Beter Bed is well above its pre-Covid level, thanks to e-commerce, wholesale and improved shops. Sales grew by more than 38 % in the last quarter.
Softening price increases
CEO John Kruijssen is a happy man: compared to the same quarter of the previous year, sales rose by 38.6 % to 60.5 million euros. The mattress seller received more than 40 % more orders and its sales increased by 10 % compared to the period before the Covid pandemic.
All business units performed well, but e-commerce in particular. Beter Bed now generates 21 % of its turnover online, thanks to recent new investments. “We have managed to mitigate supply chain imbalances and price increases and have ensured a consistent price-quality ratio, which is highly valued by our customers”, Kruijssen said.
In the Benelux, sales increased by 38.5 % and comparable order intake by 43.7 %, despite the fact that the Dutch shops were closed for an two weeks in early January. Partly for this reason, Beter Bed continued to focus on online retail, with new payment options, faster delivery and specific training for shop staff.
Mattress subscriptions and sleep IDs
After being tested in the flagship store in Groningen, the roll-out of ‘Beter Slapen ID’, an in-store measurement solution that provides personalised mattress advice to customers, has now started. The tool is now available nationwide in the Netherlands, but more shops will follow later this year.
The DBC wholesale business and the Leazzzy leasing service are also relatively new. Together they grew by 40.6 % to 4.1 million euros compared to the first quarter of last year, with wholesale sales increasing by 75 %. The company does not disclose the number of people currently leasing a mattress through Leazzzy, but says subscribers are being added every month. In addition to bed frame rental, customers can now request a mattress subscription and other services will follow in the second quarter.
Despite rising raw material prices, Beter Bed expects to maintain a stable gross margin this year. At the same time, the bed specialist is increasing its investments to modernise the look and feel of existing shops, roll out Beter Slapen ID and further develop digital capabilities.
