Profit warning for Shopping Channel

 

Television shopping company Ideal Shopping Direct has issued a pre-Christmas profit warning as sales for the company go down and the recession begins to bite.

 

Ideal Shopping Direct has issued profit warnings for the Christmas period after the company suffered from low sales last month, doubtless due to the recession which is affecting many British retailers. The company owns three digital shopping channels and is based in Peterborough, North Cambridgeshire, and has already announced plans to cut up to 70 jobs from its work forced based in the fenland City.

 

After Ideal Shopping Direct issued the pre-Christmas profit warning shares in the company plunged by over 60%. Sales for the past several months have also dropped, by roughly 17%, however, the company was quick to point out that other retailers have also been hit in the past few months by falling sales. On the high street several big chains have slashed prices and held day events, or weekend events, when they have cut 20% or more off their prices. So far Marks and Spencers, John Lewis and Debenhams have also held such events in a bid to bring shoppers back through their doors.