Germa Otto Group continues to soar, from mail order to chatbots and AR | RetailDetail

German Otto Group continues to soar

German Otto Group continues to soar
Foto: nitpicker / Shutterstock.com

German online company Otto Group saw its turnover grow 10.9 % to 7.76 billion euro in the past fiscal year. The former mail order company will continue to invest in start-ups and technology.

 

Second largest in Germany

In its broken fiscal year until 28 February, Otto Group generated a 10.9 % turnover increase thanks to online sales. The majority of turnover still comes from its German home market, where it grew 10.2 % to 5.4 billion euro.

 

The results indicate that the group is the second largest online company in Germany, trailing only Amazon. “We are very happy with this dynamic turnover development”, chairman Rainer Hillebrand admitted. According to him, these results clearly indicate that the company is executing the right strategy, but he is also aware there is strong competition.

 

Focus on augmented reality and digital assistants

Customer centricity should be Otto Group’s main priority according to Hillebrand. The company did welcome 31 million customers last year and it wants to double down on technology, especially conversational commerce. That concept entails communication and sales through digital assistants and chatbots. Otto has even created a specific team to expand these services.

 

Meanwhile, Google presented a new augmented reality app at the Mobile World Congress in Barcelona, where Otto was its only retail partner. The app for Otto’s interior design web shop yourhome.de lets customers place furniture in their own home thanks to AR.

 

“Whether it is conversational commerce, Internet of Things or data-focused business models, the focus is to expand our technological capabilities across all of the group’s divisions”, according to chief digital officer Sebastian Klauke. Otto Group also wants to invest another 85 million into its own start-ups, which shows how important innovation and technology is to the group that owns About You, Hagebau, Bonprix and MyToys among others.

Questions or comments? Please feel free to contact the editors


Gerelateerde items

Walmart and Microsoft team up to beat Amazon

18/07/2018

Two major American companies join forces to try to beat the omnipresent threat of Amazon: Walmart (Amazon's biggest competitor in retail) and Microsoft (Amazon's main rival in cloud services) have signed a strategic partnership for the next five years.

Adidas wants to strengthen bond with small retailers

15/07/2018

German sportswear giant Adidas says it wants to strengthen its bond with small-scale retailers after they claimed Adidas is too aggressive in pushing its web shop, especially as they feel the brand is favouring large international chains as well.

Sales of PCs grows for the first time in six years

13/07/2018

For the first time in six years computer sales showed growth again: in the second quarter of 2018 they increased by 1.4%. According to research firms Gartner and IDC, the sales increase is mainly due to growth in business markets.

Retailhub Inspiration Tour: the customer journey becomes very different

09/07/2018

Thanks to Retailhub by RetailDetail, Antwerp has one more unique retail hot spot. Professionals can experience the future of retail in the Benelux' only retail inspiration platform, with 1250 sqm of innovative technology and huge trends.

Breakthrough in Karstadt-Kaufhof merger

05/07/2018

Canadian Hudson’s Bay and Austrian Sigma Holding have not reached a preliminary agreement about the merger of their respective department store chains Kaufhof and Karstadt: the Canadian company says it has only signed a letter of intent.

Alibaba CEO and Belgian PM discuss investment in Liège

04/07/2018

Alibaba founder Jack Ma has discussed a possible investment in Liège, Belgium with the country's prime minister Charles Michel. Afterwards no decisive statements were made by either party.