Woolworths online sales surpass $3.5 billion, surging 42 per cent
The online channel outperformed traditional channels for Woolworths Group this year as many consumers opt to avoid crowded supermarkets.
Group online sales rose 41.8 per cent to $3.52 billion, with record Q4 online penetration of 6.3 per cent for its food business.
In a results announcement today, Woolworths said the record online sales were growing at “a strong but consistent” rate of growth during the first eight months of the year before the business was impacted by the Covid-19 crisis.
At the peak of the pantry-loading by Australian consumers in March, online platforms were impacted by capacity constraints. The supermarket giant then focused on ensuring the most vulnerable customers received deliveries during the lockdowns while team members worked to increase capacity to meet broader demand.
Group wide, Woolworths reported a 1.2 per cent drop in underlying profit to $1.6 billion due to skyrocketing costs and the temporary closure of its hotels business.
However, sales were up 8.1 per cent to a record $63.7 billion in FY20, due to strong performances at supermarkets, liquor stores and in its rejuvenated Big W department store network.