Crocs enjoys soaring sales as Covid pandemic upends shoe sector

Crocs expected to continue growth throughout 2021. Credit: AP

Crocs has enjoyed a bumper year after sales of their clogs soared during 2020 as the coronavirus pandemic reshaped the shoe market.

The retailer's stock rose by as much as 11% on Monday as it raised its outlook for the fourth quarter and said it expects sales to grow by as much as 25% in 2021.

Crocs made just over £1bn in 2020 from the sales of their iconic and once shunned plastic clogs, a rise of 12% in a year where many businesses struggled to keep profits coming.

The company has benefitted from their product's reputation for being comfy, easy shoes to wear around the house, something most people have been doing much more recently.

“Amidst a global pandemic in 2020, we will deliver the strongest revenue in Crocs’ history,” Chief Executive Andrew Rees said in a statement.

Crocs aren't the only shoemaker who's seen a strong year despite the pandemic forcing more and more people to stay at home and keep their shoes off.

Dr Martens enjoyed strong growth despite the closure of many of its stores due to the pandemic Credit: PA

Dr Martens recently announced plans to go public after a strong year in sales for their leather shoes.

The company, which is best known for its chunky boots, is currently owned by private equity firm Permira, which would sell down its stake as part of the stock market listing.

Dr Martens sells in excess of 11 million pairs of footwear annually in more than 60 countries.

Kenny Wilson, chief executive of the company, highlighted its “significant global growth potential” in the future as it hopes to expand further through increased investment.The company reported revenues of £318.2 million for the six months to September, delivering 18% growth year-on-year despite the impact of the pandemic.

Sales of Dr Martens shoes have risen during the pandemic Credit: AP

The firm operates 130 of its own stores across the globe, many of which have been forced to close as a result of the pandemic but despite this, the company has gone from strength to strength.

In August the company paid back furlough funds to the government as sales grew despite the closure of their stores.

At the time Mr Wilson said it was the "morally right" thing to do.

The rise in sales can in part be attributed to many people who have been unable to do their usual activities picking up walking and hiking as the only available outdoor pass time.

The shift in shoe sales has come at the expense of other areas of the market, however.

The Sunday Times reported Kurt Geiger had decided to not to launch a new set of heels as part of their spring/summer collection for the first time.

The company said in 2020 online sales of heels fell by 18%, while sales of shoes overall grew by 19% which was driven by flats and trainers which saw a 30% rise.