eMag, no. 1 in IT&C retail in Romania expects to hit the100 million-euro turnover mark in 2010 for the first time in thecompany's nine-year history, amid a rise in the number of Internetusers and a rise in electronics and in web-connected products suchas laptops and smartphones.
The company ended last year with a 12% turnover decline to 64million euros, very close to its original estimates of 66 millioneuros. "This is a very good result, we virtually gained marketshare despite seeing an around 50% sales decline," explains RaduApostolescu, marketing manager and one of the founders of theonline store. This is not the first time that eMag targets an over100 million-euro turnover. After the company had doubled itsturnover in 2007 to 70 million euros, representatives of the onlinestore planned a new doubling, to 140-150 million euros for 2008.The company had adjusted its costs and personnel in view of thistarget but the recession ruined everything, with the online storenarrowly managing to avoid major financial trouble, which affectedits rivals K Tech Ultra Pro and Flamingo, amid the salescollapse.
However, the company managed to leave its financial troublesbehind after Asesoft Distribution, one of the leading IT&Cdistributors on the Romanian market, bought 51% of eMag in April2009. The retailer ended last year with a few tens of thousands ofeuros in profit and has a solid financial position, say companyrepresentatives, who expect the company will be able to grow as thenumber of clients for Internet services rises and as Romania'sconfidence in online acquisitions increases.
