Co-op sales surge over festive period
THE Co-operative Group, today reported a strong festive trading performance in its food stores.
Like-for-like sales for the three weeks to January 3 grew by 6%, taking like-for-like sales growth for the fourth quarter to 5.2%, and for the last 52 weeks to 4.9%
The Manchester-based giant, which is in the throes of completing a £1.5bn takeover of supermarket group Somerfield, said average year-on-year sales growth in its 700 refurbished and rebranded stores was 13%.
The group spent £200m on the refurbishments and pledged that a further 700 outlets would be given an overhaul this year.
Chief executive Peter Marks, hailed a “good trading performance” in an increasingly competitive market amid a tough economic climate.
He said: “We continue to make very good progress in all our target areas with great products, local convenience, good value and responsible retailing at the heart of our customer offer.
“Leading into and throughout the seasonal trading period, we sharpened our prices and strengthened our customer offer providing even greater value locally, backed by our best ever national TV advertising and local marketing campaign. This came on top of continuing new product development and maintaining a leading position in ethical trading.”
He added: “The unprecedented level of investment in store rebranding and refurbishment is paying back ahead of target as customers like the new look and feel of our modernised stores.
“This robust performance is particularly pleasing coming ahead of our exciting acquisition of Somerfield, which we will complete in the first quarter of this year. We look forward to 2009 from a position of increasing strength.”
The group’s Stockport-based online electrical business, The Co-operative E-store (coopelectricalshop.co.uk), also enjoyed a buoyant Christmas.
Like-for-like sales for the two weeks before Christmas were up 20 per cent, whilst Christmas week sales were up 32 per cent. Sales were excellent from all product groups, with TVs, food processors and coffee makers being the top sellers.
