What’s happening in retail & with brands – trends for week ending 26th October 2012
Company Results
- Argos have reported a 0.6% increase in sales to £1.7bn for the 26 weeks to 01 September 2012. Like-for-like sales increased by 0.6% for the same period.
- Asos have reported a 37% increase in group sales to £552.9m for the year to 31 August 2012. Total retail sales increased by 38% to £537.9m and UK retail sales increased by 10% to £205.3m for the same period.
- Booths have reported a 1.2% increase in sales to £273.6m for the year to 31 March 2012. Pre-tax profit decreased to £5.9m from £8.2m for the same period. (Source: Retail Week)
- Card Factory have reported a 1% increase in pre-tax profit to £56m for the year to 31 January 2012. (Source: Retail Week)
- Debenhams have reported a 2.6% increase in group sales to £2.7bn for the 52 weeks to 01 September 2012. UK sales increased by 2.6% to £2.2bn, group online sales increased by 39.8% to £250.6m and group pre-tax profit increased by 4.2% to £158.3m for the same period.
- Go Outdoors have reported a 24.6% increase in sales to £143.7m for the year to 29 January 2012. Pre-tax profit decreased to £2.6m from £5.2m for the same period. (Source: Retail Week)
- Homebase have reported a 6.2% decrease in sales to £787.3m for the 26 weeks to 01 September 2012.
- Inchcape have reported a 5.4% increase in sales to £4.6bn for the nine months to 30 September 2012. Like-for-like sales increased by 5.6% for the same period.
- John Lewis have reported a 7% increase in sales (including VAT) for the week to 20 October 2012. Fashion, Electricals & Home Technology and Home sales increased by 6%, 12.5% and 4.7% respectively. Sales at johnlewis.com increased by 31%.
- Mulberry have reported a 6% increase in total sales to £76.5m for the six months to 30 September 2012. Total retail sales increased by 13% to £46.5m and UK retail sales increased by 11% to £47.5m for the same period.
- Sports Direct have reported an 18% increase in group sales to £402.7m for the nine weeks to 30 September 2012. Sports retail sales increased by 16.8% to £344.7m and gross profit increased by 21.7% to £167.4m for the same period.
- Waitrose have reported a 4.1% increase in sales (including petrol) for the week to 20 October 2012.
The majority of non-fashion stores continued to experience higher demand with the strongest gains made across luxury, leisure and gifting, aided by the build-up to Halloween. Sluggish demand was reported across fashion with sales lower for the first time in over a month. Mainstream chains were the weakest performers with demand for womenswear ranges noticeably lower.
Mixed results were reported across homewares with textiles and accessories exhibiting some growth traits. Elsewhere demand remained subdued. Non-store growth was slightly above average largely on the back of strong non-fashion demand and weak comps.
Clothing, Footwear & Accessories
- Asos have announced the launch of their local language websites in China and Russia by next year. (Source: Financial Times)
- Debenhams have announced the opening of 17 new stores, creating 1,700 jobs across Britain and have plans to increase their overseas stores to 150 from 85 within next five years. (Source: Daily Mail)
- German womenswear brand, Gerry Weber have announced plans to open 15 new stores in the UK, by next year. (Source: Retail Week)
- Jacques Vert Group have announced plans to discontinue several brands in order to rationalise their portfolio, by next year.
- My-wardrobe.com have announced plans to discontinue their menswear segment in order to focus on overseas expansion of their womenswear segment, from Spring 2013. (Source: Retail Week)
- It is reported that Nike have announced plans to sell their UK sports brand Umbro to Iconix Brand Group. (Source: BBC news)
- Simply Be have announced plans to recruit staff sized 14-32 to make their customers feel less self-conscious.
Electrical & Entertainment
- Sainsburys have announced plans to trial mobile phone concession shops in two of their stores. (Source: Retail Week)
According to the Q3 Think Works report by Latitude Digital Marketing, one in four e-commerce visits will arrive via tablet and smartphone by the end of 2012. The data shows that tablet use increased in the third quarter of 2012, with nearly one in eight (12.6%) clicks on retail PPC adverts arriving via tablet. This was well ahead of the digital industry standard of 8.9%, reflecting the huge consumer take-up of the tablet device as a growing number of consumers use it to shop online. It was found that tablet use has grown rapidly during the last 12 months with the amount of PPC tablet clicks increasing by 400% year-on-year.
In contrast the mobile click volume growth in the retail sector has decreased in recent months, with no increase in the share of mobile clicks compared to all paid clicks since May 2012. However, the trend is expected to change post-Christmas, when new consumers flood the mobile web using new smartphones to access content online. Despite a slow Q3, smartphone clicks for retail campaigns increased by 72% year-on-year. While smartphones now account for just under one in ten clicks (9%), the report estimates that 27% of all paid search traffic within the retail sector will arrive from tablet and smartphone by the end of December 2012.
Food & Drink
- Boots launched their lunchtime food range, Jamie Does Lunch in partnership with Jamie Oliver on 22 October 2012. It will be available in 100 of their stores located at prime commuters sites across the UK.
- It is reported that Krispy Kreme have introduced a new in-store customer feedback programme, in partnership with Empathica. (Source: Retail Bulletin)
- It is reported that Morrisons have launched a foundation degree in supermarket operations along with the Logistics Institute at Hull University Business School, to offer training in logistics and leadership to 100 of their employees, effective 15 October 2012. (Source: Retail Bulletin)
- It is reported that Tesco are searching for their new Central Europe Head as current Chief Executive of Europe, Gordon Fryett is to retire. (Source: Financial Times)
- It is reported that Tesco have enhanced their Clubcard loyalty programme by launching digitally delivered Clubcard reward vouchers. (Source: Retail Bulletin)
- It is reported that the Australian chocolatier, café and bar franchise, Theobroma have plans to open stores in Birmingham and London, by early 2013. (Source: Retail Bulletin)
- It is reported that Waitrose have achieved their target of zero food waste to landfill, three months earlier than planned. (Source: Retail Bulletin)
Household
- Argos have announced plans to invest £300m to improve their product range, IT and fulfilment to support the push into digital business as a five year transformation plan. (Source: Retail Week)
- It is reported that Bloomingdales have appointed property agents to set up a store in London.
- Poundland have announced plans to invest 3m to open 10 new Dealz stores in the Republic of Ireland. (Source: The Grocer)
- It is reported that Harvey Nichols have launched a racy ad campaign to support the opening of their first standalone Beauty Bazaar store at Liverpool One opening on 07 November 2012. (Source: Retail Week)
- It is reported that John Lewis have published their first 324 pages Christmas Annual featuring lifestyle and gift ideas. (Source: Retail Week)
- It is reported that John Lewis have partnered with Kuoni to sell holidays. Kuoni will open their travel concessions in four John Lewis stores by this autumn. (Source: Retail Week)
- It is reported that Sainsburys have entered into partnership with Guy’s and St Thomas’ NHS Foundation Trust to take over the management of the outpatient pharmacies in London. (Source: Financial Times)
Courtesy of ‘The Thinker‘
