Temple & Webster Finetunes Strategy To Cash In On Online Shopping Trend


  • Temple & Webster is witnessing strong trading amid a shift in consumer shopping behaviours.
  • The retailer has reaffirmed its strategy to invest in its digital platform to capitalise on the accelerated online adoption in the Australian furniture and homewares market.
  • Revenue soared 112% y-o-y in Q3 FY21.

Temple & Webster Group Ltd (ASX:TPW) has reaffirmed its strategy for capitalising on the shift from offline to online shopping in the furniture and homewares category. TPW is of the opine that the pandemic-induced shift to online shopping is “permanent”. Also, the company has highlighted that trading “continues to surpass expectations”.

The retailer has been registering robust growth amid the online shopping boom primarily led by pandemic-related restrictions. TPW performed exceptionally well in H1 FY21, and trading in the second half also remains strong to date, as per its market update on 20 April 2021. It is witnessing a strong shift in consumer behaviour as they prefer to make purchases online instead of in-store.

Image source: © Kittisaktaramas | Megapixl.com

Must read: Temple & Webster (ASX:TPW) declares impressive H1 FY21 results amid COVID-19 challenges

Temple & Webster has reaffirmed its business strategy to leverage the online tailwind through investments in short- and long-term growth initiatives.

Backed by strong trading, the company is expecting robust outcomes in the future. Moreover, the strong demand highlights that Aussies during the pandemic period are spending more on furniture and homeware products to enhance their indoors.

Do Watch: Temple & Webster Reaped 90% Improvement in Revenue | ASX Market Update

Why does Temple & Webster believe in permanent shift in buyer behaviour?

Image source: © Adiruch | Megapixl.com

TPW has unveiled a smashing performance for Q3 FY21 with revenue up by 112% on the previous corresponding period. 

By the end of the reported period, active customer base totalled nearly 750K. For April 2021, the company’s revenue is up by over 20% when compared with the same period a year ago or April 2020, which was the fastest growing month last year due to Covid-19 induced restrictions.

Also read: Retail Stores staring down the barrel as Online Shopping surges

Temple & Webster Reaffirms Growth Strategies

Temple & Webster maintains a strong balance sheet as well as enjoys the online market leadership position in the homewares and furniture category.

Given the scope for significant online market growth and longer-term returns, the company has reiterated its growth strategy which is focused on cementing its position in the market through enhanced brand awareness. TPW also intends to achieve national brand status in the next three-year period. The company is planning to invest in the mainstream media to drive repeat as well as first-time customers.

Other strategies comprise expanding operational teams and growing b2b sales, using tactical promotions and pricing to increase conversion, and investing in 3D and AI to boost customer experience.

Some of the other companies that are capitalising on the online boom are Accent Group Limited (ASX: AX1), Kogan.com (ASX:KGN), Redbubble Ltd (ASX: RBL) and Super Retail Group Limited (ASX:SUL).

TPW was trading at AUD 10.320 on 21 April 2021 (AEST 10:39 AM). 

Also read: E-commerce Boom & Stocks Benefitting from Online Shopping Surge: CCX, BBN, APT, KGN, GMG

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK