Despite the coronavirus crisis, the British fashion e-commerce company focused on emerging markets GFG (Global Fashion Group) reported growth in the first quarter as orders and average value in purchases increased. In Latin America, GFG owns Dafiti. The good results made its stock prices rise.
GFG’s Net Merchandise Value (NMV) increased by 13.1% on a constant currency basis to €372.1m ($406 million). Revenue growth was 8.1% on a constant currency basis reflecting a growing proportion of transactions coming through the marketplace, which accounted for 25% of Q1 Net Merchandise Value.
In a press statement, Christoph Barchewitz and Patrick Schmidt, Co-CEOs of GFG said that “GFG has had a good start to the year, trading in line with our expectations until mid-March. We have continued to deliver against our strategic priorities, with strong growth across NMV, Revenue, Frequency, Active Customers and Order, while improving profitability.”
GFG’s active customers increased by 15.5% to 13.3 million, with NMV per active customer up by 3.9%. The company also saw orders grow by 7.4 million, with a 5.2% increase in the average order value. Customers purchased 2.7% more frequently at 2.6 times per year, the 10th consecutive quarter in which we have increased frequency.