In its second-largest acquisition, Amazon buys the company for $970 million.
The international apparel and accessories web retailer is moving into China.
Yoox Group reported a hefty e-commerce sales increase for the first nine months of 2010 and has expanded its global marketplace into China, according to the company’s Consolidated Interim Financial Statement filed last week with the Borsa Italiana, Italy’s main stock exchange.
The first online store is scheduled to launch in China by the end of 2010 and will be one of Yoox’s 21 Mono brand web stores, such as EmporioArmani.com and Diesel.com, which the company operates for other retailers and brand manufacturers. The first e-commerce business to roll out was not identified.
The Mono group will operate with a localized structure via a new Chinese subsidiary that is 100% controlled by Yoox Group’s parent Yoox S.p.A., with an office in Shanghai. The office will be led by a country manager who will oversee a local team that will manage technology, buying and merchandising, communication and retail marketing, content management, interface design, and customer care, the filing says. Yoox has yet to name its key executive in charge of China operations.
The group will have a logistics center in Shanghai equipped with digital production studios for cataloging activities and photographic services.
The Multi-brand e-commerce companies, which are owned and operated by Yoox, will follow first with TheCorner.com by the end of 2011, and then Yoox.com in 2012, according to the filing.
All the online stores will be in Chinese, and purchases can be made in yuan, the Chinese currency, or other widely available local payment systems.
Yoox, No. 93 in the Internet Retailer Top 500 Guide, doesn’t break out quarter-to-quarter comparisons. For the first nine months of 2010 ended Sept. 30, the Bologna, Italy based company reported:
- Web sales were 116.0 million euros (US$156.4 million), a 30.7% increase from 88.7 million euros (US$119.6 million) through the first nine months of 2009. The web accounted for about 77% of total sales compared with about 83.2% in the prior-year period, the company says.
- Total sales were 150.7 million euros (US$203.2 million), a 41.2% increase from 106.7 million euros (US$143.8 million).
- Commercial web services revenue was 34.7 million euros (US$46.7 million), up by 93.2% from about 17.9 million euros (US$24.1 million).
- Sales in Italy were 35.1 million euros (US$47.3 million), an increase of about 25% from 28.1 million euros (US$37.9 million).
- Sales to the rest of Europe were 73.3 million euros (US$98.8 million), an increase of 38.3% from 53.0 million euros (US$71.4 million) in the prior year period.
- North America sales were 29.2 million euros (US$39.3 million), up by 74.4% from about 16.8 million euros (US$22.6 million).
- Japan sales were 9.6 million euros (US$12.9 million), an increase of about 50% from 6.4 million euros (US$8.6 million).
Net income was 4.0 million euros (US$5.3 million), up by about 42% from 2.8 million euros (US$3.7 million) through the first nine months of 2009.