Boux Avenue hails strong Christmas trading

Boux Avenue has reported a strong Christmas sales performance despite a decline in footfall at its 28 stores.

The multiple lingerie retailer saw like-for-like sales rise 8.3% in the six weeks ended December 24, building on an increas of 31.7% in the same period in 2014.

Business owner Theo Paphitis, who also owns stationery and homewear firms Ryman and Robert Dyas, said he was delighted to be able to deliver a rise in sales despite difficult trading conditions in November and December.

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"Across our Group businesses, we decided to focus on the factors that we could influence being conversion of visitors into spending customers and maximising the amount they spent with us in store and online. The development of Black Friday in UK retailing this year was predominantly an online event and had a further effect of disrupting the consumer’s purchasing habits which took time to recover.

"Adding this to the difficult trading conditions, coupled with unseasonal weather, retailers were competing hard for consumer spend with discounting appearing to feature prominently throughout the seasonal trading period. Having planned our promotions and offers, we decided to resist discounting further to protect margin and this resulted in increases in our margins across the board.

"This supports our belief that by delivering good product and customer service, together with convenience, customers will engage with our brands. Boux Avenue, in particular and experiencing its 5th Christmas, was able to build on a very strong performance last year in both sales and margin. Our trading in sale has also been positive in terms of both sales and margin on last year."

The Christmas results were announced as Boux Avenue revealed its financial performance for the full year ended March 28.

Total UK sales increased by 35.5% from £27m to £36.5m, assisted by strong like-for-like sales of 18.9%, building on total growth of 48.5% and like-for-like growth of 27.2% in 2014. Gross profit margins also increased by 2.7% in 2014/15.

Continued like-for-like growth for the remainder of the current financial year, including new stores opened, is expected to see sales at around £45m with further growth in margins and improvement in EBITDA.

The Theo Paphitis group will continue to develop the Boux Avenue brand with investment in all areas of the business including enhancement of our proposition, both online and in store.



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