DGAP-News: Adler Modemärkte AG: ADLER Launches New Online Shop

Press Release from Adler Modemärkte AG

Dynamic E-Commerce Growth and 20% Increase in Online Sales Targeted for 2020

ADLER Launches New Online Shop

Adlermode.com Offers New Functionalities and Sleek, Customer-friendly Design

Haibach (near Aschaffenburg), 6 October 2020: Adler Modemärkte AG today unveils its new online shop. Aside from a sleek, appealing and user-friendly design, it also offers a host of new functionalities. This is a key step towards implementing the Company's new e-commerce strategy, which focuses on brisk expansion.

Ambitious targets to boost e-commerce business

One key element to Adler Modemärkte AG's growth strategy is to expand its e-commerce business. The new online shop, originally announced to go live in 2021, has been designed to better service the needs of customers and is set to launch three months earlier than planned. This means it will be available to customers for the key Christmas business. The re-launch of the online shop also extends to the ADLER app, which now also offers new functionalities.

"ADLER's growth strategy is based on its established business in physical stores, as well as increasingly on its online business. The coronavirus crisis has highlighted the need for this," said Carmine Petraglia, CCO at Adler Modemärkte AG. "Our new, state-of-the-art online shop fulfils our promise to customers, creating a seamless link between in-store and online trading to offer our target group the best shopping experience across all channels."

ADLER's original goal was to lift online revenue above the €30 million mark by 2023. With the publication of the half-yearly results for 2020, the targets for online trading were revised significantly upwards. ADLER is also counting on its roughly 9 million customer loyalty cardholders to help it achieve this target.

Dynamic growth in online trading - ADLER targets growth in excess of 20% in 2020

ADLER's online retail activities saw extremely dynamic expansion in the first half of 2020, generating above-average year-on-year growth of nearly 20%. ADLER was thus well above the growth trend for online retail in Germany overall, which was 9.2% in the first half of the year according to a study by the Bundesverband E-Commerce und Versandhandel e.V. (bevh), Germany's association for e-commerce and mail order business. In fact, the "clothing and footwear" merchandise group grew by only 6.4%, according to the bevh. The growth trend for the online business is set to persist in the second half of the year. ADLER is targeting growth in excess of 20% for the year overall.

"We are confident that our increased online retail activities will pave the way towards profiting from the significant increase in online shopping," said CCO Carmine Petraglia. "The new infrastructure of our shop system leaves us very optimistic about our ability to significantly increase our growth rates in online shopping." The other established sales channels, which rely on digital platforms such as Otto.de and Amazon, continue to show encouraging growth, and three more marketplaces are set to join them in the future.

New functionalities for an improved shopping experience

Ten years after going live, the new online shop is now being tailored to better suit customer needs. The design of the new online shop focuses in particular on personalised offers that take into account customers' individual preferences.

"In spite of the difficult conditions during the weeks-long lockdown in the spring, our crew put the pedal to the metal to deliver three months ahead of schedule," said Jochen Weiss, Head of E-Commerce at ADLER. "After running intensive tests with around 500 people in our target group, we are confident that we can capture our customers' interests and preferences, thereby giving them an outstanding user experience."

Registered customers will find in their customer accounts an overview of their personalised vouchers, their loyalty points balance and their orders. Naturally, they will still be able to take advantage of all the benefits offered by the ADLER customer loyalty card and collect points with every purchase.

To further customise its offering to existing customers, ADLER is also able to access information from their previous shopping history in order to provide personalised recommendations. New customers will receive recommendations based on what other customers have bought. The "shop the look" functionality pairs items to be recommended to customers in order to make it easier to put together complete outfits. Customers can save favourite items to their personal "wish list", which they can access and purchase later on.

Sleek, user-friendly design

The online shop's new, sleek design is clearer and more user-friendly, making it easier for customers to find what they are looking for. Favourite categories such as womenswear, menswear and kidswear can still be found in the main navigation menu. There are also other categories such as plus sizes and sales. The new structure was deliberately designed around the customer. It is easy to find items using clothing styles and brand pages. At the same time, the new online shop offers inspiration and new ideas for outfits.

You can find the online shop at https://www.adlermode.com/. For more information about the Company, please visit ADLER's website at https://www.adlermode-unternehmen.com/en/.

Adler Modemärkte AG press enquiries and investor relations:

Peter Dietz

Media and Investor Relations

Tel.: +49 6021 633 1828

E-mail: [email protected]

About Adler Modemärkte AG:

Adler Modemärkte AG, headquartered in Haibach near Aschaffenburg, Germany, is one of Germany's largest and most important textile retailers. In 2019, the Group generated revenue of €495.4 million and EBITDA of €70.3 million. As at 31 December 2019, ADLER employed a workforce of around 3,600 and currently operates 171 stores, 142 of which are located in Germany, 24 in Austria, three in Luxembourg, two in Switzerland, plus an online shop. The Company focuses primarily on large-space concepts offering in excess of 1,400 m² of retail space. With its many own brands and select external brands, ADLER offers a highly diverse product range. Thanks to more than 70 years of tradition and strong customer loyalty, ADLER considers itself to be the market leader within its target group of affluent customers aged 55 and over.

For more information: www.adlermode-unternehmen.com; www.adlermode.com