Mothercare posted its first statutory pre-tax profit for five years in this morning’s full-year results. Here are five things the update told us:
Around 40% of online sales are now generated in-store via iPads. Every store assistant in large shops and every other store assistant in small shops has been given an iPad to use when helping customers. The initiative started in September 2014 and has now been rolled out to all stores.
A key aspect of Mothercare’s turnaround strategy is to move away from discounting. Two years ago, 61% of clothing and footwear was sold at a discount. Now that figure is 24%.
Focusing on premium ranges
As part of its strategy to move away from discounting, Mothercare instituted “good, better, best” price points. A fifth of sales are from its “best” ranges.
Shift from the high street
The retailer has moved away from the high street: 75% of its store estate is now in an out-of-town format. It renovated 40% of its store estate during the last financial year, and will renovate another 40% of stores over the coming year.
Mobile now accounts for 81% of online traffic and 58% of online sales, excluding in-store iPads.