Primark has enjoyed significant growth for its licensed lines over the past year, with a growing portfolio of brand partners – including Disney, Netflix, NFL, NBA and Mattel – helping to attract consumers.
The retailer saw its revenues increase 15% for the 52 weeks ending 16 September 2023, exceeding expectations from a year ago.
This reflects a sales increase in all of its markets driven by a number of factors, including carefully selected price increases taken to partially offset high and volatile input cost inflation, well-received product ranges and the resulting appeal of its offer to new and existing customers.
Good footfall, strongly performing new stores and the rollout of an enhanced customer website also contributed to the strong sales performance.
Sales increased in both halves of the year: in the first half, by 17% to £4.2bn against the same period in the prior year; and in the second half, by 14% to £4.8bn.
Throughout the year, Primark further broadened its ranges and collaborations, expanding its Edit collection – its more premium essentials range for women – as continuing with its successful UK and European collaborations with Stacey Solomon, Kem Cetinay and Paula Echevarria. It also launched its first truly international partnership with Rita Ora, whose first collection sales have surpassed expectations.
Sales of licensed products grew significantly year-on-year, in particular over Christmas across Primark’s growing portfolio of brand partners including Disney, Netflix, The Grinch, and US sports partners NFL and NBA. The summer Barbie collection with Mattel also proved very successful.
Like for like sales growth was 8.5% for the year. In the first half, like for like sales rose by 10% driven by higher average selling prices and higher unit volumes partially offset by smaller basket sizes.
In the UK, sales increased by 11% against the previous financial year, driven by like for like growth of 10% helped in particular by a new customer website that has now been running for more than a year.
In Europe excluding the UK, sales increased by 18% on the previous financial year, with like for like growth of 8% despite weaker trading at times due to unseasonable weather.
Meanwhile, in the US, total net sales were 24% higher than last year driven by space expansion.
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