CLOTHING retailer Quiz saw recent positive momentum continue through the festive period, with sales up 31.9 per cent in the seven weeks to 6 January.
The Glasgow-based “fast fashion” group, which listed on the stock exchange in July 2017, said the performance “continued good growth across the group’s omnichannel business model as well as the increasing awareness of the Quiz brand”.
But growth across its high street stores and concessions lagged behind internet sales. Quiz standalone stores and concessions saw sales increasing by 11.6 per cent over the period.
Internet sales grew 119 per cent, driven through Quiz’s own website and the use of third-party websites, such as next.com.
Since its flotation, which valued the business at £200 million, Quiz has concentrated on growing online and international sales, but with the UK high street experiencing mixed fortunes over the Christmas period, management was pleased to trade in line with expectations.
Tarak Ramzan, chief executive, commented: “This growth reflects the strength of our brand and the appeal of our products to customers who want the latest looks at fantastic value.”
Finance director Gerry Sweeney added: “It’s been good to get through [our first Christmas as a listed business], and we’re getting used to the extra level of scrutiny that comes with that.”
The business held firm on its prices ahead of the traditional sales period, allowing the value aspect of the range to drive momentum through the period.
Over the period 70 per cent of sales were at full price. “We’re not like a retailer where everything goes on sale on Boxing Day,” said Mr Sweeney. “What we’ll do is put something on sale if it is not working, to sell it through and give that space to something which is working. So there is an element of discounting all year round.”
Discussing the huge uplift in internet sales Mr Sweeney said, the investment in expanding its distribution centre last year had been a major factor in the growth.
He added: “The Next website is the biggest clothing retail outlet online in the UK, with sales of £1.6 billion, having access to that gives our products a much wider base.”
International sales, another major focus for the company, increased by 51.1 per cent, lowered to 46.9 per cent when foreign exchange losses are factored in.
The retailer’s strong performance comes as the high street faces pressure from consumers cutting back on their spending.
On Tuesday the British Retail Consortium reported that in the last quarter of 2017, there was a 4.4 per cent fall in non-food retail sales in stores on a like-for-like basis.
Referring to the pressures mounting on retailers as consumers begin to cut back on spending, Mr Sweeney said it would not impact the retailer’s strategy.
“There will be no changes to the way we think. When people are under financial pressure the value aspect comes through. That is key to our offering so plugs into our strengths.
To that end, Mr Sweeney said the economy is not something board discusses too often, “we’re all about our offer,” he said.
Yesterday also saw a positive festive updates from high street retailer Ted Baker. The company, which was first established in Glasgow in 1987, saw overall retail sales climb 10.5 per cent.
Meanwhile Moss Bros saw shares slide more than 20 per cent yesterday on a profit warning, with like-for-like sales up 1.6 per cent in the 23 weeks to January 6.
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