A significant surge in smartphone orders has led to a notable increase in revenues for a prominent eCommerce company based in the North West.
Annual revenue at the company rose by 9.9 per cent to £1.39 billion, propelling revenue growth for its parent company, resulting in a 1.5 per cent increase, nearing £2 billion. Meanwhile, the number of customers at the company grew by 8.5 per cent to a total of 2.82 million, which contributed to a 2.2 per cent rise in the group’s overall customer base, surpassing 4 million.
Smartphone orders have been instrumental in this growth, with a 39.5 per cent increase, representing 25.4 per cent of all orders across various devices. The company noted that app users visit the site twice as frequently as other users and exhibit a ten per cent higher conversion rate compared to other sales channels. Mobile device sales now constitute three-quarters (74 per cent) of total online sales, up from 69 per cent in 2017.
In his comments, CEO Henry Birch stated, “Four months into my role as CEO, I’m hugely excited by the potential of the company. Today we’re announcing results that show a good underlying performance in a competitive external market. Impressive growth in our main brand, and increases in group revenue and EBITDA show the resilience of our business, which is mobile-first, multi-category, and both a retailer and a credit provider.”
He further added, “In the last year we’ve become an even more customer-centric organisation, growing customer numbers to over four million. We’re trading in line with our expectations and preparing for the important peak season. It’s a changing and competitive market but our growth trajectory and differentiated customer offer gives us confidence for the year ahead.”
The substantial rise in smartphone orders has evidently played a crucial role in driving the revenue and customer growth for the company, illustrating the increasing importance of mobile commerce in the current market.