Virgin Reports Top Holiday Season in Five Years18 Jan, 2007 By: Erik Gruenwedel
Citing a 28% increase in sales of consumer electronics and 12% overall growth in retail sales during the holidays, Virgin Megastores posted its best holiday revenues in five years.
Los Angeles-based Virgin said $1 million spent on refurbishments in several key stores in addition to expanded offerings of DVD movies, electronic, video games and apparel helped supplement strong music sales during the period.
Virgin, which did not disclose actual sales revenues, said national sales for 2006 increased 5% (10% in New York City) compared to the previous year.
“Our music and game sales outperformed our expectations and those in the industry," said Simon Wright, CEO, Virgin Entertainment Group, North America. “We focused on staying in stock in both new titles and deep catalog and we saw every genre from Jazz to Classic Rock increase in sales from the 2005 holiday period.”
Virgin dedicated 30% of its annual budget to holiday advertising and for the first time used circulars in commuter print and tourist publications, as well as spreading the word to consumers via national cable TV advertisements.