Super Retail Group Limited · ASX:SUL
Super Retail — Macquarie Australia Conference 2022
22 slides from Super Retail's conference presentation, May 2, 2022
Slide 1: Macquarie Australia Conference Presentation 2022
2022 MACQUARIE AUSTRALIA CONFERENCE PRESENTATION Authorised for release by the Super Retail Group Board Tuesday 3 May 2022 ABN: 81 108 676 204
Slide 2: Introduction: Investing for future growth
Introduction Investing for future growth • In 2019, Super Retail Group announced our refreshed corporate strategy • Today’s presentation will focus on a subset of key initiatives of the strategy, specifically: ― Store network optimisation and refurbishment ― Digital and omni-retail capability ― Pers
Slide 3: Our strategy
Our strategy STRATEGIC DRIVERS 1 GROW THE FOUR CORE BRANDS 2 GROWING ANNUAL LEVERAGE CLOSENESS TO CUSTOMER VALUE OUR CUSTOMER PRIMARY VALUE LEVERS 3 CONNECTED OMNI-RETAIL SUPPLY CHAIN BEING AN EFFICIENT OMNI-RETAILER ENSURING ORGANIC GROWTH AND CAPITAL DISCIPLINE 4 SIMPLIFY THE BUSINESS SUPER RETAIL
Slide 4: Network optimisation – added ~30 (net) stores and upgraded network quality
Network optimisation – added ~30 (net) stores and upgraded network quality through new formats, refurbishments and fleet rationalisation 2019 2022 2026 OPPORTUNITY • 323 stores1 • 329 stores2 (+6 stores) • ~ 360 stores • Underinvestment in • Commenced program to convert ~170 old • 50% of fleet in ge
Slide 5: Network optimisation – added ~30 (net) stores and upgraded network quality
Network optimisation – added ~30 (net) stores and upgraded network quality through new formats, refurbishments and fleet rationalisation 2019 2022 2026 OPPORTUNITY • 136 stores1 • 145 stores2 (+9 stores) • ~165 stores • Generic ranging across all • Commenced roll out of small format (~600 • 5 new fl
Slide 6: Case study rebel rCX Accelerate stores
Case study rebel rCX Accelerate stores INDICATIVE STORE • Large format stores showcasing comprehensive range across key global brands focusing on core categories of METRICS - rcX running, gym and fitness, football, basketball and kids • Differentiated customer experience through physical $3m to $4m
Slide 7: Our strategy
Our strategy STRATEGIC DRIVERS 1 GROW THE FOUR CORE BRANDS 2 GROWING ANNUAL LEVERAGE CLOSENESS TO CUSTOMER VALUE OUR CUSTOMER PRIMARY VALUE LEVERS 3 CONNECTED OMNI-RETAIL SUPPLY CHAIN BEING AN EFFICIENT OMNI-RETAILER ENSURING ORGANIC GROWTH AND CAPITAL DISCIPLINE 4 SIMPLIFY THE BUSINESS SUPER RETAIL
Slide 8: We have grown active club members and lifted customer satisfaction
We have grown active club members and lifted customer satisfaction 2.4 million increase Sales from active club members Average club member NPS in active club members in have increased from 59% to 69% up from 62 to 64 the last 2 years of Group sales INCREASE IN ACTIVE CLUB MEMBERS (DEC 19 to DEC 21)
Slide 9: Why is loyalty important?
