Carpetright to target more upmarket shoppers
Carpetright is to target more upmarket customers as it looks to move away from price focused marketing.
Alongside trialing a new logo, the chain will move to advertising that is ‘dramatically different in style and message from the predominately price-led theme adopted historically.’
Wilf Walsh, Carpetright chief executive has introduced more upmarket carpet suppliers such as Brintons, Ulster and Westex, expanded its laminate offer and is testing engineered wood floors. The chain is to follow in the footsteps of DFS and introduce product developed in associated with House Beautiful.
Wilf says the early signs of the new approach are positive, with growing like-for-like sales. UK like for like sales are up 4.9% in the eight weeks to 27 June.
This follows a 8.1% like for like rise in the previous six months and 6.5% before that. Full year pro-forma sales for the year to 2 May were up 5.4% at £396m. Operating profits jumped by a third to £14.3m.
‘Carpetright has endured a difficult period in the years since the onset of the financial crisis but retains the fundamentals of a leading retail business: high brand recognition, critical mass and a market leadership position. Our task is to build on these strong foundations and modernise the group to ensure it exploits these advantages to the full in the retail market of today,’ says Walsh.
‘We have made an encouraging start, establishing a real momentum for change within the business which is invigorating. While this is just the beginning of the journey to transform Carpetright, we have a clear direction and are already seeing positive results from a number of our initial activities which gives us confidence that we are on the right path.’