Wincanton to drive further efficiencies for Sainsbury’s under contract renewal

June 16, 2016
By

Supermarket giant Sainsbury’s has renewed its distribution deal with Chippenham-based logistics group Wincanton – taking the relationship between the two businesses to more than 25 years.

The five-year contract extension will include further efficiency and performance improvements in the logistics operations Wincanton operates at four key Sainsbury’s sites, which support its supermarket and convenience stores across England and Wales. 

Wincanton said it had delivered year-on-year cost savings for Sainsbury’s and would continue to innovate under the new contract.

Chief executive Adrian Colman said: “The renewed contract is testament to the strength of our relationship and the shared vision Wincanton has with its clients to add value and deliver excellent service.

“Sainsbury’s has been a key client of ours for over 21 years already and we are thrilled to see this long-standing relationship develop further.”

Wincanton, which operates more than 4,000 vehicles and employs 15,500 people across 200-plus sites in the UK, recently announced a 164% increase in annual pre-tax profits to £65.8m on revenue up 3.6% at £1.15m.

New business wins in the year to March 31 included a five-year contract to manage DIY chain B&Q’s distribution centres and a three-year agreement for transport logistics with Halfords.

Contract renewals signed with long-established customers included HJ Heinz and Müller Milk and Ingredients (previously Dairy Crest)

Last December Wincanton offloaded its Records Management business to Surrey-based document management firm Restore for £60m – gaining £32.4m on the sale.

 

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