(Boursier.com) — In the fourth quarter, discretionary consumption remained sluggish across Europe, in a context of fluctuating inflation and low consumer confidence.
Houses of the world has invested commercially to face this context and support sales in the 4th quarter.
The Group also strengthened the execution of its 3C Plan (Customers, Costs and Cash) by focusing on the omnichannel customer experience through new and original initiatives:
Participation in Black Friday for the first time, offering attractive discounts which led to record sales,
Organization of events specially dedicated to the most loyal customers, offering a unique shopping experience to discover new collections, share gifts and exclusive benefits,
Introduction of the “Second Chance” offer in stores, offering second-hand or damaged Maisons du Monde products. This initiative, in line with Maisons du Monde’s CSR commitment, Good is beautiful, received the Circular Economy R-Award from the Responsible Generation Collective.
The Group continued its proactive management of the store portfolio, recording 4 net closures and 2 transfers to affiliation during the period. At the end of December 2023, the store portfolio reached 340 directly owned stores, including 18 net closures and 5 affiliated stores, as planned. This reflects Maisons du Monde’s commitment to efficiently allocate capital and adopt a disciplined approach to cash management.
SALES DETAILS FOR THE FOURTH QUARTER 2023
In the 4th quarter of 2023, the Group’s sales reached €329.6 million, reflecting a decrease of -7.9% vs. Q4 22, and marking a sequential improvement compared to the previous 9 months.
Online sales amounted to 78.8 million euros, recording a slight decrease of -5.3% vs. Q4 22. The dynamics of Black Friday helped improve the trend in online sales compared to previous periods. previous ones. The marketplace in France, Spain, Italy and, since the third quarter, in Germany have experienced strong growth (GMV Online Marketplace: +24%).
In-store sales decreased by -8.7% vs Q4 22 to reach €250.8 million, with France showing a comparatively better performance than other geographies. Greater product availability and attractive sales initiatives have helped improve conversion rates.
Decoration sales fell by 10.5% vs. Q4 22 (215.2 million euros). On the other hand, furniture sales recorded a better performance, with a decrease of -2.8% (114.5 ME) thanks to the availability of products, promotional initiatives, free delivery and installment payments without costs.
Geographically, sales in France amounted to 192.7 million euros and continued to demonstrate a certain resilience (-5.7% vs. Q4 22), notably thanks to the implementation of first local initiatives in marketing and merchandising.
International sales totaled €137.0 million (-10.8% vs Q4 22), also recording a sequential improvement compared to the previous 9 months. Despite some improvement, Germany remained the worst performing market while the Iberian Peninsula showed the most dynamic trend…
FINANCIAL CALENDAR
March 12, 2024: 2023 annual results and medium-term transformation plan.