Crew, McGregor Buy Whiteheads Fabrics Ltd.
January 24, 2005
LONDON, England — Matthew Crew and Gerald McGregor have become the sole principals of Whiteheads Fabrics Ltd., after saving the company from shutting down, following the bankruptcy of the South African-based parent company on November 23, 2004.
Crew and Mcgregor were employee directors of the original Whiteheads Company and now are the owners of the UK operation in Worthing, which they purchased from the liquidators in December 2004.
"Our turnover is around five million euros and is split 50/50 between pieces and made-ups," Crew says. "We can offer one piece or a cut order service on our entire inventory. We have a warehouse close to Gatwick and Heathrow."
Crew spends one third of his time traveling with his agents and Gerry runs the internal operations. The company has 20 employees including the agents.
"Today, we buy 80 percent of our production from sources outside of South Africa," said Crew, a veteran of the textile industry having worked at Crowson prior to starting his own firm under the Tru Textiles brand three years ago. He retains this brand for the higher end ranges of his new company's lines and markets ready-mades under the Whiteheads label in the medium priced line.
A lower end range of made-ups was launched at the Design Interiors exhibition under the Zest label. "Expanding the ranges will be our strategy going forward," Crew said. "We've been profitable for the past two years with good customers in Scandinavia, Germany and Austria. Now, we're moving into accounts in Eastern Europe including Czech Republic, Hungary, Poland and Russia. Right now, we are looking for the right partner in the U.S."
Crew comments that the Whiteheads must adapt to compete in a changing economy. "About 35 percent of our inventory is upholstery with coordinated product ranges; 80 percent in plain and jacquard and 20 percent in prints. People came to Whiteheads for prints but this is changing rapidly," Crew continued.
"Decorative fabrics are overpriced in the UK. Discerning UK consumers want more value for money. We're selling the same product as offered on Kings Road for half of the price, Crew said. We offer inventory in stock in a couple of days, which clever European wholesalers can export to South America, South Korea, Japan, Mexico and New Zealand. Our range is priced from 5 euros to 15 euros."
Crew sees that many mills in Italy and Belgium are finished in the face of the Chinese and Turkish competition.
"We're exploiting technique in our product lines including the use of five finishing stages in one piece. Our product cannot easily be copied and the consumer has a high perception of its value." Crew is looking for vertically integrated suppliers. He says that Turkish mills are looking more similar in their styling since they all use the same outside finishing and dyeing facilities. They need to be vertical to have an edge in the future. He thinks that Evteks has become very important and many retail buyers went to Evteks last year.
Crew and Mcgregor were employee directors of the original Whiteheads Company and now are the owners of the UK operation in Worthing, which they purchased from the liquidators in December 2004.
"Our turnover is around five million euros and is split 50/50 between pieces and made-ups," Crew says. "We can offer one piece or a cut order service on our entire inventory. We have a warehouse close to Gatwick and Heathrow."
Crew spends one third of his time traveling with his agents and Gerry runs the internal operations. The company has 20 employees including the agents.
"Today, we buy 80 percent of our production from sources outside of South Africa," said Crew, a veteran of the textile industry having worked at Crowson prior to starting his own firm under the Tru Textiles brand three years ago. He retains this brand for the higher end ranges of his new company's lines and markets ready-mades under the Whiteheads label in the medium priced line.
A lower end range of made-ups was launched at the Design Interiors exhibition under the Zest label. "Expanding the ranges will be our strategy going forward," Crew said. "We've been profitable for the past two years with good customers in Scandinavia, Germany and Austria. Now, we're moving into accounts in Eastern Europe including Czech Republic, Hungary, Poland and Russia. Right now, we are looking for the right partner in the U.S."
Crew comments that the Whiteheads must adapt to compete in a changing economy. "About 35 percent of our inventory is upholstery with coordinated product ranges; 80 percent in plain and jacquard and 20 percent in prints. People came to Whiteheads for prints but this is changing rapidly," Crew continued.
"Decorative fabrics are overpriced in the UK. Discerning UK consumers want more value for money. We're selling the same product as offered on Kings Road for half of the price, Crew said. We offer inventory in stock in a couple of days, which clever European wholesalers can export to South America, South Korea, Japan, Mexico and New Zealand. Our range is priced from 5 euros to 15 euros."
Crew sees that many mills in Italy and Belgium are finished in the face of the Chinese and Turkish competition.
"We're exploiting technique in our product lines including the use of five finishing stages in one piece. Our product cannot easily be copied and the consumer has a high perception of its value." Crew is looking for vertically integrated suppliers. He says that Turkish mills are looking more similar in their styling since they all use the same outside finishing and dyeing facilities. They need to be vertical to have an edge in the future. He thinks that Evteks has become very important and many retail buyers went to Evteks last year.
