Hotter Shoes says trading over the Black Friday period was 10% higher than at the same time last year as UK manufacturing helped it to meet strong demand for direct-to-consumer sales.
The footwear brand says revenues have been boosted by strong demand and direct-to-consumer sales. The brand has benefited from making many of its products in its own Lancashire factory, an advantage during ongoing supply chain issues as a result of factors including the Covid-19 pandemic. It also sources from factories in Asia that are now reopening following pandemic lockdowns.
Some 65% of Hotter’s sales now take place online, following an overhaul of its channel strategy last year. That included investment in direct-to-consumer digital sales, and the launch of an augmented reality smartphone app featuring
In the half-year to July 2021, Hotter Shoes earnings before interest, tax and one-off costs (EBITDA) came in at £2.5m on sales of £25m, according to the latest figures from parent company Electra Private Equity.
The update comes as Electra prepares to move to the AIM market of the London Stock Exchange as Unbound Group, subject to shareholder approval. The newly renamed group will have its own Unbound digital platform aimed at customers aged 55 and over. The new platform, set to be launched early next year, will sell a range of lifestyle and wellbeing products, from Hotter Shoes – the key asset in the Unbound portfolio – to third-party brands. The new platform will also provide services and a community site.
Hotter Shoes chief executive Ian Watson – who will be chief executive of Unbound – says: “We are pleased with the steady progress of Electra’s transition to Unbound and our own momentum as we focus on developing our curated, digital platform and building a network of targeted brand partners.
“As we prepare for our launch early next year, we are confident that we will hit the ground running, given Unbound will be underpinned initially by the strength of the Hotter brand, which continues to trade well despite current headwinds, with trading over the Black Friday period up 10% from last year.”
Hotter Shoes founded in 1959, is a Top100 retailer in RXUK Top500 research.
