NEXT brings forward Joules launch on Total Platform and increases services

As a result of significant progress made by NEXT Technology teams, NEXT has concluded that Joules can launch on its Total Platform site much earlier than expected, bringing its launch date forward from March 2024.

Now set to launch with Joules in October 2023, the Total Platform provides a website, warehousing, distribution, contact centre, online advertising and retail services. The scope of the planned services specifically for Joules will be significantly wider. In addition to existing Total Platform services, Joules will use the following NEXT systems:

• Product systems, encompassing stock planning, budgeting, contract management, progressing, imports and inbound administration. This will enable them to take advantage of the Group's inbound freight and duty arrangements.
• Finance, Payments and Accounting systems including accounts payable services, management information, profitability analysis and more.
• HR systems which will, in time, include store man-hour rota and planning systems and payroll.

NEXT has confirmed it plans to provide all these services to Joules on a cost-plus basis.

In a statement, NEXT said: "We had always intended that TOTAL PLATFORM would deliver material cost savings to Joules. Following the decision to deliver much broader services to Joules, we are now planning for those savings to be significantly greater than originally anticipated. The full benefit of these savings will not be felt until the beginning of 2024 so are unlikely to materially affect the current year's profit of the NEXT Group."

In December 2022, Joules' Founder Tom Joule partnered with NEXT to acquire the majority of its assets via a newly formed company. The deal has seen NEXT pay £34 million for the business, as well as £7 million for the current Joules head office building. NEXT owns 74% of the equity with the remaining 26% owned by Joule himself.

Joules remains an independent company with its own Board and management team. The team, led by founder Tom Joule, will be entirely focused on product, marketing and brand development. The functions that will continue to be wholly managed by the Joules teams are as follows:

As a result of changes made by the acquisition, as well as the acceleration of plans, a number of tasks performed by Joules personnel will be absorbed into NEXT teams or no longer be needed. Joules is in the process of consulting with colleagues to let them know how they will be affected.

Where roles are no longer required, NEXT will be working with those affected to ensure that they are considered for any suitable vacancies at NEXT, whose Head Office is located close to Joules' headquarters in Market Harborough.