Overview
Mountain Warehouse targets outdoor leisure enthusiasts, with a discount-led offer encompassing clothing, footwear and related equipment and accessories. The product range is strongly own-branded.
With more than 250 UK outlets now in place, domestic growth has slowed of late in favour of a widespread international development programme. It now has more than 100 overseas stores across Poland, the Netherlands, Germany, Ireland, Austria, Canada, the US and New Zealand, with dedicated websites in most of these markets.
Mountain Warehouse saw its customer database grow from 3.5m to 4.1m active customers by the end of its latest 2022 financial year and is reviewing its CRM strategy to both attract and retain customers.
Expansion plans ramping up amid record performance
The retailer delivered a 4% rise in sales to £386m in the year ended 29 February 2024 (FY2023), the highest in its 27-year history.
The Times reported the retailer plans to open up to 50 new stores across the UK and internationally over the next year.
Mountain Warehouse chief executive Mark Neale told the publication: “We think there is lots of life left in lots of our high streets.
“All that death of the high street stuff has been a bit overdone. We’re definitely very positive about physical retail at the moment.
“We’ve been opening lots of much bigger stores and relocating some smaller, more legacy stores.
Marketplace launch
In May 2022, Mountain Warehouse joined the growing list of retailers to launch their own online marketplace to give customers access to a wider range of brands across outdoor clothing and equipment.
The retailer plans to use its marketplace to expand its kidswear, sports and activewear ranges, while also improving its presence in areas such as cycling, pet products, and outdoor living and garden products.
Its online business accounted for around one third of total sales in the latest financial year.
Strategy from 2023
Mountain Warehouse has put in place a seven-point strategy for 2023 and beyond:
- Grow the online business through range expansion
- Launch and grow the Mountain Warehouse marketplace
- Gradually relocate stores to larger out-of-town locations
- Build a world class supply chain
- Transition to a customer-first approach
- Become an employer of choice
- Accelerate sustainability journey
Acquisitions bolster proposition
In 2022, it acquired the Animal surf and lifestyle brand which it says will “further enhance its online offer”.
The move to out-of-town locations will enable it to compete more effectively with the likes of Go Outdoors and Decathlon, while larger stores will also enable it to display a wider range of products.
In 2022, the retailer moved its UK distribution centre to a third-party provider. This was prompted by a desire to increase capacity and efficiency, with automation also set to increase over time. It expanded its relationship with Metapack in May 2024, adding the Delivery Options and Intelligence solutions to its operations.
In mid 2024, Mountain Warehouse bought key assets from US-based Eastern Mountain Sports (EMS) in a $10m (£7.6m) rescue deal. It acquired the EMS brand, website, seven profitable stores and other assets. EMS was set to continue operating as a standalone brand. Mountain Warehouse already has over 50 stores in North America.
It is aiming to become net-zero by 2040, with the adoption of sustainable fabrics and recycled materials forming part of this strategy as well as reducing plastic and unnecessary packaging.
