Topps Tiles is a leading tile retailer in the UK with approaching 20% of the tile market. In recent years, the group has also established a toehold in the commercial market through the acquisition of two small UK specialists, while 2022 saw the creation of an online-only division following the acquisition of Pro Tiler Tools in March and the launch of Tile Warehouse in May.
A long-running store optimisation programme was completed across the core Topps Tiles business in the year to 1 October 2022 (FY2022) through which the network has been reduced to just over 300 stores. This comprises 33 superstores and 14 clearance outlets in addition to its 250+ core stores.
The group continued its post-pandemic recovery in FY2022, with total sales rising 8.4% to £247.1m, bolstered by the new online-only division, while like-for-like store sales rose 9.4% on the back of a 19.6% surge in FY2021. While profits came under some pressure as trading costs escalated, the group remains solidly profitable, with its operating margin coming in at 6.0% in FY2022.
The retailer is investing in strengthening multichannel and is using technology to enhance the customer experience and inspire its shoppers. Recent initiatives include a series of visualisation tools.
Innovation rating: 2