Shop Direct sees sales boost from increased mobile traffic
Shop Direct, which owns brands such as Littlewoods, Very.com, and Isme.com, has revealed its pre-tax losses have narrowed by more than a fifth thanks to a rise mobile sales.
According to the retailer, sales from mobile devices such as tablets and smartphones doubled to 20 per cent of total sales in 12 months from June 2011.
Online now accounts for 80 per cent of Shop Direct sales.
Overall, sales grew 0.4 per cent, to £1.6 billion, while earnings before interest, tax, depreciation and amortisation grew to £108.9 million.
This rise in revenue saw Shop Direct cut pre-tax losses from £78.9 million to £57.7 million
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Alex Baldock, Shop Direct’s chief executive, commented on the results: “They reflect a business with a strong trajectory in a challenging business environment.
“Ebitda has increased and pre-tax losses have narrowed, which shows a resilient top line and greater discipline over cost control reflecting the company’s transformation into a digital retailer.”
He continued: “One of the biggest opportunities we see is the increased customer demand for m-commerce, where we have real expertise.
“A third of our website traffic is now generated from mobile devices and that figure continues to grow rapidly across all of our brands.”