Brand Architekts still loss-making but upbeat for future

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Brand Architekts still loss-making: In its most recent financial report, beauty expert Brand Architekts Group detailed a drop in sales to £8.6 million from £10.6 million and a drop in gross profit to £3.4 million from £4.1 million for the six months ended on December 31.

Nevertheless, the underlying operational loss shrank to £244,000 from £877,000 in the first half of the previous year. As a whole, the operational loss was £813,000, down from £1.75 million the year before, and the pre-tax loss was £759,000, down from £1.77 million. A year ago, the business recorded a net loss of £1.06 million; this time around, it was £587,000.

This is because of the difficult trading environment caused by the well-known cost-of-living problem, which has impacted customer confidence, according to CEO Quentin Higham. Consumers are becoming more price-conscious, according to Higham, which has increased the focus on sales and discounted goods. Because of this, Brand Architekts Group has reevaluated its product line and advertising approach, with an eye toward bolstering its physical offerings in the coming months.

With the UK beauty high street continuing its great performance and the direct-to-consumer industry showing signs of softening, Higham stressed the significance of implementing a robust omnichannel strategy. Profitability and return on advertising expenditure in the company’s direct-to-consumer channels, especially with the Skinny Tan brand, are the primary goals.

Product launches, brand redesigns, extensions, and relaunches are all part of Brand Architekts Group’s ambitious 12-month brand development program, which will be responsive to customer feedback and market developments.

Higham emphasized the good news, like the rise in Super Facialist’s net sales caused by the introduction of new products and the company’s entry into other markets. The expansion into other markets and the introduction of Skinny Tan Body Glow are further examples of the company’s growth plan.

Higham remains confident in the company’s capacity to produce a profit and accomplish its intermediate and long-term objectives, even though there are continuous hurdles. The company’s strategy of concentrating on a smaller number of more lucrative brands and using targeted digital ads to increase exposure and new customers, especially on platforms like TikTok, is still in place.

Mia Collins

Mia's love for beauty innovation and her insights into modern lifestyle choices make her the go-to writer for readers seeking to stay ahead of the style curve.

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