Truworths to roll out lay-bye option in a move to boost sales
CEO Michael Mark predicts the offering could add 2% in extra sales at the fashion retailer
Fashion retailer Truworths, which earns nearly 70% of its revenue in SA from credit sales, is rolling out a lay-bye option in an attempt to boost sales in a tough economic environment. The option, which allows customers to pay off an item over a period of time before taking ownership of it, could add 2% in extra sales, CEO Michael Mark told Business Day. Lay-byes have been tested over the past year in about 20 stores, and the plan is to roll it out widely by the fourth quarter of 2018, he said. The century-old retailer, whose brands include YDE in SA and Office in the UK, blamed a tough economic environment in SA and the UK for its lacklustre performance. Merchandise sales declined 2.7% year on year for the 52 weeks to R17.5bn, while headline earnings per share were down 5% to 615.7c. These numbers are somewhat skewed as the prior year had 53 weeks. Consumer spending under pressure "There are always product mix issues [that affect sales]. But what we are seeing now is a slump acro...