MediaMarktSaturn continues further development of store portfolio: First store in Xpress format in Germany and upgrade of Core format in Italy
MediaMarktSaturn's brick-and-mortar business is a central component of the company's strategy: Following the successful opening of six large Tech villages in Europe, MediaMarktSaturn is now presenting a newly opened store in the Xpress format for the first time in Germany. As part of its omnichannel strategy, the consumer electronics retailer's innovative store concept combines service, an assortment tailored to customer needs, and digital elements that enhance the shopping experience. At the same time, the company is driving forward the ongoing modernization of its classic "Core" formats. For example, the electronics retailer is upgrading a first MediaMarkt in Italy with high-quality design elements and Experience Zones where customers can try out products.
"Our motto is: the right format in the right place. Large Tech villages in the metropolises, medium-sized stores with plenty of service and advice, smaller stores with a selected assortment where customers can also access our entire range and pick up goods ordered online on site – that's our approach," says Karsten Wildberger, CEO of MediaMarktSaturn. "With our new store formats, we are even closer to our customers and cater more individually to their needs. This makes our online shopping more regional. This is because products can be tried out in the store around the corner or quickly picked up in the store nearby. In addition, the productivity per unit area in the new stores is increasing. Our strategy will enable us to operate more stationary locations close to our customers in the future, but on a smaller footprint."
Omnichannel concept in action: the Xpress format launches in Germany
The new MediaMarkt in the Xpress format in Groß-Gerau, Hesse, will present a selected, reduced tech assortment with around 3,500 products ready to take away on around 950 square meters from June 29, 2023. In addition to the popular classic services such as repair or TV calibration, various digital shopping elements will facilitate and enhance the shopping experience and show what omnichannel means for MediaMarktSaturn. In addition to personal advice from employees on site, customers have the opportunity of contacting a digital salesperson via online live chat or video call. Via a so-called digital shelf extension, products that are not on display on site can be presented on a digital screen almost in their original size.
With the new store format, the company is primarily addressing those customers for whom simple and convenient shopping in the immediate vicinity of their home is a priority. Customers benefit from the availability of MediaMarktSaturn products and services at a retail partner or local supply center. The so-called one-stop shopping concept has already proved successful in Hungary, Turkey, Spain and Austria. Now it is also being launched in Germany. The MediaMarkt stores in Burghausen and Böblingen were already converted into stores in the Xpress format in spring 2023, and the company has been testing the concept here for a few months – with success. Further stores in the Xpress format are planned in Germany, as well as expansion in Europe for the future.
Blueprint for the further development of the Core format: The MediaMarkt in Lucca
The new MediaMarkt in Lucca, Italy, is an important milestone on the way to becoming an Experience Champion. There, the electronics retailer is implementing its "Look&Feel Evolution" concept for upgrading stores in the Core format for the first time. From special Experience Zones that focus on trend themes such as electromobility or gaming and invite customers to try out the various products, to a reinterpretation of the color code and a new, more sustainable modular furniture system - the focus is always on the customer experience. The concept was developed internally and will now be expanded to other stores in Europe.
Modernization of the store portfolio moves forward
In addition, MediaMarktSaturn is making very targeted investments in the expansion of its stationary stores. 30 percent of the stores have already been modernized, and this figure is set to rise to 90 percent by the fiscal year 2025/26. This is paying off: The productivity on the shopfloor in the modernized stores is 10 percent higher than in the older ones. By the fiscal year 2025/26, the electronics retailer also plans to reduce location costs (rental costs & IFRS 16 depreciation, occupancy costs, location depreciation) and increase overall sales area productivity by up to 10 percent.