Greggs sales growth hit by ‘softer’ conditions on the High Street
9 May 2016
- From the section Business
Bakery chain Greggs has seen sales growth slow in the beginning of 2016 after weaker High Street conditions in March.
In a trading update, the company said it had seen like-for-like sales rise 3.7% in the first 18 weeks of 2016.
However, that compares with a 6% increase this time last year.
Greggs said conditions on the High Street had been “softer” in March, but that they had recovered in recent weeks.
Those conditions were reflected in their own performance, the company said.
Despite that, Greggs said it had made a good start to the year.
It said that an improved product range – such as hot sandwiches, an extended breakfast menu and the introduction of the “flat white” coffee – had helped to increase sales.
“Input cost inflation remains low despite increased wage costs and, with a strong pipeline of product initiatives and plans to invest in our shops and supply chain, we expect to make progress in line with our previous expectations,” the company said in its statement.
In a move designed to appeal to the more health-conscious customers, Greggs also said it had broadened its range of fresh fruit on sale and upgraded a range of salads, as well as introducing new products such as “Teriyaki Chicken Noodle” and “Falafel with Houmous”.
Source: BBC Business