Woolworths Holdings Limited (South Africa) has revealed that consumer behaviour forged during the pandemic has continued into the first 20 weeks of the new financial year, despite the easing of restrictions across Australia.
"The changes in consumer behaviour which prevailed during the last quarter of the 2020 financial year have largely persisted, with store footfall, particularly in large shopping centres, CBD and airport locations, at significantly lower levels than the prior period," the business said in a trading update.
"Recovery in Australia was hampered by the imposition of the stage four lockdown in the state of Victoria from 6 August to 28 October, resulting in unplanned store closures," Woolworths Holdings said.
While impacted by the Victorian lockdown, Woolworths' Australian businesses David Jones and Country Road Group, continued to experience strong digital growth in the period.
David Jones reported a 11.7% decline in sales and a 14.6% slip in comparable stores, with its Victorian stores trading 76% down on the prior period.
However, excluding the Victorian stores, on a total sales basis, the balance of the department store's business grew by 6.7% – boosted by the shift to online which grew by 65% and contributed 19.6% to total sales in the period.
Similarly, Country Road Group's sales declined by 10.9% and by 7.7% in comparable stores, while its Victorian stores traded 76.7% down.
With the Victorian stores aside, the balance of the Country Road Group business grew by 6.5%, aided by online sales and the shift to casualwear.
Country Road Group recoded digital growth of 55.7% with online sales contributing 34.7% to total sales over the 20-week period.
Overall, Woolworths Holdings' group sales for increased by 3.5% compared to the 20 weeks ended 17 November 2019 and by -2.0% in constant currency terms.