BPGI sees Australasian groups exit

BPGI’s members in Australia and New Zealand have decided to leave the purchasing organisation and form their own buying group.

In a joint press release, Australia’s Office Brands and Office Choice, and New Zealand group Office Products Depot, revealed they had formed a new group, provisionally known as Office Products Australia New Zealand (OPANZ).

“Having operated as active members of BPGI for over ten years, Office Choice, Office Brands and Office Products Depot recently undertook an extensive review of the operations and determined a restructure was necessary to ensure they remained competitive in today’s challenging retail environment,” the release stated.

“Whilst the three groups have enjoyed considerable advantages in the past with BPGI membership, [we] identified the market had shifted with buying centred around the Australian and New Zealand areas that incorporated the three
companies. It was resolved that a local approach was required to cater to local suppliers’ needs and opportunities while still strengthening the three businesses in the ANZ channel.”

The groups will honour their BPGI agreements until the end of 2015, by which time “a full rollover of supply agreements will have been completed”, including the ongoing negotiation of rebates and best-buy prices.

“By further aligning procurement strategies in a solely regional based buying group, [we] will be able to deliver increasing returns, relevant offerings and a focus on local opportunities for dealers and suppliers alike,” the groups added.

The three dealer groups currently operate under a collective bargaining agreement that has been given regulatory approval from the Australian competition authority, the ACCC. The establishment of OPANZ will have no impact on this agreement, the groups stated.

Following the departure of members from the US, Canada, South Africa and now Australasia, BPGI is just left with its European membership, although even there its position was weakened by last year’s departure of Quantore and, of course, there is no member from the continent’s largest market, Germany.

Source: Andy Braithwaite, OPI

Tags: , ,

Leave a Reply

Your email address will not be published. Required fields are marked *

Follow us on social media: 

               

View our magazine archives: 

                       


My Office News Ⓒ 2017 - Designed by A Collective


SUBSCRIBE TO OUR NEWSLETTER
Top