Brico Depôt accelerates its expansion in Spain after the boom in online sales of paint and swimming pools in the Covid

Its ‘ecommerce’ already accounts for 4% of sales and the goal is to reach 25% in the coming years.

Brico Depot Iberia CEO Mike Foulds.

Who would have thought years ago that the Spanish would buy paint to reform the house through the internet? Or swimming pools like there is no tomorrow? Well few. Only a pandemic like the Covid can explain this phenomenon and only a company like Brico Depôt Iberia has been able to manage sales increases of up to 40% with the creation in full crisis of its ecommerce.

The company, initially affected by the closure of stores, went on the market online with a platform that they created in just six weeks, but that already has great benefits. “4% of sales already come from this channel and we see a growth opportunity of 10% or more”, assures in an interview in Invertia the CEO of Brico Depôt Iberia, Mike Foulds.

And that “more” is marked in 25% of sales from the ecommerce in the next years thanks to a change in trend that has caused us Spaniards to spend more time at home.

Trend that, in his opinion, will continue. Something that gives them optimism for future plans. “People expect to spend more time at home, especially millennials. A third of them have already tackled a reform project with Covid. They are the ones who will continue renovating their homes”, he points out.

“Now we deliver at home to individuals or at the construction site in three days and in one hour with the click & collect”, he assures. In fact, this bet has allowed increase by nearly 100 the digital profiles hired and raise the workforce in Spain to 2,200 employees.

Pools and painting

A whole strategy after registering unthinkable sales during the Covid. “In six weeks we sold the same pools as in a year”, recalls Mike Founds. Although the surprise was taken with the painting. “We have seen that up to 40% online they were for paint and home delivery accessories during Covid,” he says.

In summer they also sold 10% more air conditioners than a year earlier and now double sales of heating-related products.

paintings

paintings

But the thing does not stop there. Besides of ecommerce, the click & collect and the app, facing 2021 “we are preparing for the first half of the year the renewal of the web platform that will facilitate the purchase and will make the customer experience faster. Also new cashier programs and a loyalty program for professional customers”, he points out.

billing drop

Despite these sales increases, especially in the online, The company’s turnover, according to the CEO, will suffer “a small drop in sales due to Covid” compared to the 400 million euros of turnover obtained in 2019.

In fact, before the October and November restrictions, the company planned to match sales; but not anymore. “We had a drop of 22% in the first semester. In the third quarter, growth was 18%, but it has been impacted in the last days of October, especially in Catalonia and Andalusia”, he acknowledges.

Despite this, they say they have recovered the vast majority of these losses and are very optimistic. They will grow in 2021 above the sales of 2019 and will continue to work on prospering in the channel onlinebut also physically.

“We are working to open more stores in the future. It will not be this year or in 2021, but it will be in the medium and long term,” says Foulds, who advances that he will also they will create smaller and proximity stores beyond the 28 establishments of between 4,000 and 7,000 m2 that they have. The goal is to have a point of sale, whether large or small, in an area that is 20 minutes from each Spaniard.