Coles has recorded strong online liquor sales growth in the third quarter of the financial year, recording 50 per cent growth on the same period last year.
Online sales for the quarter were $33m, up from $22m in the third quarter of FY21, and ecommerce was a key driver in overall sales growth for Coles Liquor. Liquor sales revenue of $781m for the third quarter increased by 2.9 per cent on the prior corresponding period, with comparable sales growing by 2.8 per cent. Gross retail sales of $784m increased by 2.8 per cent.
The group said in its third quarter report: “Prior strategic investments in eCommerce supported sales growth of 50 per cent and penetration of 4.3 per cent. Further enhancements to the eCommerce customer experience were implemented during the quarter, including the introduction of live chat customer service functionality on each banner’s website.
“Despite the disruption from external factors, strategy execution remained a focus with investments in transformation continuing throughout the quarter.”
As well as online sales, the group reported that Liquorland remains its strongest performing banner and also helped to drive sales growth, “supported by a focus on delivering trusted value through lowering prices for longer”.
The group reported that at a category level RTDs and spirits “continue to be the key drivers of growth”.
The quarter also saw the relaunch of the Vintage Cellars loyalty program, VC Club, which Coles said, “has seen strong new member sign-ups and increased scan rates since re-launch”.
Renewal activity continued across all three Liquor banners with 36 renewals completed. For the quarter, two new stores were opened and five closed taking the total network to 928 Liquor sites.
Speaking on the group’s overall results, Coles Group CEO, Steven Cain, said: “Coles Group remains focused on our commitment to deliver trusted value for Australian families amid growing cost of living pressures driven by both local and global supply circumstances. In particular, we have the widest range of great value and sustainable own brand products in Australia.
“I want to thank our team members and suppliers for their continued hard work during the quarter to provide the best offer possible despite the impact of widespread flooding and record COVID-19 numbers.
“I would also like to thank our customers, community partners and state and federal governments for their help and generosity in supporting Coles’ efforts to assist communities impacted by flooding during the quarter.”
Overall in the third quarter, Group gross retail sales of $9.3bn increased by 3.9 per cent and group sales revenue of $9.1bn increased by 3.6 per cent.