It’s been a much brighter week on the retail front with several high street and brand name stores sharing good news.
Tesco bucks the trend with bumper profit announcement
Supermarket Tesco has defied the recent profit warning trend to announce two straight years of increased sales. The progress puts its annual profits at £1.3bn in the face of a difficult retail trading environment. In fact, its pre-tax profits this year were a huge 770% higher than the same period last year, fuelled by better like-for-like sales – up 2.7% at its convenience stores, 5.1% online and 1.9% at its larger supermarkets. Its own food brands played a big part, with sales growing 4.2% following relaunches for over 10,000 products including ready meals.
The supermarket also suggested that it would
slim down its cost of operations further after it finalised its purchase of the wholesalers, Bookers and increased profitability by 3%.
Much of the credit for the turnaround in fortunes has been placed with Tesco’s chief executive Dave Lewis. He has overhauled the business by selling off much of the brand’s overseas interests, cutting prices to tempt shoppers in store and reducing the number of management personnel.
Read the full story here: https://www.telegraph.co.uk/business/2018/04/11/tesco-defies-retail-gloom-soaring-profits/
ASOS reports sales and profit increase
ASOS has reported a 22% UK growth and 31% international sales growth in the six months to February 2018. The clothing etailer also reported a 10% pre-tax profit growth to £29.9 million. The news comes as ASOS said that its web site visitor numbers had also topped 1 billion for the first time.
The brand’s chief executive said that despite the profit leap, it had also made a substantial investment in its future success, across distribution, logistics, technology and staff. It forecasts a global net sales figure of £4 billion.
Read the full story here: https://www.theretailbulletin.com/news/asos_reports_jump_in_sales_and_profit_11-04-18/
Parents quickest to adopt voice search
New research from Publicis Media has revealed that parents and families are the earliest adopters of voice search. In a report entitled, “The Rise of Voice”, Publicis studied more than 70 “highly engaged” users of voice assistants in the UK and US and pulled in date from around 20,000 online reviews. It found that while many users were hesitant to use voice search due to the unknown factor and privacy concerns, there is still an expectation of a personalised experience. Brands getting that right can expect to enjoy better unaided brand recall than that offered by TV. Already, parents and families are emerging as the trailblazing group and are the most prolific early adopters of voice technology.
Read the full story here: http://www.adweek.com/agencies/parents-and-families-are-the-biggest-supporters-of-voice/