Mixed fortunes for sales

Furniture and lighting sales dropped in September while flooring sales continued to show growth.

According to the Office for National Statistics’ (ONS) first estimate of September’s retail sales, the furniture and lighting sector in England, Wales and Scotland saw sales drop 6.47% compared with August. This was almost twice the rate of decline seen in August versus July.

Average weekly sales were £283,022,000.

Compared with September 2020, sales were down 5.6% and compared with September 2019 sales were 2.71% lower.

In contrast, the flooring sector saw sales increase by 3.57% compared with August, fall by 1.9% compared with September 2020, and rise 43% on September 2019.

Average weekly sales were £40,200,000.

For the year to date, furniture and lighting sales were 25.65% higher than 2020 but 9.29% lower than 2019. For the same period, flooring sales were 23.8% higher than 2020 and 10.71% higher lower than 2019.

Putting the respective performances into perspective, April 2020 saw the lowest furniture and lighting sales recorded since January 1986, at £61,406,000 a week. May 2021 was the highest recorded figure since January 1986, with weekly sales of £360,609,000.

Outside of the pandemic period, March 1986 is the lowest sales figure at £98,453,000 a week (and the third lowest since January 1986). The highest is £327,989,000 in November 2018 (the third highest since January 1986).

For flooring, April 2020 is the lowest recorded figure since January 1986 at £7,928,000 and November 2007 is the highest at £64,754,000. Outside pandemic times, £22,492,000 is the lowest figure, set in December 2015.

The latest figures are subject to revision by ONS.

Dunelm introduced new ranges

New furniture ranges helped Dunelm boost sales by 8.3% to £388.8m in the past quarter, to 25 September.

‘Given the strength of the comparative Q1 FY21 period, which benefited from pent-up demand following store closures during the first national lockdown, we are pleased to have grown sales across the total retail system during the quarter, with digital sales growing at 20%,’ says Nick Wilkinson, Dunelm ceo.

‘This strong performance demonstrates the strength of our integrated offer, providing customers with an attractive digital proposition, combined with local, friendly and convenient in-store shopping experiences.’

Victoria Group has told shareholders that profits for the full financial year will be higher than market expectations, amid strong demand and an absence of supply chain issues.

‘The UK logistics operation, which is going from strength to strength, continues to provide a compelling service proposition, driving market outperformance in Victoria's UK softflooring business,’ it told shareholders.

‘Victoria's Italian ceramic business has its full production output now sold out until Q2 2022, and management are actively working on plans to further increase capacity. Australian lockdowns, the longest in the world, will come to an end in October, and we are anticipating a strong contribution to H2.

‘The group's extensive LVT product range continues to grow. The artificial grass business goes from strength to strength. Since the pandemic, European consumers' preference for locally produced product has been noticeable.

‘With generally short and diversified supply lines, along with the group entering this period with a greater-thannormal level of raw materials having anticipated possible supply issues, the company is not experiencing problems with production and delivery of flooring.’

AIS has reshuffled its buying team. Emma Rackley, former Bensons for Beds group commercial director will become director of furniture and home when Julian Cox leaves at the end of the year.

After two-and-a-half years looking after AIS' cabinet division, Rebecca Maloy will now also take control of the buying group's beds division, while Rachel Brown will manage upholstery while retaining responsibility for sofa beds and garden furniture. This follows the departure of Gary Thompson.