Majestic Wine is setting up its own in-house ecommerce team as it looks to grow its online operations. At the same time it is investing in its data analytics capacity and in customer relationship management.
The strategy of online growth runs alongside plans to increase store numbers to more than 300, and there will also be investment in new office space, a large distribution facility, expansion of the commercial sales team and staff training.
But, the company warned in a trading update today, that would hold back profits in the year ahead.
The new investment comes amid “challenging trading conditions” in the current financial year that mean, the company said today, that full-year profits were likely to be flat. The company says Nielsen data shows it is maintaining a market share of 4.1%. Like-for-like sales increased by 2.8% over the Christmas period.
Chief executive Steve Lewis said: “The Majestic proposition remains compelling to the consumer and our future growth prospects remain bright. I am confident that the investments we are making over the course of the next 12 months will drive future shareholder value.”
