Media Markt will slown down its expansion | RetailDetail

Media Markt will slown down its expansion

Media Markt will slown down its expansion

German electronics giant Media Markt will open fewer stores and focus more on its online sales, where it wants to emerge as a front runner.

10 % online sales

CEO Pieter Haas currently only sees physical expansion potential in Russia, Turkey and some German locations: he feels another 30 stores will be built, but several others will move or close.

 

The largest growth potential is online, he feels: "A little more than 20 % of German electronics sales is generated online", he told Süddeutsche Zeitung. Media Markt currently generates 7 % of its turnover online, but Haas wants to move that to 10 % in the next three years, sufficient to become a front runner in Germany.

 

It will also abandon its goal to be the cheapest all the time: "Price is still a very important issue, but the market has changed and a physical store can no longer be the cheapest as he has other costs than pure online players."

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