Love Island tie-up helps boost profits at Superdrug
Superdrug’s tie-up with Love Island has helped drive a 16% profits leap as fans of the hit TV show snapped up bronzer, make-up and hair products.
The high street chain posted pre-tax profits of £92.9 million for 2017. Up from £80.4 million the previous year, with like-for-like sales 2.5% higher.
Superdrug, which has continued its sponsorship of Love Island this summer, also said the trend for social media facemask selfies helped skincare sales rise 10%, with sheet-masks and bubble-masks popular products.
The group said overall revenues rose 2.3% to £1.2 billion as it bucked wider woes on the high street to open 22 more stores. Taking its total at year-end to 804 across the UK and Ireland.
It invested £31 million last year, mainly on the new stores and refurbishments as well as its digital IT capability.
Peter Macnab, chief executive of AS Watson health and beauty division in the UK, said: “We are pleased with the company’s performance, and the continued recognition of our colleague’s customer service efforts.
Its annual results showed Superdrug’s share of cosmetic sales lifted to 32%. While sales of healthcare and wellbeing products rose 8%.
Website sales rose by more than 30% over the year, helped by a new mobile app and better delivery options.