Scotmid has praised its investment into food to go and technology for a 1.1% rise in turnover to £429.4m, despite “challenging trading conditions and tough economic headwinds”.
The Scottish co-operative society, which owns 182 food stores, said it had continued to roll out its Scotmid Kitchen food to go offer and bring in new products to “support sales growth”.
“It’s a very modular range which allows stores to start with a small offering and then as we build up that trade, we can add in other elements such as baguettes, pizzas, ice creams, which have been tailored to the location and customer demand in that area,” Scotmid CEO Karen Scott told The Grocer.
“It’s our key point of differentiation from the convenience sector and we will continue to invest in food to go, whether that’s adding to the offer or investing in new equipment to drive customer footfall.”
Scotmid has installed new self-scan equipment, tills and counters “creating a smoother customer transaction”, which had also helped to deliver the £4.5m increase in turnover, for the year ending 25 January, it said.
Scott explained the business was currently developing a new “data warehouse” to help it easily access sales data and extract reports for more informed business decisions.
Outside its food convenience division, Scotmid said its discount health and beauty retailer Semichem experienced reduced footfall during the year due to “poor weather and a reduction in non-essential purchases” amid the cost of living crisis. The festive period drove strong sales in the fragrance category, it added, however.
Its funeral division saw growth after the business acquired Fosters Funeral Directors in September, comprising of 24 funeral homes, which saw its portfolio double to over 40 locations.
“I am pleased with the results we’ve achieved,” said Scott. “Despite a challenging landscape for retail, we have not wavered in our commitment to invest in our stores and to introduce new technology, products and services that meet the shifting needs of our customers.
“These financial results demonstrate a robust trading performance by the society despite the undercurrent of economic uncertainty. I’m also proud of the work that our membership and community team do to deliver vital funding and support into the hearts of the communities we serve.
”From our charity partnerships with RNLI and Maggie’s to our Winter Giving campaign, Community Connect initiative and donations to charities like Erskine and the Jamieson Spatial Laboratory, Scotmid continues to seek out ways to improve people’s everyday lives, all year round.
“I would like to take the opportunity to thank all of our colleagues for their continued efforts to work at pace and drive success. I have every confidence in what we’ve achieved and in our ability to work together and face into any challenges that come our way.”
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