Benefitting from post-COVID tourism growth

Durrant Pate/Contributor

The Montego Bay branch of Stationery and Office Supplies Limited (SOS) has seen a surge in business last year with revenues climbing by 70 per cent from J$130 million in 2021 to J$222 million.

This stellar performance is as a result of the increase in tourism post-COVID, which provided a welcomed boost, as many hotels and resorts reopened their doors and tapped into SOS’ products and services. The company is confident that this trend will continue and is optimistic of further growth this year as well as increasing market share locally.

In addition to growing market share, SOS is also expanding regionally having struck a partnership deal expanding to Trinidad and Tobago. This is being done through The Office Authority, a large office supplies dealer that manufactures and distributes various brands of stationery products.

SOS will exclusively distribute some of The Office Authority’s products in turn for the distribution of their furniture lines, IMAGE, TORCH and EVOLVE on the twin island Caribbean republic. This is even as EVOLVE, the company’s newest furniture line, generated J$28 million in its first five months of being on the market.

Big plans for 2023

The Jamaican office supplies provider has big plans for 2023.

According to SOS Managing Director Allan McDaniel, “without a doubt, we have big plans for 2023 and several of these are already in motion. Very soon, you can expect expansions to our Beechwood Avenue, Kingston head office, as we seek to meet the growing demand and provide the high-quality products and services that our customers deserve.”

He stated that SOS has solidified 2022 as a historic year of all-time highs, as the company recorded significant increases in revenues, expenses, pre-tax profit and gross profit while boasting the highest inventory level in its 58-year history. By the end of 2022, SOS increased its revenue by 56 per cent, moving from J$1.12 billion in 2021 to J$1.75 billion. Its pre-tax profit also rose by 169 per cent from J$105 million to J$283 million, while gross profit grew by 51 per cent, from J$551 million to J$836 million.

SOS attributes its success to proactively increasing its inventory year on year by 24 per cent, from J$296 million to J$368 million to meet the anticipated demand; increasing its warehouse staff complement to allow for a 24-48hr delivery time frame; increasing its product range to provide a one-stop shop for customers; expanding its SEEK offerings, and further incentivising its staff for workplace satisfaction and the provision of quality service.

McDaniel is proud of the company’s performance in 2022, considering the serious challenges that COVID-19 posed. “It’s been a historic year with record-breaking achievements and we can now look back at the strategies that worked well and the areas that need tweaking,” the SOS managing director remarked.

During 2022, all of SOS’ lines of business increased, led by SEEK, which experienced a 73 per cent increase in revenue. The expansion of SEEK offerings in the latter half of the year to include invoice books, receipt books, delivery books, graph paper and more allowed for the factory to operate at maximum capacity.

SOS hopes that soon the SEEK brand will become the leading book manufactured in Jamaica.