JML reports strong sales performance with rapid online growth

Consumer products retailer JML has reported a strong sales performance for the quarter up to 31 July 2020, with online its fastest growing channel.

The company revealed that eCommerce demand surged over the three-month period, mainly through its own website, JMLdirect.com, but also via e-retailers such as Amazon, as consumers continue to shift to this channel despite the reopening of physical shops from 15 June. JML added that it had experienced a 22% increase in call centre volumes as more customers chose to order products by phone.

The retailer highlighted recent investments in its eCommerce and digital marketing capacity as being crucial to this performance and helping it continue to “capitalise on rapidly evolving shopper behaviour”. These include the development of a new company-wide Enterprise Resource Planning (ERP) system, a new Customer Relationship Management (CRM) system, and an upgraded web platform.

JML total direct-to-consumer sales grew 118% year-on-year in the quarter, while revenues made via the physical stores of retailers such as ASDA, Boots, Wilko and Tesco bounced back in August, increasing by 20% compared with August 2019.

JML believes its wide range of product offerings have enabled it to respond well to the Covid-19 pandemic, particularly home-based items that have proved popular with customers during lockdown. These include personal grooming, fitness, cleaning, storage, home office, car care and pet care products.

Ken Daly, CEO of JML, commented: “JML is cautiously optimistic about the remainder of the year.  The company is launching around 20 new products, all aimed at consumers who are spending more time at home. 

“Our management believe that gifting during the all-important Christmas period will have a bigger focus for shoppers than is normally the case, and JML’s competitively priced and innovative products that make everyday life easier will be highly attractive, particularly as household budgets will likely still be constrained.”

Yesterday, homewares retailer Dunelm reported a surge in sales in July and August.