Online Media-Saturn sales is race against the clock

Online Media-Saturn sales is race against the clock

Olaf Koch faces a tremendous challenge as he has to try to close the ecommerce gap the German Metro group faces, with observers wondering how much time he has left.

Started (too?) late

Mediamarkt and Saturn, the electronics groups belonging to Metro, only started their own online sales in 2012 - leaving them way behind on a lot of their competitors. Koch isn't too bothered with competition from true online players, as he believes his physical network will be an advantage in the battle for the online consumer: 44 % of them still picks up their online purchases in stores.

 

Koch expects online sales to represent 10 % of total turnover, according to Reuters. In 2012-2013, Media-Saturn managed 800 million euro in online sales on a total turnover of 14.4 billion euro, which is even below 6 %. The majority of that online turnover was generated through Redcoon, the online pure player in Metro's possession. 

 

It begs the question how much time Koch will get to achieve this goal, because apparently he is not of the same strategical mind as the Haniel family, the biggest Metro shareholder. A number of shareholders also believe Koch does not have enough retail experience: prior to his CFO position at Metro, he worked for car manufacturer Daimler and investment fund Permira.

 

Koch's contract runs out in 2015, which means he will have to perform very quickly.

Questions or comments? Please feel free to contact the editors


Pieter Haas, CEO Ceconomy: "We sell the consumer a digital life"

03/11/2017

MediaMarkt’s parent company, Ceconomy, has the key to consolidate the European electronics industry even more. The retailer will sell services and solutions: “We help people make the right decisions.”

Ceconomy continues growth in transitional year

26/10/2017

Ceconomy, a former part of German Metro Group, achieved a 4.6 % fourth quarter turnover increase to 5.264 billion euro. Media Market’s parent company mainly made strides online.

Fnac Darty grew 6 % in third quarter

20/10/2017

Fnac Darty has raised its third quarter turnover by 6 % to 1.792 billion euro, with growth in the Benelux as well. The company also revealed the integration of both companies is ahead of schedule.

Samsung CEO resigns despite record profit

13/10/2017

South Korean Samsung has managed a record profit in its past quarter thanks to strong chip sales. However, one of its three CEO’s still decided to resign.

Fnac-Darty introduces new board

12/10/2017

A little more than a year after Fnac and Darty merged and several months after CEO Alexandre Bompard suddenly moved to Carrefour, the French entertainment and electronics group Fnac-Darty introduced its new board.

Twelfth straight quarter of weaker computer sales

12/10/2017

Desktop computer sales have slumped once more in the third quarter, down 3.6 %. It is the third straight year of dwindling sales, according to research firm Gartner.

Back to top