Coolblue‘s German ambitions are being delayed by an economic downturn in the country and difficulties in getting building permits. Still, CEO Pieter Zwart is convinced of success: “German consumers are not used to good service, which is excellent news for us.”
Sales target not met
When Coolblue launched in Düsseldorf in 2021, Zwart had said he aimed for one billion euros in German sales in 2025. However, the retailer will not reach that target: in 2023, sales in the country only amounted to 188 million euros (with figures for 2024 still pending). Of the targeted 36 shops by 2029, only four have already opened.
“The expansion is going slower than I had hoped”, Zwart admits in an interview with Belgian newspaper De Tijd. “The process to obtain permits is even slower in Germany than in Belgium. The shops we are signing for now, will not open until 2026. It makes an entrepreneur impatient, but such is the adventure we have embarked upon.”
“Double-digit growth”
Paradoxically, those physical stores are indeed very important for the online retailer. “Our USP lies in that trinity: delivery, store and website” – Zwart once famously said that online sales are much higher in the vicinity of an offline store, because “people believe that, if they are not satisfied, they can come throw a stone through our shop window”.
Another reason for the slower expansion is the weaker German economy. Nevertheless, the CEO says he is satisfied with the results: “We have had a double-digit growth in Germany in 2024. I am now convinced that we will succeed in Germany.”
For this, Zwart refers to the high customer satisfaction: “Our NPS is so much higher in Germany than it is in Belgium and the Netherlands. There is only one conclusion: German consumers are not used to good service – and that is excellent news for our business case. If you buy an expensive smartphone or laptop, you want good after-sales service.”
