Online Marketing Campaign Pays Off for Burberry
The Burberry clothing company enjoyed an increase in its share value today after the effects of more than 20 new stores opening alongside a slick online marketing campaign finally paid off.
Famous for its unmistakeable its camel, red and black check tartan, Burberry was originally a byword for top-end glamour, style and sophistication, before becoming unfortunately associated with “chav culture” during the turn of the millennium. Although most of this was down to cheap knock-offs, rather than the company itself, the effect on Burberry’s fortunes was very real.
Happily for the luxury goods firm, shares on Wednesday rose by 17 per cent to 14p a share. Pre-tax profits also leapt by 23 per cent to £215 million for the first quarter of the year – well ahead of City forecasts – and retail sales rose by 19 per cent to £748.8million.
This represented 58 per cent of overall sales, and was greatly helped by the launch of 21 new stores across the UK, plus the shutting down of nine outlets in unprofitable locations.
The online marketing campaign was instrumental to the success of the company, both in promoting the new stores, but creating a buzz about the new Burberry line of clothing and accessories.
The group’s chief financial officer Stacey Cartwright told the Daily Mail newspaper that Burberry plans to invest further in e-commerce and SEO marketing in order to consolidate its successes in this area. Later this year it plans to launch a new “digital platform,” which will be replacing several of its local websites, he revealed.
“We do believe that Burberry, distinct from what’s happening in the marketplace, has got specific momentum in the brand right now,” Mr Cartwright declared.







