French Connection Sees Significant Growth Online
In the period up to the end of January 2013, clothing giant French Connection Group reported that their revenue had fallen to £197.3 million, down almost 9% from last year. The company also reported that they had suffered a pre-tax loss of £10.5 million after last year’s positive news of a profit. French Connection also operates in Homeware as well as fashion, counting brands Toast, Great Plains and YMC as some of their other business interests.
This week the company have said that following an increase in investment in their channel, they had seen a significant increase of 10% in their online sales and that e-commerce had helped them at a time in which their overall sales figures were down.
They reported that an increase in different multichannel services such as a ‘Click and Collect’ program and the ability for customers to take their online purchases back to a store in the event that they weren’t suitable, were two of the main reasons for the growth of e-commerce.
To continue to improve and perfect their services, the group are to set up an international distribution network, to remove any stores that do not perform to standard, include more products that are customer focused, as well as managing current merchandise better. Finally they would employ a multichannel marketing manager as well as a core strengthened management team.
The Chief Executive of the Group, Stephen Marks commented that “The significant changes we have already and will continue to make help us to improve our financial performances in this most difficult and competitive of markets”. He further added that some of the initiatives the group had taken to improve sales growth had already yielded “interesting” results and although it was early days there was good progress being made and momentum being built.