Q&A: Lakeland's finance and retail director Bob Granger on online and international growth

How has trading been since the financial year-end in December? 

It’s fairly tough trading. In the UK our profit for 2012 was slightly down, but our attitude is we’re going to keep on investing heavily for the future. 

We have announced a £10m investment for the expansion of our vastly bigger warehouse to support the growth of the business over the next few months as much as over the next two years. It will give us more space for loading and unloading and it will give us more space to store stock.

Lakeland has expanded across the Middle East this year, how is that part of the business faring?

It is doing particularly well and like-for-likes are up 15%. Over the next few years store numbers could double to 18 or more. We are also looking at launching in India or Asia. 

Lakeland launched its first European website in Germany this spring, how has that gone, and do you plan more?

It is a bit of a first phase for us. We’re looking at what works and what doesn’t to refine it but we’re pretty pleased with it. We have also launched an online store on Amazon’s German site and we’re seeing how that goes. It is another route to winning new customers. 

More of your UK customers are ordering online than over the phone – what kind of growth are you seeing?

The internet is obviously a great growth area for Lakeland and growth has been well into the double digits. It is the way the world is moving. 

Customers are choosing to buy from us in different ways. A lot of customers may have picked up the phone previously but now they are choosing to order online.

Although customers are becoming more tuned in to ordering online, undoubtedly they will want to talk to someone and phone ordering will still be necessary. And that means that there is a changing role for the customer services department, not just to take orders but to give friendly and helpful advice.  

With just under 11 weeks until Christmas are your customers preparing for the big day already?

There are lots of products that have been big for us already. The hemisphere cake pans have been popular, which makes cakes that look like owls, while the lace-look icing moulds are selling well. The Great British Bake Off is helping but there is a longer-term trend towards baking anyway.