Cleanzine: your weekly cleaning and hygiene industry newsletter 18th April 2024 Issue no. 1110

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Cleaning contracts help boost sales figures as Norse growth continues

Norse Commercial Services has announced sales figures of over £37 million for the last 12 months, including £4.5 million of new cleaning contracts. This record growth takes the facilities management group's annual turnover to more than £180 million of which cleaning represents around £21m.

"Significantly," says Sales Director Geoff Tucker, "this sales growth includes 157 new contracts and contract renewals won in competitive tender situations, of which over 100 are for cleaning services.

"This is clear proof that even with the continuing economic pressures Norse is seen to represent good value across the wide range of services we supply. With a success rate of 39% of tenders submitted Norse is considerably higher than the industry average of 30%."

The company's business retention rate is equally impressive at 96%, which reflects its customer satisfaction rating.

The joint venture subsidiaries that Norse runs in partnership with local authorities (now 14 across the UK with a combined annual turnover in the order of £143 million) are also contributing towards additional sales, as they are able to compete in the open market for external contracts.

Cleaning services account for around £14 million of annual turnover in these subsidiaries, with £7 million coming from Norse's head office operating division.

"These Joint Venture Companies are going from strength to strength, adding new business that generates additional revenue for our local authority partners, and representing excellent value for local taxpayers," reveals Geoff. "In the last year they've put on an additional £2.75 million of external contract business, which provides significant returns to cash-strapped local authorities."

With the appointment of business development managers at a number of its subsidiaries already in place, and others being recruited, Norse is predicting that this figure will grow significantly over the coming 12 months.

"We're also strengthening the sales team for our traditional contract services offered direct by Norse Commercial Services," says Geoff Tucker, "as we look to expand the business in our traditional heartlands."

T: (01603) 894100
E: [email protected]
W: www.ncsgrp.co.uk

5th March 2015