- Six years after going through the turmoil of a huge social plan, the northern brand La Redout is now thriving in the world of online commerce.
- It achieved 20% growth and reached one billion turnover in 2020.
- Delivery competition has improved with the introduction of a new automated logistics site in 2018.
Took the old lady till today. Six years after going through the turmoil of a huge social plan, the northern brand La Redoute is growing: 20% growth and more than one billion business volumes in 2020. The company claims one million new customers and plans to expand strongly internationally.
This success can be surprising, if we forget that the brand, born 180 years ago, has always been at the forefront of e-commerce, long before Amazon. In 2014, when it separated from a third of its workforce (about 1,200 job cuts), La Redout already enjoys 80% of its activity on the web and is one of the larger e-commerce sites.
End of the golden era of inventory
Except that the competition is more and more pressing. Consumption is changing. This marks the end of the catalog’s golden era and is a traditional distance sale. “Having a successful website is not enough to make changes in e-commerce. La Redout was losing ground. Logistics and back office were not made digital-friendly.
It was necessary that Sanskar move out of the seasonal logic of inventory, “a backbone that inhibits the resilience of e-commerce due to storage”, acknowledges a former logistics manager. 20 minutes. For Nathalie Balla, the company “must maintain its strong emotional bond with customers by relying on its collections”. Own collections still represent 70% of the business. “This is one of the reasons for today’s success,” the co-chairman notes. We have a genuine expertise that has firmly distinguished itself on women’s and children’s ready-to-wear and home decor. “
Logistics Site Modernization
But nothing would be possible without modernization of logistics. In the early 1970s the Martinoire site at Wattrellos near Tourcoing enabled a revolution: a “48-hour stopwatch”. In 2018, it was left to look at growing, by contrast, a modern center called Kwai 30.
“Previously, the man went in search of the goods, now he is the one who comes to him, summarizing Nathalie Balla. To finalize a package, we now have 5 times the goods instead of the 15 times before. Touches. Everything is automated and time saver ensures delivery within 24 hours, as customers now demand. “
This profound change is accompanied by the opening of capital for employees in 2015. And, apparently, the investments are paying off to the point that the company is developing internationally (30% turnover, according to its co-chairman) with six subsidiaries in Belgium, of course, but Portugal, United Kingdom, Switzerland , Also in Spain and Russia. Inaugurated in the Netherlands and Germany in the year 2020. Austria and Ireland are to follow in 2021.
Put signature on @FREDFARID, La Redout’s new campaign focuses on family life. Directed by Geraldine Nachey, it will be unveiled tonight in TF1 and Digital: https://t.co/aDraHziyVG ral pic.twitter.com/ihWjO7JB30
– La Redout (@LaRedouteFr) March 26, 2021
A sign of renewed confidence, LA is launching a new advertising campaign with Redout Media. First airing, Friday, during Koh-Lanta.
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