Richard Baker, Boots' new chief executive, has been set the challenge of driving up footfall.
The health and beauty retailer has stopped haemorrhaging customers, but has yet to come up with the right prescription to drive sales at Boots The Chemists (BTC).
Departing chairman and acting chief executive John McGrath said Boots had stemmed the year-on-year customer exodus, but Baker faced the 'huge challenge' of increasing footfall.
McGrath said: 'He (Baker) will have to make sure money spent on marketing and promotions does not just shift volume, but attracts people to stores. I am sure he will be utterly obsessed with footfall.'
Despite its best Christmas for a decade, Boots' pre-tax profits for the year sank nearly 17 per cent to£495 million on sales of£5.3 billion.
However, McGrath said the underlying performance of BTC and Boots Healthcare International was strong, although 'superficially it doesn't look so good.'
Boots continues to shape up ahead of Baker's arrival in September. A senior management cull has taken out 44 per cent of the old guard and the quest to save£100 million in costs continues, with 500 posts axed at the Nottingham headquarters.
Finance director Howard Dodd said BTC would build its seasonal business with an enhanced gift offer. Like-for-like sales hit 7.5 per cent in the third quarter, as stores became a 'destination for Christmas products.'
In the coming year, Boots will invest£134 million in new stores and refits.
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