Large electronics retailer before the end: German company closes

Large electronics retailer before the end: German company closes
Written by insideindyhomes

After Conrad and Co.

In Germany there will soon be one electronics retailer less. The company has announced that it intends to close all 18 locations shortly.

Dortmund – Stationary retail has seen better days. The corona pandemic and the ongoing boom in online business are causing one insolvency procedure after the other. But the online market is not safe from crises either, as an electronics retailer is now feeling bitterly. He withdraws from Germany.

AO Germany Limited Online retailer of electrical appliances
subsidiary of British market leader
Locations in Germany 18
headquarters Bergheim near Cologne
employees in Germany Around 450

After Conrad and Co: Next electronics dealer in Germany before the end

It’s like a domino effect: It wasn’t until 2021 that the electrical giants Saturn and Media Markt announced that they would have to close numerous branches in Germany, then in early 2022 the next bad news: The electronics retailer Conrad announced that it would be completely out of the offline business say goodbye and want to close almost all branches by the end of the year. According to Conrad, he now wants to focus on mail order.

The next electronics giant is now joining the news about closures and upheavals: AO – a retailer that has specialized in selling electronic devices such as refrigerators, washing machines and televisions since 2014 and sold them exclusively online. But that’s over now – at least as far as the market in Germany is concerned, like that food newspaper reported.

Retailers for electrical appliances are closing 18 locations in Germany

AO always advertises that it has a wide range of different electronic devices on offer – and that they always deliver them to your doorstep free of charge at fair prices. It was probably well received by customers. The ratings speak for themselves: few had anything to complain about when it came to “super fast delivery at a good price”.

It probably didn’t pay off in Germany and in future customers will have to do without the electronics retailer, whose roots and parent company are in Great Britain. According to an official statement by AO, the board of directors has decided “that the closure of the German company is the best course of action”.

Electronics retailer AO is withdrawing from Germany because of Corona

And for what reasons? Also Corona. But wait a minute, didn’t Corona cause an upswing in online trading? Yes, but this seems to be over now – at least if you want to believe the statements of the parent company of AO.

Customers are said to have returned to online shopping behavior like before the pandemic. But an “intensified competitive landscape”, a “significant increase in digital marketing costs and a restricted supply chain” are also cited as reasons for the German company’s withdrawal.

The electronics retailer AO is closing its German company and wants to focus on the British home market.

© AO

AO closes: Electronics dealers will soon no longer deliver in Germany

The prospects for the German company had increasingly deteriorated, which is why the decision was ultimately made to close all locations in Germany. Since 2014, the electronic devices have been sent from around 18 so-called outbases and warehouses across Germany.

An exact point in time when this will end is not yet known. The statement by the British parent company only says that the local shops in Germany will continue to be operated for a short time in order to “facilitate a structured and orderly closure for customers, suppliers and employees”.

The market for electronic devices seems to be in a crisis – regardless of whether stationary or digital trade. There are several reasons for this: Corona, a lack of chips and now also rising inflation. But the fashion industry doesn’t seem to be spared either. In a short time, two companies have announced that they will have to close numerous branches: Pimkie and Orsay will soon disappear from the inner cities.

List of rubrics: © Michael Bihlmayer/Imago

#Large #electronics #retailer #German #company #closes

About the author


Leave a Comment