Greggs hails strong sales growth
Greggs saw its company managed shop like-for-like sales climb by 11.1.% in the first 19 weeks of the year.
Total sales were up 15.1% in the period ending 11 May.
The retailer attributed the success to a continued increase in customer visits which has driven sales in both new and traditional categories. Sales were also helped by the roll-out of Greggs’ new vegan-friendly sausage rolls to all of its shops following limited availability in the early part of the year when demand outstripped supply.
Other categories experiencing strong growth have included Fairtrade coffee and other hot drinks at breakfast time, and the retailer’s post-4pm pizza deal which offers customers a pizza slice and a drink for £2.
Greggs said it is now anticipating that its full year underlying profits will be materially higher than its previous expectations.
It added: “The exceptional level of like-for-like sales growth that began in January has been sustained in the months that have followed, driven by increased visits to our stores. Looking forward, the sales comparatives from 2018 become progressively stronger but we now anticipate materially higher sales for the 2019 year as a whole than we had previously been expecting.”
During the period, Greggs opened 38 new shops, including 10 franchised units in transport locations. The retailer is keen to expand further into new food-on-the-go locations and is increasing its presence in travel hubs and places of work. Commenting on the strategy, Greggs said: “The success of sites such as our new unit at London Bridge station give us confidence to pursue further openings in similar locations.”
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