Essential reading for retailers and suppliers in the home improvement market

Turnover falls at Robert Dyas as Theo Paphitis warns of “perfect storm” for retail

Published: 6 January 2017 - Jenny Wonnacott

Owner of Robert Dyas and former Dragon's Den star Theo Paphitis has warned retailers that they are facing a “perfect storm” this year as his retail group posted its full year results.

Sales were down at Robert Dyas, and boss Theo Paphitis has warned that retailers are facing “the perfect storm” this year
Sales were down at Robert Dyas, and boss Theo Paphitis has warned that retailers are facing “the perfect storm” this year

Turnover at Robert Dyas fell by 4.4% for the 2016 sales period. Mr Paphitis also saw a decline for his stationery business Ryman which dropped revenue by 2.5%, though his lingerie retailer Boux Avenue grew sales by 21.5%.

He said, “Working with heritage brands Ryman and Robert Dyas that have both been around for over a century, the pace of change is more challenging and opportunistic than ever. Having started the Boux Avenue business only five years ago, even in this relatively short space of retail history, we have seen our business plan adjusted to take into account the momentous changes in shoppers' habits.

“Retail, especially within bricks and mortar in the UK, is facing the perfect storm. As mentioned above, changes in consumer habits, the impact of the weaker pound against the dollar and euro, coupled with increasing labour costs, the apprenticeship levy and the sucker punch in the lack of an honest and equitable reform of what is an archaic system of business rates.

“The facts are that footfall and activity on our high streets and town centres are in decline but businesses like ours are about to see an overall increase instead of decrease in their rates bill in the next 12 months.”

Speaking of his businesses' results, he added, “Once again, we observed the further shift of our customers to purchasing online with growth in this channel across the group being over 50% ahead of last year.”

Comments


(Your email address will not be published)
Already Registered?
Sign In
Not Yet Registered?
Register
Printable View E-mail Bookmark
*

What do you think?


Are we seeing a rise in consumers interested in smart home security?



Latest reader comments

re: A guide to construction safety for home builders

Daniel Wood
Safety should always be the first priority. If followed properly, these precautions are all we need to tackle all unwanted accidents. I ...

re: Further Homebase closures ahead

Shaun Collorick
Cheltenham homebase has closing down signs outside, but not Gloucester homebase.... Yet!...

re: B&Q sales slide, as Screwfix decision to exit German market costs millions

B&Q bob
No surprises from us on the shopfloor management paralysed by fear of jobs and to weak to take chances so bumble around. Ranges boring, and ...

re: Further Homebase closures ahead

Miss l'a tesha gc Wilson
Please keep me updated regards all Store closures Thank you...

re: Graham Bell to head up B&Q as part of Kingfisher reshuffle

Peter Earl
I HOPE GRAHAM BELL THE NEW CEO OF B&Q GETS TO GRIPS OF THE COMPANY VERY SOON.MY WIFE WENT FROM SHADOXHURST TO GILLINGHAM TO GET SOME ...

Most read stories