Festive promotions help Clicks outperform rivals
The retailer delivers 11.3% growth in turnover as 3-for-2 campaign proves popular with shoppers
The Clicks group delivered impressive growth in the 20 weeks to January, lifted by strong promotional offerings as it continues to show resilience in the tough economic climate. On Monday, the health and beauty retailer reported an 11.3% increase in turnover to R11.1bn, a significant improvement on the 8.6% growth reported in the previous period. CEO David Kneale attributed the sales growth to Clicks’s strong promotional offerings over the festive season, particularly the 3-for-2 promotion on Christmas gifts, which was highly attractive to consumers. The retailer, which has a R47bn market capitalisation, provides health and beauty products as well as pharmaceuticals through its wholesale unit and pharmacies. Casparus Treurnicht, portfolio manager at Gryphon Asset Management, said Clicks had been the outperformer in the retail sector, with only Dis-Chem posting similar numbers before. He said that in a competitive environment all retailers tried to sell higher volumes at discounted p...
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