Iceland enjoyed like-for-like sales growth of 2.0 per cent during its most recent full financial year thanks to changing consumer perception of frozen food and new store openings.
Like-for-like sales for the fourth quarter were also up (+4.9 per cent), according to the retailer’s figures for the 52 weeks to 24 March 2017, thanks to a record Christmas trading period.
Operational highlights of the year included a strengthened senior management team, including a new online director to continue the retailer’s strong performance in that channel.
Investment during the year including £2 million in a new development kitchen at the Iceland head office in Deeside to drive further NPD, while the retailer's Food Warehouse chain trebled in size with 24 new store openings. Trading mainly on retail parks, The Food Warehousestocks luxury and specialty food ranges, as well as value bulk lines.
Marketing during the year continued to centre round the ‘Power of Frozen’ campaign to change the perception of frozen food. New stores were opened in the Republic of Ireland, with a further nine planned for the rest of the year, and the retailer has begun a store refresh programme with new concept stores in London and the south of England.
Executive chairman Malcolm Walker said: “The set of strategic initiatives we began in 2015, with the aim of differentiating Iceland, changing consumer perceptions and so restoring growth to our business, bore fruit in the year under review.
“Like-for-like sales performance improved throughout the year to make us one of the UK’s fastest-growing food retailers by the year-end.”
Walker said Iceland has devised a new format for its core Iceland stores, including in Clapham Common with improved in-store navigation and presentation.
Iceland also continues to benefit from its partnership and listing of branded ranges from Slimming World, Greggs, Millie’s Cookies and Pizza Express, Walker said.
