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Spotlight is set to boost its bricks-and-mortar footprint and drive category expansion this year. 

Speaking with Ragtrader, Spotlight CEO Quentin Gracanin said the company will continue growing its store network across Australia and overseas.

“Throughout FY23, we have 8 new stores in the works, as well as around 40 store projects,” Gracanin said. “This includes renovations and specific category expansion projects.

“We will continue to expand our store network across Australia, New Zealand and Asia, whilst also driving our eCommerce side of the business, including further development of a complete omnichannel experience for our customers.

“Our plans include further investment in enhanced online experiences and instore services for our customers.

“Whilst the online area of our business continues with double-digit growth, strategically we will continue with investment in our bricks and mortar stores, as well as the online experience for our customers.”

Gracanin said that part of the 40-store refurbishment will include category expansion in all departments.

“We are also looking to expand our regional footprint and will continue to open our new concept Creative stores,” Gracanin continued. “Plus, we are continuing to plan ways to enhance our in-store customer, digital experience, endless aisles, and website user experience.”

Spotlight head of marketing Padma Palani said the investments include services and technology. 

“Ease of service is a priority of ours, which is why our Spotlight Fountain Gate store is rolling out an additional 10 self-service checkouts in the coming months.

“This complements our existing 4-hour click and collect program.”

While the company will continue to focus on physical locations and customer experiences, Palani noted that there are new incoming challenges to face.

“Like other businesses, COVID has posed certain challenges,” Palani said. “Now, in a post-COVID world we are facing record levels of inflation and a higher cost of living which comes with its own set of challenges.

“Customer experience is always front-of-mind throughout these challenges."

Gracanin said the business is planning around the current trading landscape. 

“Externally, we are always monitoring any inflationary impact, consumer sentiment and supply chain challenges, all of which we need to be conscious of, and navigate around.”

Despite the imminent challenges, Gracanin said Spotlight’s categories overall are going “exceptionally well”.

“We saw major growth in all of our categories throughout COVID and not only have we maintained that growth, but we are continuing to see growth across the entire assortment – particularly now at a time when our customers are looking for even greater value, which we can offer them as a true category leader.”

Looking ahead, Spotlight is preparing for Halloween and Christmas, with in-store promotions and discounts, including 20-30% off party products for its VIP club members. 

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