Apr 19, 2022
Boboli aims to exceed pre-pandemic figures, achieve turnover of €44.5 million euros this year
Apr 19, 2022
Children’s clothing brand Boboli expects to increase its 2021 turnover by 14% to €44.5 million this fiscal year, exceeding the figures recorded in 2019, despite the war in Ukraine’s impact on consumption and global shipping in a company that is present in more than 70 countries.
The CEO of the Spanish brand, Mónica Algás, explained in an interview with Efe that the company started the fiscal year, which began in October, "very well," although consumption slowed down again during the second quarter.
During the first half of 2022, which ran from October 2021 to March 2022, the company achieved a turnover of €24 million, 17% more than in 2019 and 23% more than in 2021, an increase that is largely due to the multi-brand channel and exports, which increased by around 35%.
Figures from the first quarter of the year were better than those of the second quarter, as the outbreak of the omicron variant of the coronavirus and the war in Ukraine caused consumption to fall. Since the war’s outbreak, a significant drop in "store traffic" was observed, according to the company.
The company had a new distributor in Russia and another in Ukraine, but the invasion halted business within the region. Sales in Poland also came to a "standstill" since, given the proximity of the war, "fear discourages consumption."
However, Algás explained that sales are doing "very well" in multi-brand stores, especially in the 50 corners that Boboli has in El Corte Inglés, where it has recently opened new spaces in locations such as Lisbon, Madrid, Salamanca and La Coruña. It will soon install another corner in Malaga by the hand of the department store group. Within the last few weeks, the company has also opened a store at number 119 Calle Fuencarral in downtown Madrid.
Boboli has encountered global shipping problems in recent months, which have mainly affected the distribution of goods, prompting more delays than usual. During the pandemic, the company relocated many of its stores to better located areas and, in some cases, to more affordable leases.
According to Algás, the municipal confinements have revived neighborhood commerce and the stores that have survived "need brands they can trust". Along these lines, the company has targeted its communication strategies at its customers, to whom it has delivered merchandise during this crisis "sometimes late, but good, amid the chaos that ensued from the pandemic".
Commitment to sustainability and developing its new brand
The brand has simultaneously boosted its commitment to sustainability to try to mitigate the impact that the industry has on the environment. Therefore, the company hopes to have 50% of its products made with recycled or sustainable materials by 2024 and be self-sufficient in terms of energy with solar panels installed at the warehouse in Llinars del Vallès.
As a result of the pandemic and the withdrawal of some children's clothing brands from the Spanish market, the company launched a new children's homeware brand made entirely with organic cotton, called Bob&Oli, last year.
After a two-year hiatus, Boboli has relaunched the 'Boboli Summa Award', which every year acknowledges initiatives, associations or NGOs related to children.
The children's clothing brand, which celebrated its 40th anniversary last year, closed its last fiscal year on September 30 with an 8% increase in turnover to €38 million.
With headquarters in Llinars del Vallès (Barcelona), Boboli has 46 stores, of which twenty are franchises, and five outlets, employs some 270 workers and is present in more than 70 countries.
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