Bensons for Beds returns to profitability despite tough trading conditions
UK bed specialist Bensons for Beds has continued its positive sales momentum over the year in a tough market, posting a full year +7% LFL sales growth for year ending 30th September 2023.
The results follow the retailer’s consistent sales progress in Q1 (7%), Q2 (9%), Q3 (8%) and Q4 (7%).
The news comes on the back of a successful transformation strategy, which has seen the business return to profitability despite unfavourable weather and reduced consumer spending affecting footfall, under the leadership of Nick Collard, who became CEO in May 2022, and his team.
During the last 12 months, Bensons has made strong progress including the growth of market share in its core categories and significant gains on the brand’s eCommerce channel – sales increased by +22% year on year, driven by the continued investment in omnichannel and leadership. The retailer has also reported an increased store footprint and conversion with 14 new store openings across the year including Bensons re-entry into markets such as Peterborough and Speke and new catchments including Edinburgh Craigleith and Edrington.
Following significant investment in its customer service and delivery experience, the firm have improved NPS scores by 15% which follows the additional innvestment in a series of senior hires to help strengthen the leadership team including a new Chief Retail Officer, Head of Central Operations, HR leadership team, Head of Internal Communications and five new Regional Managers
The successful acquisition of eveSleep from administration and subsequent online relaunch supported the business in returning the brand to profitability in less than 12 months and delivering a solid return on investment.
During Christmas 2022, the brand launched a nationwide partnership with homeless charity Crisis which included a £5 donation for every ‘Simply by Bensons’ mattress sold, further supplemented with a programme of company-wide fundraising such as the sponsorship of its biggest event of the year – The Icebreaker Challenge. Thanks to Bensons support, donations have been put towards funding Crisis’ all year-round services as well as its Crisis At Christmas appeal.
Nick Collard, CEO for Bensons for Beds said: “The last 12 months has been tough for the retail sector as the cost of living continues to hit consumer spending hard. We planned for this, and alongside last year’s acquisition of eveSleep, this has put us in a strong position to offer a breadth of quality sleep solutions at affordable prices – delivering an even more profitable business through consistent and steady growth.
“Going into next year we are conscious that the market will remain challenging, particularly for big ticket items, but as a business we have confidence that what we are doing is delivering positive results. Bensons is a great brand and we have a massive opportunity to transform it into the ultimate sleep solution specialist that caters to today’s and tomorrow’s consumer. In 2024, we will continue to focus on the areas that are in our control; building our reputation for delivering great value through excellent customer experience and stylish, quality products at affordable prices, matched to all types of sleepers.”
