Due to the nature of the deal, however, both sides declined to put an exact figure on the value of the contract. The firm will be involved in the whole production process, from concept through to design, print and delivery.

It will cover all of PowerHouse's print requirements, including point-of-sale, direct mail and inserts for the firm's 124 stores.

This latest contract win comes soon after the print management firm won a "substantial" contract from financial services provider Man Investment (PrintWeek, 30 September).

HH Associates marketing director James Hunt said the firm had been working with PowerHouse for some time, mainly on flyer campaigns.

Hunt said a number of different proposals were made to PowerHouse, on ways costs could be reduced and workings improved.

"Due to the fragmented way PowerHouse works, we realised opportunities to improve costs and timings," said Hunt.

An on-site team is already in place at PowerHouse, and Hunt said this would be added to once the deal was finalised.

Helen Vinken, head of marketing at PowerHouse, said she was confident that with the on-site team, staff workloads would be reduced and project turnaround times improved.

Hunt said a number of other possible contracts were being worked on, as part of HH Associates' plan to expand into Europe.

HH Associates clients include the Labour Party, Royal Mail, Carphone Warehouse, The Post Office, Thomson Holidays and Unilever.

Story by Andy Scott