Action experiments with online sales

Author without image icon
Editorial
01 September 2020
2 min

In recent years, Action did not want to know anything about e-commerce, but is now carefully experimenting with online sales in Belgium and France. The discounter does not do home delivery, customers have to pick up the order in the shop. "It is damned difficult to get a product that costs €1.50 excluding VAT to the customer's home without loss."

Until a few months ago, Action customers could only view products on its website. This is now cautiously changing. In five shops in France and five shops in the Antwerp region, the retail chain started a trial with click & collect. Customers can order items online and collect and pay in store. A shop employee collects the order for them.

Action chose these countries because the 700 shops here were closed during the corona crisis. "In such a case, click & collect can be a solution," CEO Sander van der Laan states in an interview with Nu.nl."We do see the trials there in the back of our minds as a broader test."

Consequences corona crisis

The Dutch company now has sixteen hundred shops, which collectively generated a turnover of EUR 5 billion and an operating profit of EUR 500 million in 2019. For 2020, Van der Laan expects a weaker result. "This year, we will definitely get a big hit from the corona crisis. In those first months, we turned 50 to sometimes 75 per cent less turnover."

Expansion drive

Meanwhile, it is rapidly expanding to other countries. Last week, the first shops were opened in the Czech Republic and next year Italy is planned. Action serves new locations from its eight existing distribution centres. "New countries are always those adjacent to countries where we are already located," the CEO said.

Shops not stocked on time

Action made headlines in recent months because of its empty shelves in shops. Due to the pandemic, shops could not be stocked on time. The retailer faced delays from China, where Action sources a large part of its supplies, and problems occurred in the distribution centres. Logistics sites in France, Germany and Poland were down for months or running at much lower capacity as hundreds of shops had to close temporarily.