Primark plans to start delivering orders to UK customers by December 2027, bringing forward the launch by about two years as it looks to reach shoppers who do not regularly visit its stores. George Weston, chief executive of parent company Associated British Foods (ABF), said the retailer expects to launch the service by the end of next year.
The acceleration was made possible by Primark’s acquisition of a robot-assisted warehouse in Sheffield from Debenhams owner Boohoo. Primark expects to take over the facility by the middle of next year and is preparing suppliers to provide stock for individual customer orders as well as the bulk shipments sent to stores.
Primark already offers click and collect in the UK, a service it has gradually introduced since 2022. It is not available at the chain’s mainland European stores. The company intends to introduce home deliveries in mainland Europe after the UK launch, but has not given a timeframe.
Weston said delivery and returns charges could now cover most of the logistical costs involved. He also said research indicated that home delivery could attract new customers, including people who live too far from a store or prefer to shop online, rather than simply shifting existing sales from stores to a less profitable channel.
The move comes as Primark competes with online-focused retailers such as Shein, as well as supermarket clothing ranges and chains including H&M and Zara, which sell both online and in stores. Weston said Shein had taken only a small amount of market share from Primark, while identifying retailers that combine online and physical shops as a greater source of competition.
Primark’s sales rose 4% to £9.8bn in the year to 12 September, driven by new store openings. Sales at established UK stores increased 0.5%, while comparable sales fell 4.7% in mainland Europe and 2.6% in the US. ABF said consumers had curbed clothing spending amid higher energy and fuel bills.
Improved ranges, price cuts and increased marketing supported Primark’s UK performance, with those measures being rolled out across Europe. However, the actions contributed to a 10% fall in profits to £1bn. ABF plans to separate Primark from its sugar and food businesses in a spin-off scheduled for December 2027.
Sources: The Guardian World.