How small businesses can reduce their costs on office supplies

Online retailer, Frillo, has fundamentally disrupted the retail sector with a brand new business model, by not charging a mark-up on products sold to the end user.

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6th November 2013 at 10:15 pm

Online retailer, Frillo, has fundamentally disrupted the retail sector with a brand new business model, by not charging a mark-up on products sold to the end user. Frillo is making waves in the office supplies industry and challenging competitors to offer better value to customers by highlighting just how much money people could save during these difficult economic times. Unsurprisingly, this approach has upset the competition, with them claiming Frillo’s model is “aggressive”, “not a helpful contribution” and that “the only real winner is the end user”.

Frillo has launched its business model in the stationery sector and is planning to roll out mark-up free kitchens, bathrooms and car divisions in the very near future. The company has already attracted a lot of interest from private equity investors and is excited to continue with their business plan to change the way people buy.

Led by Managing Director, Mike Drewery, Frillo genuinely believes that its business model of cutting out the middleman is the future of retailing, as he explains:

“Times are hard for the consumer, so, when we developed the idea for Frillo, we knew it would be a hit. The fact that we have upset the competition in such a short amount of time since launching our website at the start of the year speaks volumes to us. Our aim isn’t to put people out of business, it’s to simply open consumers’ eyes to a better way of buying that will ultimately save them money.

“Businesses spend hundreds of pounds each year on office supplies and a high percentage of that cost is paid in hidden, indeterminable mark-ups. We believe Frillo is a clearer, easier way to buy. Our ambition is that during the next two years we will have reached truly national status and we are already planning to diversify by introducing the Frillo concept into a wide range of new markets – watch this space!”

This unique online business has low overheads, which allows it to supply products at cost. Customers simply pay a small fee per transaction to cover card, handling and delivery costs. With a price comparison updated frequently and clearly visible at www.frillo.co.uk, the retailer backs up its claim that it is up to 30% cheaper each and every time. The small handling fee is only applicable per transaction, not for each product. For example, if a buyer purchased a basket of goods up to £50, the handling fee would be just £5.

Frillo supplies a wide range of office products ranging from stationery and paper to furniture and computing equipment. The transparency of the business model and honesty in the pricing structure hands power back to the consumer who, before now, found it difficult to really work out whether something was ‘good’ value. Now it’s simple. If customers buy something from Frillo, they buy it at cost price.

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Mike Drewery is Managing Director of Frillo.

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