Germany: Record sales in Corona times
Discount bed Retail Chain Dänischen Bettenlager (owned by non-food discounter Danish Jysk Group) presents a 2.3% sales increase to 1.128 billion euros (US$1.34Bn). These are the figures from the Dänischen Bettenlager for the 2019/20 financial year (until August 31, 2020). The discount chain has thus achieved a new record. The operating result (EBIT) was EUR 101 million (US$120m).
“The last financial year was in parts a rollercoaster ride where it wasn't clear what to expect around the next bend. We concentrated on our strengths and made the best of them with our good process organization: We actively used the lockdown time to carry out planned renovation work in our stores, store the maximum amount of goods for the expected reopening, ramp up logistics and online capacities and in Hygiene concepts and workflows developed in coordination with the authorities. We were then well prepared to make up for the losses caused by the store closings, which fortunately we have completely succeeded in doing,”explains Christian Schirmer, Country Manager Germany. And it goes on: “My special thanks go to our committed and competent employees, without whose commitment, flexibility and corporate spirit we would not have been able to achieve our excellent result. I am pleased that on the basis of the record sales we have achieved, we are able to pay our employees attractive bonuses for their performance. We have distributed a total of over 6 million euros to our employees."
The range, which currently comprises around 4,000 SKUs, has developed with a significant increase in sales, especially in the product groups of garden and outdoor furniture, mattresses and duvets. Overall, the omnichannel concept has also proven its worth.
But not only the German market has developed successfully despite the pandemic. The Jysk Group, which operates a total of 2,900 stores in 51 countries, was also able to announce record results with total sales of 4.1 billion euros (US$4.9Bn) and an EBIT result of 502 million euros (US$600m). Jan Bøgh, CEO and President of Jysk, is very satisfied with the results. “I think we can say that we saw the strength of our business model very clearly in the last financial year. Like most companies, we are affected by the effects of the coronavirus. The first priority is of course to ensure the safety of our customers and employees. But it is also important that the virus does not use more resources than necessary. We think long-term, which means that we have to continue investing in the future and be prepared for a time when corona is no longer the focus of society. "
Internationally, another 150 new stores are to be opened in the next 12 months. In addition, the group wants to focus on the topic of sustainability.
See here for more: https://www.moebelkultur.de/news/rekordumsatz-in-corona-zeiten/