The Reject Shop admits that panic-buying frenzy during the coronavirus outbreak has given its sales a HUGE boost
- The Reject Shop experienced a huge sales increase amid virus panic-buying
- A business update showed that comparable sales had risen to 15 per cent
- The most products sold were for cleaning, groceries, toiletries and pet care
- Coronavirus symptoms: what are they and should you see a doctor?
The Reject Shop has experienced a huge increase in sales thanks to Australians panic-buying amid the coronavirus crisis.
The Australian chain store saw their sales skyrocket to almost six times those compared to the same period in 2019.
‘In the last three weeks, The Reject Shop has experienced a material increase in sales driven by customer concerns around coronavirus,’ the company said in a statement.
The Reject Shop (pictured) announced on Monday that panic-buying amidst the coronavirus had increased comparable sales for the Australian company by over fifteen per cent
The Reject Shop said the increase was particularly ‘driven by strong category performances in cleaning, groceries, toiletries and pet care’.
The news comes as supermarket shelves across Australia are cleared of essential household items such as toilet paper, grains and hand sanitiser.
The Reject Shop noted that the business update was provided ‘due to the increased interest in the performance of business in the context of the impact of coronavirus.’
The shareholder update analysed sales in the second half of the 2020 financial year and showed that the first eleven weeks overall were up by 5.7 per cent.
Comparable sales for the first eight weeks showed that they were up 2.3 per cent.
The three week period between 24 February and 15 March increased sales by a whopping 15.1 per cent.
The Reject Shop said that they recognised ‘the uncertain duration of the elevated sales activity pertaining to coronavirus.’
They also warned against assuming that these elevated sales would continue to the end of the financial year.
The Reject Shop’s Chief Executive Officer, Andre Reich, stated that he was pleased with the company’s performance.
He said that, while a large portion of the recent sales growth was driven by customer concerns around coronavirus, he was happy with the underlying comparable sales trajectory.
Mr Reich also praised the initial customer response to the improved product range.
The company also noted that stock was starting to be received from their suppliers in China.
The most Reject Shop products sold were for cleaning, groceries, toiletries and pet care. Pictured: A man panic-buying a stockpile of toilet paper in Woolworths