Trading Update For the 21 weeks ended 30 May 2010 15th June 2010
Further to the trading update provided on 23 March 2010 at the preliminary results announcement, Ideal Shopping Direct today announces strong trading for the 21 weeks ending 30 May 2010.
Ideal Shopping Direct Plc -Annual Report and Accounts 2009 17th May 2010
Ideal Shopping Direct Plc is a leading multi-channel
retailer, selling products to consumers via its
television shopping channels and the internet.
Notice of Preliminary Results 25th Febuary 2010
Ideal Shopping Direct, a leading operator of TV and internet
shopping channels, will announce its preliminary results, for
the 53 weeks to 3 January 2010, on Tuesday 23 March 2010.
Our strategy is to exploit our position as a television and internet retailer to grow sales strongly, whilst maintaining operational efficiency and developing our multi-channel offer.
Products
We know that our customers want us to provide engaging and demonstrable products, exclusive deals and a convenient shopping experience across a range of price points.
Alongside our existing product lines we are introducing a range of branded products such as Sony, Ann Harvey, Vitamix and Polti, and extending some of our categories, such as gardening and food. We are also trialing broadcasts with a number of high street retailers, which enables us to offer our customers an extended range of products without stocking the products ourselves.
Customer service
As a home shopping retailer, delivery and customer service are a vital part of our overall offer. In 2009 we have taken steps to improve the speed and traceability of our product delivery and the quality of our customer service; this will remain an important area of focus for us.
Improving our
TV offer
Our Ideal World channel Ideal World is broadcast 24 hrs a day, 7 days a week, 365 days a year (live between 9am - 1am) on Freeview, Sky Digital, Virgin Media and Freesat. Our Ideal World 2 and 3 channels on Sky replay a selection of the most popular shows.
Since July 2009 we have been broadcasting our Create and Craft channels live on Freeview every morning, to complement our Sky Digital channel. Create and Craft has also been on Freesat from September 2009.
Growing our online sales
Our primary growth opportunity lies with the internet, and our focus is on driving our existing TV shopping audience to our websites, as well as employing other established marketing and e-commerce tools. In 2009 we have improved the functionality of our websites and introduced a range of new customer marketing initiatives, including email marketing and enhanced upselling offers.
Developing our craft business
We have a niche position in this market which we believe has significant growth potential. Craft is our largest category with a number of sales channels, including television, internet, our Create and Craft Club and wholesale. In 2009 we trialed a live Create and Craft channel five hours daily on Freeview and extended it to Freesat. We also relaunched our Create and Craft Club.
Operational efficiency
During 2009 we have focused hard on the control of working capital and stock management. As a result our cash balance was £9.2m at the 2009 half year compared with £8.4m at the 2008 year end and our stock was £3.0m compared with £3.8m at 2008 year end and down 59% compared with the 2008 half year. A thorough review of the overhead base has taken place and a number of significant cost savings negotiated. Cash, stock and costs will continue to be managed closely.
