Get the app today! Download iPhone App Download Android App

'Unfettered Expansion' Proved Too Detrimental To Convivality: Analysis

Published on Mar 30 2018 9:59 AM in Drinks tagged: Featured Post / Shore Capital / GlobalData / Conviviality / Bargain Booze / Paywall

'Unfettered Expansion' Proved Too Detrimental To Convivality: Analysis

Rapid expansion, coupled with margin declines and supply chain inflation proved to be a heady mix for Conviviality, which has announced plans to potentially enter administration in the coming days.

That's according to analyst Molly Johnson-Jones at GlobalData, who said that the group "took its eye off the ball in search of new growth", a move that has led to the current challenges at the business.

While in February, Conviviality reported 'strong organic growth', with trading ahead of consensus, Johnson-Jones suggested that the group was perhaps too ambitious in its expansion strategy.

please subscribe or sign in to continue reading

image description

Try European Supermarket Magazine PREMIUM – 30 Day FREE Trial.

A trial subscription gives unrestricted access to all premium site content, app content, weekly email content and European Supermarket Magazine digital edition for a full 30 days. Try it now!

Share on Facebook Share on Twitter Share on LinkedIn Share via Email