Hotel Chocolat records strong results following ‘promising’ in-store performance
Hotel Chocolat have announced impressive revenue in their latest fiscal year results, seeing an increase of 21 per cent on 2020, while it is also up 24 per cent on 2019.
With the ten weeks from 19 April to 27 June boosted by the reopening of the high street, the UK cocoa manufacturer saw its sales grow by 63 per cent on the same period in 2020.
It appears the company has also been aided somewhat by the pandemic. The customer database has grown 66 per cent since December 2019, indicative of the fact that digital and subscription sales now form a “substantially” larger proportion of the company’s revenue.
The company say that increases in visits to the physical store, conversion and average order value have “combined to substantially increase customer lifetime value.”
Since the 12 April store reopening day, performance in small market towns and smaller cities has supposedly offset poorer performances in bigger cities and tourist locations.
While the results appear promising, it should be noted that the cocoa manufacturer has been helped by the £22m raised in equity in March last year.
That capital was invested in UK digital subscriptions and further UK chocolate factory footprint, which they say will open in the 2022 fiscal year.
Co-founder and CEO of Hotel Chocolat Angus Thirlwell said of the results: “I am fortunate to be able to say that the growth avenues ahead of us have never been better in Hotel Chocolat’s history. The strategies we put in place two years ago are now delivering accelerated growth.”
He added that their goal to become the most “tech-activated” chocolate brand is “moving forward”.
He continued, “Indeed, this year we expect more than 50% of our sales to come from digital, partners, and subscription-continuity models, reflecting how Hotel Chocolat is growing and evolving.”
It is a boost for the high-street chain who many would have expected to struggle over the course of the pandemic, but however have recorded impressive annual figures.
“We are proud to be making our chocolate in the UK and will be creating over 250 new roles this year as we grow our team, from designers and data gurus to engineers and apprentices,” Thirlwell concluded.