Why is loyalty important? Our club members spend more…a lot more 4.4x 1.4x 1 The Group is Average SRG SRG loyalty SRG loyalty member focused on customer member (Top 20% members) growing our club loyalty members 8.7 million active club members and leveraging our first party data SUPER RETAIL GROUP So
Slide 10: Case study Supercheap Auto club benefits drive increased visitation
Case study Supercheap Auto club benefits drive increased visitation SUPER RETAIL GROUP 10
Slide 11: Case study BCF personalisation pilot program
Case study BCF personalisation pilot program Showcasing our range and key brands 3.4M+ personalised emails in Increasing visibility 3 months of niche categories Moving from ‘one size fits all’ to 1:1 personalised communications Highlighting club pricing SUPER RETAIL GROUP 11
Slide 12: Our strategy
Our strategy STRATEGIC DRIVERS 1 GROW THE FOUR CORE BRANDS 2 GROWING ANNUAL LEVERAGE CLOSENESS TO CUSTOMER VALUE OUR CUSTOMER PRIMARY VALUE LEVERS 3 CONNECTED OMNI-RETAIL SUPPLY CHAIN BEING AN EFFICIENT OMNI-RETAILER ENSURING ORGANIC GROWTH AND CAPITAL DISCIPLINE 4 SIMPLIFY THE BUSINESS SUPER RETAIL
Slide 13: Improved online delivery fulfilment metrics
Improved online delivery fulfilment metrics Online fulfilment costs have decreased as a result of both lower freight expense and higher freight recovery ONLINE FULFILMENT COST (% OF SALES) 60 bps decrease 120 bps 60 bps decrease increase H1 FY20 H1 FY22 H1 FY20 H1 FY22 H1 FY20 H1 FY22 Freight Freigh
Slide 14: Our strategy
Our strategy STRATEGIC DRIVERS 1 GROW THE FOUR CORE BRANDS 2 GROWING ANNUAL LEVERAGE CLOSENESS TO CUSTOMER VALUE OUR CUSTOMER PRIMARY VALUE LEVERS 3 CONNECTED OMNI-RETAIL SUPPLY CHAIN BEING AN EFFICIENT OMNI-RETAILER ENSURING ORGANIC GROWTH AND CAPITAL DISCIPLINE 4 SIMPLIFY THE BUSINESS 5 EXCEL IN O
Slide 15: Our investment in omni is capturing growth in online demand
Our investment in omni is capturing growth in online demand Since H1 FY19, online sales have Online sales have increased from 7% Omni and in-store only customers increased by almost 4x to 23% of total sales represent over 94% of total customers GROUP ONLINE SALES ($m) ONLINE SALES AS % OF TOTAL SALE
Slide 16: Our omni-retail strategy is successfully leveraging our store network
Our omni-retail strategy is successfully leveraging our store network 1 90% of sales involve a customer visiting a store 2 Click & Collect has increased as a percentage of online sales 3 Contribution margin dollars per transaction is higher for online sales than for in-store sales Sales mix by chann
Slide 17: Strategy execution on track - delivering a strong omni platform
Strategy execution on track - delivering a strong omni platform EXPANDED THE STORE NETWORK BY ~30 OPENED OVER 60 NEXT GENERATION INCREASED ACTIVE CLUB MEMBERS BY 2.4 STORES (NET) TO OVER 700 STORES1 STORE FORMATS ACROSS SUPERCHEAP MILLION TO 8.7 MILLION2 AUTO, BCF AND REBEL UPGRADED OUR WORKPLACE RE
Slide 18: Team engagement, safety and wellness metrics improving
Team engagement, safety and wellness metrics improving TEAM ENGAGEMENT TEAM WELLBEING 82 5 points above Achievers 2,618 benchmark members of our mental health program TEAM SYSTEMS TEAM SAFETY 6% 14,500 improvement in TRIFR1 over active team members on new the last 12 months time and attendance syste
Slide 19: ESG and sustainability - ratings and credentials
ESG and sustainability - ratings and credentials Modern Slavery Workplace Current ESG ratings Statement (MSS) Gender Equality Agency - WGEA Awarded the WGEA’s Employer of Choice for Gender Equality ‘Leading’ rating from the Australian Council of Superannuation Investors for ESG reporting relative to
Slide 20: Trading update
Trading update SUPER RETAIL GROUP 20
Slide 21: Trading update
Trading update • The Group provides the following update for the first 43 weeks of FY22 H2 LFL sales YTD LFL sales YTD LFL sales Weeks 27 to 43 Weeks 1 to 43 Weeks 1 to 43 Adjusted for Boxing Day1 vs FY21 vs FY20 Supercheap Auto 8.4% (0.5)% 20.7% rebel (1.8)% (4.0)% 13.7% BCF 7.6% 1.4% 56.8% Macpac
Slide 22: Important notice and disclaimer
Important notice and disclaimer This presentation has been prepared by Super Retail Group Limited (ACN 108 676 204) (“SRG”). This presentation contains summary information about the activities of SRG and its subsidiaries current as at the date of this presentation. The information in this presentati
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