Behind Kingfishers stellar numbers
Screwfix is the eCommerce jewel in the Kingfisher crown
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Results for the last 12 months were posted earlier today and it's clear we've all been spending on DIY during the lockdowns of 2020.
Screwfix grew eCommerce twice as fast as B&Q, despite already being 5 times the size.
That is a phenomenal performance!
Overall Kingfisher eCommerce sales rose 158% and took 18% of group sales (+10ppts compared with 19/20).
The core driver of the eCommerce performance was a massive increase in Click & Collect (C&C) sales of +226%;
This drove 78% of eCommerce sales (+16ppts) as customers adjusted to lockdown and the opportunities it gave to some.
In Screwfix, 89% of online orders were picked in-store, ex-Screwfix (+32ppts on the year). This shows great inventory management.
Kingfisher eCommerce peaked at over 1.5m orders a week in summer 2020.
There was a strong improvement in website customer NPS (not specified) in the UK and France over FY 20/21
When you compare the customer experience you can see the benefit of Screwfix:
C&C (aka BOPIS) is available in 1 minute at Screwfix,
but it takes 1 hour at B&Q and Iberia & 2 hours at Brico Dépôt France, Castorama France and Poland.
Combined with massive numbers of small, local stores you can see why the Screwfix proposition is right for 2020/1 - plans are already in motion to increase store numbers from 700 to 900 in the UK.
DIY stores were not closed in the first lockdown but big-ticket product areas like kitchens were not open.
Screwfix was categorised as an essential retailer from March 23rd 2020 and switched to their C&C model seamlessly.
Kingfisher stores could not adapt as quickly due to their size and layout and the public generally avoided large stores other than supermarkets in lockdown 1. Consumers adopted e-commerce massively but then gradually had more confidence in stores.
NB All figures taken from the Kingfisher report issues 21st March 2021