Despite many exciting brand launches into resale over the last year, there’s been no meaningful movement in the shares of U.S. adults who buy and sell second hand merchandise, per Morning Consult data.
FINANCE
Primark (UK) said sales rose by 11% in the four months to January 17, adding that prices had also risen by about 8%. Same-store sales in the UK rose 15% during the four week period.
The company said that retail proved to be more resilient than anticipated at the start of the fiscal year.
H&M (Sweden) reported net sales grew 12% to $21.7 billion for the full year ended Nov. 2022. Profits fell 67.7% to $346.3 million as the group resisted raising prices in the face of surging costs.
- Q4 net sales rose 10% to 6.1 billion, with the company reporting an $84 million loss compared with a $3.5 million profit a year ago.
Crew Clothing (UK) said total sales rose 15% in the seven weeks to January 8, as consumers resumed holiday parties and going out.
LVMH (France) said sales hit £69.5 billion in 2022, while profit was £18.5billion, both up 23% from a year earlier. The company enjoyed a record year despite the Russia-Ukraine war, lockdowns in China last year and a global economic slowdown.
Superdry Plc (UK) cut its outlook for pretax profit to be flat for the fiscal year ending in April. That compares with a previous forecast for £10 million to £20 million profit ($12 million to $24 million) profit. Losses widened in the half-year, despite strong sales during the holiday season.
A round up of this month’s key movements in brand and retail finance. Read more
PODCAST
How to Turn Your Brand into a High Profit ‘Cult Brand’
What do companies like Apple, Harley Davidson and Disney, for example, do differently that turn their customers into loyal fans?
The advantages of creating a cult brand are massive – from customer loyalty to premium prices and enviable profit margins.
In this podcast Chris Kneeland, Co-Founder of Cult Collective and The Gathering, talks about what consumer brands, and B2B companies can do to elevate their brands.
You’ll Learn:
- The 8 Cult Brand Principles that’s a blueprint for any business who wants to develop cult-like customers.
- The Key Things that Differentiate Cult Brands from Everyone Else.
- What You Need to Measure to Determine if Your Brand is a Cult Brand
MARKET TRENDS
Key Trends that Will Define 2023
Even the most sage industry insiders and analysts are hedging their bets on what 2023 might bring. However there are seven key trends that brands, retailers and manufacturers need to take into consideration as they navigate what looks like it will be a year with many challenges – but lots of opportunities too. Read more
RETAIL
Sosandar (UK) has made a deal to sell its dresses and accessories in Sainsbury’s. The brand will initially be sold on Sainsbury’s e-commerce platform, and later will be available in some of its stores.
Foot Locker (USA) is pulling Sidestep out of Europe, where it operates 80 stores for the brand. The company instead will be focusing on strengthening its core brands.
MARKETS
Spotify (Sweden) announced that it will axe 6% of its workforce, joining the Silicon Valley bloodbath where every major tech company is making serious staffing layoffs.
Google (USA) is under pressure to make further staff reductions beyond the 6% it had already announced. Activist investor Sir Chris Hohn wants to see that raised to a 20% cut in headcount.
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