%, on time in full deliveries to our customers has averaged 99%, and we have consistently maintained embroidery turnaround times within our SLA for daily orders of five days. Sales have fallen short of our budget and are behind last year. This is partly due to retailers ending 2022 with far more stock than they needed, but also due to the cost of living pressures and the impact of the DfE on our market.

LT: What confidence do you have in the market for 2024 and beyond?

GL: Schoolwear remains a very resilient market. My judgement is that 2023 has been a particularly challenging year for suppliers, with several factors combining to put pressure on sales. I believe that we have seen the majority of the changes as a result of the DfE uniform guidance, noting that governing boards needed to be fully compliant with the guidance by September 2023. I anticipate 2024 will be another tough year and that the state of the overall economy will be the main influencer on schoolwear sales. I don’t see sales bouncing back, but I would expect them to stabilise through 2024.

LT: How is Banner helping support the communities it works in?

GL: Supporting our communities is something we are massively passionate about. In the UK, we typically support around 20 different charity and community initiatives either with fundraising or direct support from our colleagues, who are all given paid time off to lend a hand. Currently, we are supporting major charities like Macmillan as well as smaller local charities like Trowbridge Futures, which gives opportunities to underprivileged young people to help them realise their potential. Overseas, we work with all our suppliers to make a difference in their local communities in areas such as the provision of clean water and local environmental improvements.

LT: Are you working on any charity projects at the moment?

GL: We are about to take the next step in our journey by launching the Banner Foundation. The foundation has been built to support children, giving them equal opportunities to thrive and prosper no matter their background. Through the Banner Foundation, we’ll complete various volunteering projects while working to raise money that will be distributed to causes up and down the country that share our goal of giving every child the chance to shine. More on this will be shared with our customers and the wider public at The Schoolwear Show.

LT: How is Banner planning to continue embracing social responsibility going forward?

GL: We are very open about our goal to achieve B Corp accreditation, which can only be awarded to companies that put social responsibility at the heart of all they do. We have a comprehensive programme in place to reduce our impact on the environment and to protect biodiversity, as set out in our latest Sustainability Report. Our Charitable Foundation and Gift of Time initiatives aim to give back to local communities and charities. And, we are consistently raising the bar with our suppliers, holding them accountable to drive best practice labour, safety and welfare standards that are well above the requirements of Sedex Pillar 4.

LT: What’s key in Banner’s BTS 2024 school uniform offer?

GL: Late 2023 and early 2024 will see Banner’s most extensive new product launches ever, which we have been planning and preparing for extensively to ensure that we are well stocked far ahead of BTS 2024. We are introducing an all-new skirt and trouser range offer that features a host of new innovations, is 100% eco, and is priced materially lower than our current garments. This is a real step change for Banner and our customers, as we are providing retailers with products that really hit the mark, particularly during the cost of living crisis. 2024 will see the introduction of a Classic Hoodie to the market, too. Made using 55% recycled polyester and offering a unisex fit, it will be available in all the Classic colourways with four additional new colour options. Our Signature Boys Jacket will also simply become the Signature Jacket, a unisex solution to our popular suiting style. This move to a unisex option supports a longer lifecycle of our uniform with the ability to be passed down to any child of any gender. The Signature Girls Jacket will become the unisex Signature Fitted Jacket. The new garments are available to view now via our Banner sales representatives.

LT: And your latest developments in sportswear?

GL: We are introducing a variety of new APTUS Essentials garments and colourways to our range, making our already market-leading offer even stronger and better value for money. These new products include the 2-in-1 Short, Core Tee and Core Short. Plus, a number of our Essentials garments are now available in new colourways and sizing.

LT: What would you highlight as Banner’s key milestones so far for 2023?

GL: Bringing William Turner into the Group has been a huge success. Our businesses are very complementary, and it has worked exceptionally well. We have also made significant progress on our sustainability journey, with 65% of our current products being made from sustainable materials and a host of successes in areas like plastic reduction, carbon emissions and supplier ESG performance.

LT: What are some of your goals for the business over the coming years?

GL: First and foremost, our plans are unchanged. We are super focused on providing the broadest and highest quality product range to independent schoolwear retailers. We want to be recognised for providing the best and most consistent service in our sector and we want to be clear leaders in sustainability, with 100% of our garments being manufactured from sustainable materials by 2025. It will surprise a lot of people that we are equally focused on People, Planet and Profit – but that really is the case, with a significant amount of my time and that of my team taken up by our sustainability goals and improving the culture at Banner to help us achieve our overall goals.

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