House of Fraser more than doubles profits with new strategy

 
Alys Key
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The chain saw an improved year after refurbishing some stores and reducing its core offering (Source: Getty)

Department store chain House of Fraser today revealed a 161 per cent spike in pre-tax profits for 2016, following a shift to focus the business on core customers.

The company, which has 59 stores, recorded like-for-like sales growth of 0.9 per cent, driven by the expanding online business which now accounts for 21.8 per cent of all sales.

This comes after the brand took a new direction with refurbished stores and personal offers to loyal customers in a bid to create what House of Fraser executive chairman Frank Slevin today called a “lifestyle-led experience” with consumers.

Slevin added: “The Retail environment is changing and we must continue to innovate, challenge and strive to be what our customers want us to be."

Plans for the year ahead include discontinuing five underperforming in-house womenswear brands, in line with previous moves to create a reduced and improved core offering.

House of Fraser also relaunched its website earlier this month, which it expects to further improve online margins.

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