Big W Sales Up 2.6%, CE Down
Big W has continued its sales momentum, following the release of first-quarter results from the Woolworths group, posting a sales increase of 2.6% thanks in part to apparel growth.
Woolworths Group CEO, Brad Banducci has highlighted ‘Every day’s a big day’ brand platform as driving factor for sales growth at Big W, which has assisted Q1 sales results of $38 million, compared to $31 million last year.
Total sales jumped to $926 million with a comparable sales growth of 4.4%, which now marks Big W’s sixth consecutive quarter of relative positive sales growth.
Per basket items levels increased by 2.5%%, as a result of customer resonance bringing comparable transaction growth of 1.3%.
Store controllable VOC also continued its improvements, reaching 80% at the end of Q1, up one point from last year.
The VOC metric is measurement of the percentage of customers providing a rating of six or seven on a five-point scale.
The only ‘customer-universe’ (Big W’s retail categories) that delivered negative comparable sales growth was Leisure, impacted by a slowdown in gaming, audio-visual and DVD sales, which is slowly recovering through a healthier product mix across categories.
Big W posted strong online sales growth of 21.2%, unfortunately not nearly as strong as its 2019 increase of 159.1% in Q1, that being said, online penetration was higher at 4.1% compared to 3.3% in 2019.
Big W’s store network size remained unchanged, with 183 stores still standing in the first quarter of 2020.
The discount retailer will also be continuing its Free Books for Kids initiative which was launched by Big W in February this year.