NEWS

Shop Direct reports first profit in a decade thanks to digital strategy

Published on: 27th October 2015

The retailer has seen its mobile and online sales grow, accounting for 81% of sales.

shopdirect480The company has moved away from its catalogue business following falling business, to focus on a digital strategy involving selling through online stores such as Littlewoods and Very.

Latest financial results show that Shop Direct’s internet sales accounted for 81% of revenues in the most recent quarter, and 78% for the full year up to 30th June 2013. This compares to the 18% of sales coming through mobile channels six years ago.

27% of purchases were made on tablets or smartphones, up 20% from 2012.

Alex Baldock, CEO of Shop Direct, said: “These results mark an important milestone in the journey of Shop Direct into a world class digital retailer. We’re delighted to report a positive pre-tax profit for the first time in 10 years, giving us a solid platform from which to move forward. Our digital progress also continues at pace, with online sales now exceeding 80%, almost two-fifths of those coming from mobile. Almost half of our customers (48%) now browse and shop our sites across multiple devices, with tablets in particular increasing in importance in the customer journey”.

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