What are like-for-like sales in fashion retail?
A measure of sales growth that compares only stores or channels trading in both periods, excluding new openings and closures.
In short
Like-for-like sales compare revenue in the current period with the same period last year using only stores, and often online channels, that traded throughout both periods. By excluding new openings, closures and major refits, the measure shows the underlying organic growth of a fashion retail business.
How does it work in practice?
A retailer defines a comparable base, typically stores that have been open for at least a full year and were not closed, relocated or significantly resized during either period. Sales from that base are compared year on year, sometimes adjusted for currency effects and the number of trading days. Many fashion retailers now include e-commerce in the comparable base, while others report store and online like-for-like figures separately.
Merchandising and finance teams look at the figure by week, category and region. A strong like-for-like result in knitwear but weak results in outerwear may point to weather effects, assortment gaps or pricing issues rather than store performance.
Why does it matter for fashion businesses?
Total sales growth can hide problems. A retailer opening many new doors can report rising revenue while its existing estate declines. Like-for-like sales strip out that expansion effect and show whether customers are buying more from the existing business. For wholesale brands, partners' like-for-like data and sell-out reports help judge whether a brand is gaining or losing share within a retailer.
How is AI changing it?
Analytics tools increasingly break down like-for-like movements automatically into drivers such as footfall, conversion, average order value and price. Machine learning models can also build better comparable baselines by adjusting for weather, calendar shifts and promotions, which helps teams see the genuine trend faster.
Common pitfalls
- Comparing like-for-like figures between companies that define the comparable base differently.
- Ignoring calendar effects such as the timing of Easter or Black Friday.
- Treating online cannibalisation of store sales as a store problem.
Frequently asked questions
What is the difference between like-for-like and total sales growth?
Total sales growth includes every new store, acquisition and channel. Like-for-like growth looks only at the comparable business that traded in both periods, so it reflects organic performance rather than expansion.
Do like-for-like sales include online sales?
It depends on the company. Many fashion retailers now include e-commerce in their like-for-like figure, while others report it separately, so it is important to check each company's definition.