eMag expects €100 million revenues in 2010

For 2010, the online retailer said it expects revenues to grow 56% year-on-year, to €100 million.

In January this year, Iulian Stanciu (pictured right), chief executive of Asesoft, the distribution company that acquired 51% interest in the online store, took up the chief executive role in eMag. “After ten years in the distribution industry, I found a new challenge. Online retailing is a very interesting field with high upside potential”, said Iulian Stanciu.

The electronics and home appliance retailing industry is expected post modest gains this year, of around 10%, after a severe contraction a year earlier. “E-commerce will achieve a stronger growth, of 40%, largely due to the sustained increase stemming from the larger Internet penetration rate, and migration of consumers to online environment,” the company said.

“For eMag, we expect a rapid and sustained growth this year, with revenues of €100 million. It is an attainable target, since the market started 2010 on a positive note”, said Radu Apostolescu (photo down), marketing director eMag.

The company will open 3 showrooms this year, in key locations with wide geographical coverage. eMag will focus this year on its corporate business line, where personalized services – account management, free shipping, discounts for large volumes, flexible due dates, are expected to drive growth over the next 10 months.

Laptops and netbooks lead sales gains

Notebook and netbook sales have once again been the driving force of eMag’s sales in 2009, helping the company retain its top spot in the Romanian market, with a 20% share in 2009, according to a GfK study.

“2009 has been an atypical year for us, hardly predictable, with a modest drop year on year. In view of a severe 40% decline in the market, we managed to outperform the market, raise our market share and make profit”, said Radu Apostolescu, eMag’s marketing director.

Electronics led sales gains in 2009, with over 2,000 flat-screen televisions sold per month at the end of the year, and significant growth in adjacent products, such as media players, home cinema systems.