Superdrug says service is key to 62.4% profit spike in 2015

4-Jul-2016

The A.S. Watson retailer has recorded £62.2m in profits for 2015, up from £38.3m in 2014

A.S. Watson retailer Superdrug has more than doubled its profits in 2015, with operating profit reaching £62.2m up 62.4% on the £38.3m registered in 2014.

The UK high street chain experienced strong growth in make-up and cosmetics accessories, with growth of 11%, while fragrance was also singled out as an “excellent performer” by the company.

But it is Superdrug’s in-store service that received praise from A.S. Watson Health & Beauty UK CEO Peter Macnab. He said: “We believe the service offered in our stores is key, whether it's our experts offering beauty and health services, or advice given about the latest products.”

He added: “We’ve also continued to invest in our store colleagues, to give them the tools they need to offer the best service and give great advice.  We are delighted that Superdrug is now recognized as a top 20 UK company for customer service [UK Customer Satisfaction Index].”

Treatments offered in Superdrug stores are now available in more than 200 of its 787 locations; services include eyebrow shaping, nail treatments and Glitter Lips sparkly lip treatments. Meanwhile, the retailer also provides travel vaccinations in 41 stores and nurse clinics in 24 stores, with advise about weight management also on offer.

Besides Superdrug’s physical store sites, its online proposition is also flourishing. Online sales through superdrug.com grew by more than 50% in 2015. Last year, the retailer started offering delivery to consumers in the Republic of Ireland for the first time.

Customers can also take advantage of benefits through the retailer’s loyalty programme, called Health & Beautycard. Through the programme, which now boasts seven million members, customers can receive personalised deals and pricing; sales grew almost 5% on 2014 through this service.

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