Answear.com with over PLN 30 million EBITDA in 2020
Answear.com, a leading e-commerce fashion retailer in the CEE region, summarizes 2020. During this time, the company pursued a strategy of dynamic growth with stable profitability, giving the opportunity to further scale the business. Answear.com finished last year with 409.5 million PLN revenue, 30.2 million PLN EBITDA and 8.5 million PLN net profit.
- Year 2020 was special for all of us, because of COVID-19 pandemic and its consequences. In March and November last year, among others, stationary stores and shopping malls were completely closed. As a result, we saw a gigantic shift in demand to the online channel. For us it was naturally a period of increased interest from buyers. We do not treat this as a one-time phenomenon, the pandemic has accelerated the process of e-commerce development for several years. Before our eyes, a change in shopping habits is taking place, which will drive the growth of our business in the coming periods. - comments Krzysztof Bajołek, CEO of Answear.com.
In 2020. Answear.com saw an increase in profitability and improvement in all operational indicators. The number of visits increased to 139 million (+20% year-on-year), the number of orders amounted to 2 557 thousand (+24% year-on-year), and the conversion rate improved by 6 pp and reached 1.84%. The average order value increased as well, which in 2020 reached 237 PLN. Answear.com concentrates on mid-price and premium brand segments, which influences the result of the average order size. Therefore, in the past year, the Company increased the structure of premium brands in the offer from 41% to 47%.
Last year also saw the commissioning of a 4-level automated mezzanine in the warehouse, which significantly increased storage space and accelerated the implementation of logistics processes. Last year was also the time of migration of new markets to the new Answear platform, as well as launching the application in new markets.
- Of course, a very important event for us was also the debut on WSE. It was preceded by the IPO, from which we gained 45 million PLN net to realize our strategy. One of the emission goals was, among others, marketing campaign increasing awareness of Answear brand, which we started in December with a wide range TV campaign on all 7 markets, on which we operate. Of course those actions are still continued, and they are to write in the awareness of present and potential customers and show, that Answear is the place for young, affluent consumer looking for known lifestyle brands. - adds Krzysztof Bajołek.