This 15% rise in online sales tells us that the British wine merchant is embracing the rise of ecommerce. Nowadays, as retailers are relying less and less on footfall in stores, the focus has shifted towards online business; a strong online presence is therefore essential to future growth.
The company reported total yearly sales of £274.4 million, which compares with last year’s figure of £280 million; although full year pre-tax profit rose to £23.7 million from £23.3 million in 2012. The firm said that it is in ‘excellent’ shape, and has good progress across fine wines and new stores.
Majestic Wine now has 193 stores, making it the largest wine specialist in the UK. There was a 9% increase in yearly sales of wines priced £20 pounds or over, reflecting a higher disposable income across the country.
The company revealed a final dividend of 11.8p, which means the full year dividend comes to 15.8p; a slight increase compared with last year’s dividend of 15.6p. The market welcomed the news as increase in dividend indicates confidence in their future profit making ability.