Perfume Shop, the specialist retailer controlled by global health and beauty giant AS Watson, increased UK and Ireland like-for-like sales by 8.5% over Christmas.

Online sales also rose strongly over the five weeks to January 2, delivering growth of 162%.

Perfume Shop managing director Jo Walker said the business had achieved an “outstanding” seasonal sales performance.

The retailer ran a Christmas TV ad campaign for a second consecutive year during peak period programmes such as X Factor and Coronation Street.

Perfume Shop opened five stores in 2009, bringing the total to 179, and said that in 2010 it will be “delivering an ambitious store opening and refit programme”.