Emma revamps product mix and cuts prices after sales leap
Mattress in a box retailer Emma has significantly cut the price of its Original mattress and revamped its product offer after more than doubling UK sales in the first half of the year.
Sales in the UK jumped to €44.3m, while total sales jumped 120%. Turnover was not disclosed.
It has cut the price of its middle-tier Original mattress by up to 30%: single mattresses have been cut in price by 30%; doubles by 23%; king size by 17% and super king sizes by 13%.
‘The price reduction is enabled by economies of scale, process optimisations and more efficient material procurement. By achieving significant process innovations, we are able to give our customers the best sleep experience at a great price. Emma is the most searched for mattress in the UK, outperforming its domestic competitors. Our goal is to maintain our dynamic growth while ensuring that all workflows and capacities are extended accordingly,’ says Santosh Marrivagu, Emma country head UK and Ireland.
‘Emma mattresses are available in three price ranges: Essential, Original and Hybrid. While Emma Original and Emma Hybrid are the key products in the online shop, Emma Essential, the mattress in the low-price segment, is sold via marketplaces only. Some of the accessories such as sheets have been withdrawn from the portfolio, as they have not met the customers’ needs. Both the new pricing structure and the new product range are intended to attract different target groups. As a direct-to-consumer brand, we get direct feedback from our customers and can quickly adapt to their needs and shopping habits.’
‘As a sleep tech company, continuous innovation is a core element of our business strategy, not only regarding products and solutions we bring to our customers but also in how we organise and conduct our business. I am confident that the optimized portfolio will support Emma in achieving the revenue target for 2020 and thereby strengthen our leading market position in the UK.’
‘In countries where Emma enjoys a brand awareness of more than 30% as is the case in the UK, we observe that our brand drives consumer traffic to stores, helps improve conversion in store as well as online in the web shops of our partners and contributes to an increasing average basket,’ says Dennis Schmoltzi, Emma co-ceo.