E Point Perfect – Interesting and beneficial content

Shoppers flocking to Greggs despite cost inflation, says CEO Roisin Currie


The bakery chain plans on opening 150 new stores this year
// Greggs says shopper behaviour have not changed despite the cost-of-living crisis
// The bakery chain increased prices in mid-May but plans to open new stores thanks to demand

Greggs price rises have not put off customers who still see the bakery as great value.

The bakery chain, which plans to open 150 new stores this year, increased its prices at the back end of 2021 and further increased prices in mid-May this year with its infamous sausage roll rising by 10p to £1.15.

New chief executive Roisin Currie, who took over from Roger Whiteside in May, said said it had not seen a downturn in customer behaviour despite the cost-of-living crisis, which is creating a dent in many retailers’ trading.

READ MORE: Greggs hires former Tesco CEO Matt Davies as new chair

Currie said that Greggs would keep its prices under review.

“We are constantly watching the competitive market and we’re constantly managing the cost inflation that we’re having to deal with,” she said.

“We’re not at all complacent in terms of how important pricing is for customers. We want to dial up some of the great value that we offer. We haven’t seen any change as of yet in shopping habits.”

Greggs unveiled a 27.1% sales rise to £694.5 million in the half year to 2 July. Currie said the chain’s £3.50 meal deal plays a huge success in its increased transactions.

She said: “We really do try and make sure that we’re offering those really great quality deals to our customers. Value will continue to be our focus.”

Despite the surge in sales, Greggs unveiled flat profits over the half, which it said reflected the re-introduction of business rates, increase in VAT and higher levels of cost inflation.

It also appointed former Tesco boss Matt Davies as its new chair. He joins the board with immediate effect, and will be appointed as chair in November, when the current chair Ian Durant, steps down.

Click here to sign up to Retail Gazette‘s free daily email newsletter


Source link >

Related posts

Next in talks for £10m stake in struggling lifestyle retailer Joules

Tesco and Pret a Manger scrap concession partnership

Asos hires new sportswear and outdoor director

Aldi joins the Big Four – will Lidl be next?

Asda chief customer officer to depart after less than a year

Amazon acquires Roomba manufacturer for $1.7bn