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LONDON, United Kingdom — John Lewis captured British shoppers' online buying habits over Christmas, fueling sales growth at the U.K. department-store chain.
Web sales rose 21 percent in the six weeks ended Jan. 2, the employee-owned retailer said Wednesday, more than making up for a decline in store-based revenue.
John Lewis’s performance enabled the company to maintain its full-year profit forecast at a time when many retailers are struggling. Online sales accounted for 40 percent of revenue over the holiday period, up from 36 percent a year ago, showing the benefit of investments in distribution and information technology.
“The combination of our shops, website and fulfillment centers worked together effectively,” the company said.
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John Lewis’s performance over Christmas is expected by analysts to be among the best in the industry. The retailer has been at the forefront of a shift toward online ordering, with sales of items collected in-store gaining 16 percent and representing half of all orders.
Total sales at John Lewis rose 6.9 percent to 951 million pounds ($1.4 billion) in the holiday period, even though sales at the retailer’s stores fell 1.2 percent. All departments contributed to the growth, including clothing, where many retailers saw sales slide because of mild November and December weather.
The post-holiday clearance was particularly strong, with sales gaining 23 percent in the week ended Jan. 2, the company said.
John Lewis department stores are part of a partnership that also includes Waitrose supermarkets. Same-store sales at Waitrose fell 1.4 percent in the six-week period as the chain fought to combat a market dominated by the growth of discounters.
By Paul Jarvis; editors: Matthew Boyle, Thomas Mulier.
