Endeavour Drinks sales in the last quarter were up 21.4% to $2,654 million led by sales at Dan Murphy’s and a 57.6% increase in eCommerce sales compared to this time last year.
Same-store sales[1] at Endeavour Drinks rose 20 per cent in the September quarter, after rising 21.2 per cent in the June quarter.
Woolworths’ quarterly report attributed the eCommerce sales increase in to higher traffic and conversion rates which offset a decline in average order value. eCommerce growth was particularly strong for BWS, more than double last year, albeit from a lower base.
Endeavour Drinks’ sales continue to benefit from in-home consumption with Father’s Day trading performance a highlight. Spirits was the fastest growing category in Dan Murphy’s and BWS enjoyed continued growth in sales of gin.
Wine sales remain strong driven by premium wines and strong growth in Pinnacle brands, particularly at Dan Murphy’s. Beer sales benefited from continued craft beer growth.
The support of local producers continues to be a priority at Endeavour Drinks with the business fast-tracking products from local producers into stores and online as well as extending the shorter payment terms for small suppliers.
BWS launched its Local Luvva campaign, promoting 110 local independent brewers, winemakers and distillers across billboards, digital screens and social media.
Dan Murphy’s loyalty program (My Dan’s) cycled its relaunch with more than a million new members added over the past 12 months to 4.8 million members at the end of the quarter.
During the quarter, 10 BWS stores were opened, and five stores were closed ending the quarter with 1,374 stores. Dan Murphy’s store network ended the quarter with 242 stores following the opening of one new store at Frenchs Forest.
Looking ahead, Brad Banducci, CEO, Woolworths Group said, “For the rest of the calendar year, we expect elevated sales and costs to continue as customers spend more time at home, continue to embrace eCommerce and we ensure our stores and DCs remain COVIDSafe.
“Christmas is only 50 days away and it will be very different to previous years; however, we have worked hard as a team to ensure
that all Woolworths Group businesses provide our customers with the opportunity to celebrate the spirit of Christmas in an enjoyable, affordable and COVIDSafe way.”
[1] Same-store sales means the sales increase with all new stores removed (i.e. comparing the same set of stores over the time period).
