Showroomprivé business volume grows 27.4 percent in the first half of 2017

Showroomprivé, a European digital fashion platform headquartered in France, has reported a 27.4 percent increase in turnover during the first half of 2017, reaching 306 million euros. The e-commerce platform has 2.2 million buyers.

This data "confirms the relevance of the firm's strategy orientation, particularly international development", according to the platform’s founders and chairpersons Thierry Petit and David Dayan.

But it has not all been good news. Showroomprivé reported losses in the first half of the year amounting to 210,000 euros, well below the 705,000 euros net profit obtained in the same period of the previous year.

The company reported in a statement that turnover rose 27.4 percent during the first half of 2017, from 240 million a year ago to 306 million euros. The company added that this improvement is mainly due to a greater number of buyers and an increase in the average purchase price.

Over 2.2 million buyers registered and counting

The 2.2 million buyers registered at Showroomprivé now spend 6.4 percent more than they did 12 months ago, reaching 124 euros in this quarter, an increase stimulated by the growth of the average number of orders for (4.4 percent) and the average basket size of each buyer (1.8 percent), which stands at 39.6 euros, reports Europa Press.

Looking ahead, Showroomprivé expects its revenues for the whole of 2017 to be between 690 and 720 million euros, or that is, to increase the profit share between 28 percent and 33 percent.

Conforma's 17 percent stake acquisition open the door for further synergies and growth

It should be remembered that at the beginning of the month Showroomprivé increased its portfolio of investors with the 17 percent stake Conforama - part of Steinhoff – acquired in early July. According to the executives of the online fashion group, is "an important value".

The transaction took the form of a private transfer of shares at 27 euros per share, for a total amount of 157.5 million euros. The founders hold a 27.17 per cent stake in Showroomprivé and 40.66 per cent of its voting rights.

The founders had an agreement prior to the entry of Conforama, who establishes a second agreement, recalls 'Expansion'. According to this document, Conforama owns 44.15 percent of the share capital and 54.47 percent of the voting rights of Showroomprivé. This operation was subject to an exemption from the obligation to submit a public offer issued by the AMF.

The Conforama Group will be represented on the Showroomprivé Board by Conforama's Executive Director, Alexandre Nodale, who will be a member of the Board, as well as Andrew Bond, Managing Director of Pepinho's subsidiary, Steinhoff, Of Compliance.

Later on, Showroomprivé and Conforama will maximise the complementarity of their key strengths: Conforama's extensive physical network and the digital presence of Showroomprivé.

Imagen: Showroomprivé Official Site, France