Superdrug has joined the growing list of retailers posting robust Christmas trading figures. Over the five weeks ending 31 December, the health & beauty chain’s like-for-like sales climbed 16.0%, driven by investment in its online operations and store estate, as well as a focus on value across its own-label ranges.
The retailer noted that category successes over the festive period were in fragrance and cosmetics, which recorded their biggest sales week ever in the seven days before Christmas. In fragrance, Superdrug benefitted from the recent addition of more luxury brands. In cosmetics, sales were back to pre-Covid Christmas 2019 levels as consumers returned to socialising. Its Beauty Studio service also saw its biggest month in December, with nail services and piercing proving popular.
Superdrug noted that it consistently saw increased footfall across December, with average weekly transactions 19% higher than the previous year as budget-conscious shoppers sought out the best prices and promotions on the high street.
Moves during the year to highlight its value offering appeared to pay off, with a 20% rise in sales of its own brand lines during December and an increased uptake of its Members Only pricing for users of its loyalty scheme. Superdrug also introduced an Own Brand Price Freeze pledge across over 5,000 of its health & beauty items earlier in 2022. And it has focused on introducing the latest trending, high-performance products at affordable prices.
Superdrug continued to enhance its O+O (Offline plus Online) offering. This saw the launch of its online Marketplace in November 2022, with close to 7,000 new products available to shoppers. The retailer has also been rolling out rapid delivery services across both its beauty and healthcare offering.
Meanwhile, Superdrug continued to invest in its store estate, opening 11 new sites in 2022 and refurbishing a further 59.
“We are delighted to say that we had a tremendous Christmas at Superdrug,” said Superdrug’s CEO, Peter Macnab.
“Our commitment to accessibility means that customers continue to come to us for the very best in high street value, at a time when affordability really matters. Our continued investment in stores, market-leading digital progression and innovation in Own Brand has driven increased sales and market share growth.”
NAM Implications:
- How did your Superdrug sales compare in terms of fair share?
- (and how about fair share of investment?)
