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Insider<br />
The write stuff<br />
Neil Cleere founded The Pen<br />
Warehouse in 1999 with partner<br />
Mandy Warren. It’s grown from modest<br />
beginnings to become one of the<br />
leading names in the UK promotional<br />
gifts industry.<br />
<strong>PPD</strong> caught up with Neil recently to<br />
talk about his roots, his business – and<br />
much more.<br />
The year was 1969 – not exactly the most<br />
auspicious time for a Republic of Ireland<br />
teenager to move to Belfast.<br />
“I had moved from a very peaceful rural setting<br />
to a very troubled part of the island,” Neil Cleere<br />
remembers.<br />
However, against the background of what<br />
became known as “The Troubles”, there were other<br />
big changes happening for Neil.<br />
“My college education took on a much more<br />
technical bias. I attended the Londonderry College<br />
of Technology and the NI Polytechnic before ultimately<br />
gaining a degree in mechanical engineering<br />
at Queens University, Belfast.”<br />
After university, Neil’ moved into production<br />
management, followed by a spell in technical<br />
sales.<br />
“All of this experience was in surface finishing<br />
and decoration.”<br />
And behind it all, a plan.<br />
“I decided quite early on that my long-term goal<br />
would be to build a manufacturing business and<br />
in 1987 I started Graphitec Designs, primarily involved<br />
in the design and manufacture of cardboard<br />
engineered displays and promotional items.”<br />
Neil sold the business in 1994 for personal reasons<br />
but continued to manage it for another five<br />
years.<br />
Then came The Pen Warehouse.<br />
“When we started the business, we were very<br />
lucky to have the support of Leccé Pen, based in<br />
Italy.<br />
“Their range was extensive and value for money<br />
but like many European manufacturers of the<br />
time, they were only interested in supplying large<br />
volume orders. “We therefore had to make a commitment<br />
to a significant UK stockholding and this<br />
enabled us to produce small orders with a quick<br />
turnaround. This allowed us to grow quite quickly.”<br />
There was another key ingredient in this success<br />
– people.<br />
“There was no shortage of ideas that would<br />
grow our pen business but recruiting staff that<br />
could make it work proved to be pivotal to our<br />
success.<br />
“I consider myself very lucky to have surrounded<br />
myself with hard working, flexible, self-motivated<br />
staff.”<br />
So what makes The Pen Warehouse stand out<br />
from the crowd Two words, says Neil – “technical<br />
expertise”.<br />
“Many of our products are designed in-house<br />
and this allows us to supply products to a standard<br />
and design not available elsewhere.<br />
“Several of our machines have been redesigned<br />
with unique motion control that enables us to provide<br />
high quality print at very high speed and large<br />
print areas not normally available elsewhere.<br />
“This combination of unique design and the<br />
economies of scale associated with bulk purchasing<br />
and high speed printing enables us to produce<br />
great quality products at very competitive prices.”<br />
As the company’s name suggests, The Pen<br />
Warehouse hasn’t been tempted to diversify beyond<br />
writing instruments and accessories.<br />
“Firstly, we feel we would lose our identity in the<br />
eyes of our distributors, because we are regarded<br />
as a specialist supplier.<br />
“Secondly, we have an agenda to develop and<br />
extend our range of writing instruments way beyond<br />
current levels and this will require a great<br />
deal of focus. Other, unrelated product development<br />
would be an unwelcome distraction.”<br />
Talking of distractions, there’s little that seems to<br />
divert Neil’s attentions away from his business.<br />
“I am totally absorbed in The Pen Warehouse –<br />
it’s difficult to say where my private life ends and<br />
my working life begins.”<br />
He does, though, admit to a passion for photography.<br />
“As I shoot many of our publicity images and all<br />
of our product images I can justify my indulgence<br />
in what is a fairly expensive hobby,” he jokes.<br />
Ask him to choose his favourite Pen Warehouse<br />
product and he’ll find it a tough question.<br />
“My favourite product is always the one I am<br />
working on at the moment.”<br />
“I am totally absorbed in The Pen Warehouse – it’s<br />
difficult to say where my private life ends and my<br />
working life begins”<br />
Right now, that means evaluating the first production<br />
samples of a new range of display boxes.<br />
As far as past achievements are concerned, he<br />
particularly singles out the space pen (“which required<br />
the input of four different manufacturers<br />
in three separate countries”) and the company’s<br />
Biofree range, which has a special additive that kills<br />
known pathogens.<br />
“Both of those products took years to bring to<br />
a successful completion, and a great deal of negotiation.”<br />
But as always with Neil, his eyes are very much<br />
on the road ahead. “With rising costs of raw materials,<br />
particularly brass, the need to evaluate alternatives<br />
is always high on our agenda.<br />
“The evaluation of composite materials that<br />
have the same characteristics as brass in terms of<br />
weight and feel will remain an ongoing and important<br />
project for us.<br />
“Another very important project is the development<br />
of both flat and round pens suitable for full<br />
colour printing.”<br />
Of course, 2008 has brought its own exceptional<br />
set of challenges for commerce around the<br />
world, but Neil remains bullish about his company’s<br />
performance.<br />
“We’ve been exceptionally lucky, as we have<br />
seen no decline in sales over last year. We were<br />
anticipating growth of about 22 per cent in the last<br />
12 months, which was not realized, so it could be<br />
argued that is a form of loss in itself.<br />
“Personally, I don’t look at it that way, because<br />
we didn’t scale up our infrastructure by 22 per cent<br />
and therefore did not incur the associated costs<br />
of growth.”<br />
Of course, that doesn’t mean the company is<br />
untouched by the effects of the credit crunch.<br />
“We’re seeing much higher levels of bad debt<br />
in recent months than in previous years and we<br />
expect this to continue for some time yet, as the<br />
weaker distributors run out of time and money.<br />
“This factor, when combined with the overall<br />
downturn in business, compounds the problem<br />
for suppliers.<br />
“Very weak balance sheets are characteristic of<br />
many distributors and as the recession runs its<br />
course some of the weaker distributors will be<br />
pushed over the brink.<br />
“Much greater depth is to be found in supplier<br />
companies and I would expect a much lower<br />
percentage of failures at that end of the supply<br />
chain.”<br />
One thing that comes over strongly when you<br />
talk to Neil is his passion for education, a passion<br />
reflected in The Pen Warehouse’s Story Sacks project.<br />
Teachers are supplied with a small sack of<br />
themed contents, normally a book and some<br />
props to bring the story to life.<br />
Neil says: “I come from a background where it<br />
was totally unheard of for children to leave school<br />
without being able to read and write.<br />
“To my astonishment, I discovered that in our<br />
local primary schools here in Aldershot up to 52<br />
per cent of pupils have special needs.”<br />
As for Neil Cleere, his story is far from over –<br />
he’s busy right now, writing the next chapter.<br />
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