Following the news that The Range reported a 10.6% decline in sales in its full year to the 29 January 2023, with a loss of £11.7m; Jamel Boughedda, retail analyst at GlobalData, offers his view: “The Range was up against strong pandemic comparatives which saw heightened demand for home and garden goods as consumers invested more in their homes. However, the current cost-of-living crisis has caused consumers to trade down to discounters across numerous sectors, with the likes of B&M growing strongly in 2023, making The Range’s sales decline a cause for concern.“The absence of more trend-led products and The Range’s lack of focus on essential items such as food and cleaning products has contributed to its sales decline during a period where discounters have been largely successful. With consumers returning to instore shopping, The Range’s muted store rollout in comparison to B&M and Poundland’s more aggressive strategies has likely harmed it, with a focus on relaunching Wilko’s website following its takeover likely to have a limited impact on its future sales growth.”
Boughedda continues: “The decision to snap up Wilko’s brand will have seemed like an easy one given the low price it paid; but The Range cannot rely solely on enduring demand for the Wilko brand to guarantee the success of this endeavour. Given the similarity between the two retailers, The Range must utilise Wilko’s ranges effectively to fully capture a new audience and boost footfall to its stores, and revamp Wilko’s image as it attempts to revive the retailer.”
