MyDeal has begun FY22 in a strong way, reporting an increase in its gross sales, active customers and retention. But CEO Sean Senvirtne says the retailer will maintain a 'right not rushed' strategy moving forward.
The online retailer reported Gross Sales of $69.5 million, up 49 percent on the previous quarter and up 22.6 percent on pcp. Customer receipts for the quarter were $74.1 million, also up 49.4 percent on pcp.
Returning customers now make up the majority of online transactions (nearly 60 percent), which has continued to grow throughout the year, compared to 49.7 percent at the same time last year. Its active customer base is inching to one million, now sitting at 930,000 – up from 894,000 in June 2021 and 670,00 in September 2020.
The retailer has reported a cash flow of $5.5 million for the quarter, which is primarily reflected through its QoQ growth. At present, the business has $47.2 million cash in the bank, as at 30 September 2021.
“I’m very pleased to announce another record quarter despite cycling a period of unprecedented growth,” CEO and Founder Sean Senvirtne said. The CEO explained that the key focus for MyDeal’s strategic focus would be focussing on slow and steady growth.
MyDeal has recently undergone a brand refresh | via MyDeal
“Through relentless focus on our key strategic initiatives, doing it ‘right not rushed’ and executing to plan we have been able to grow faster than the industry average,” he explained. “Operating in a growing and underpenetrated online household goods market within Australia, MyDeal continues to acquire more market share and will continue to thrive in the years to come.”
MyDeal’s launch of third-party brands was in line with its strategic planning. This third-party expansion covers manchester, kitchenware, tech, homewares and appliances – its in-stock third party sales were approximately $1 million in September.
The MyDeal App currently accounts for more than ten percent of total sales, said Senvirtne. This app is a “driver of acquisition and loyalty”, further cemented by its recent brand makeover. “With [the] customer at our core, we have worked to ensure our sellers and products meet a high standard, offering market-leading value coupled with a great overall experience. It’s amazing to see the team’s initiatives come to life,” Senvirtne said.
MyDeal also plans to roll out its ongoing brand strategy, which began in August with a brand refresh, including updated typography, logos, colour palette and tone of voice. “The revitalised identity allows us to connect with a new generation of online shoppers by bringing to life the MyDeal shopping experience in a fun and approachable way, at MyDeal, you really can buy happiness. This is our first step on the journey to making MyDeal famous,” said Ryan Gracie, Chief Marketing Officer at MyDeal, in August.
The next steps of the rebrand include a national rollout of a multi-channel brand campaign across TV, radio, BVOD, OOH, sporting events and digital broadcast channels. While very few details are available of this new campaign, the business explained: “We know that no matter what customers want or need, they can MyDeal It!”
“All the strategy work, all the planning and rock-solid execution has culminated in MyDeal starting FY22 in a strong position, and we’ve only just begun,” shared Senvirtne. “We are looking forward to what we predict will be a highly successful 2022 for the company, as we position ourselves to capitalise on the increased demand for online shopping and grow MyDeal into Australia’s leading online marketplace for home and lifestyle products, with a growing and healthy cash balance of $47.2 million and over six million products available to our growing customer base of almost one million Australians.”
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