In what context has your company’s activity evolved since 2022?
The context is convenient because it serves a circular economy and reuse. The pandemic has cast light on our relationship to consumption and overconsumption. Moreover, the weight of refurbished products in 2021 increased to 17% of the market share (compared to 14% in 2020) and 1 in 6 phones sold in France were refurbished. Largo navigates this trend and capitalizes on collective environmental awareness, especially among the younger generations. Finally, the Anti-Waste Law obligates public institutions to include in their invitations to tender, 20% of refurbished electronic products.
What are your goals for the 2021 offering?
The advantages of the grant are to raise larger amounts to support the project in the long term. In 2021, we raised 24 million euros. The bottom line is our transparency and quality assurance as a French player in this fully structured market.
How is the company positioned in the market?
Since 2016, the launch date of Largo, the company has experienced very strong growth since the turnover increased from 1.2 million euros to 6.5 million in 2017, over 10 million in 2020 and 17, and 6 million in 2021. We aim 30 million euros in turnover at the end of 2022. Five market players share, but Largo is unusual because the company relies on several distribution channels: retail, digital, BtoB (Largo Business’s offer is 9% of sales in 2020), telephony operators, and converged insurance companies (Pacifica, etc.). In addition, the company undertakes not to freeze the device for more than 72 hours in the event of a malfunction and to file a complaint online at https://sav.largo.fr/.
What is your distribution network?
Largo deploys an effective multi-channel strategy around mass distribution in particular with 2000 points of sale (64% turnover in 2021; target 48% in 2022 for better channel balance). The brand is distributed both physically (in Leclerc, Conforama, Système U, Darty …) but also in markets (BackMarket, Amazon …) and via the Largo.fr website, which was launched in September 2021. Today, Direct sales represent 25% of Largo’s sales volume It mainly depends on short circuits.
What is your e-commerce strategy?
It’s very recent since the IPO. All fundamentals related to user experience are studied to facilitate the selection of products (purchasing guides, comparisons, etc.). We create content around the product catalog presented in the digital world and work on our natural references ahead of our 2023 marketing investment plan.
What are your plans for 2022?
Develop short circuit channels (buy in Europe, France and less in the US) and increase our production to double activity (replenish more to supply distribution channels). Largo has started automating part of its production by investing in 6 A new generation of robots. Target: Significant increase in its ability to regenerate (To reach 25,000 renewed products per month by the end of 2022, compared to 7,000 per month a few months ago.) Finally, individuals will be able to sell their devices on Largo starting from the beginning of the school year. in In 2025, we target 70 million euros of turnover
The main characters of Largo:
17.6 million euros in turnover in 2021, i.e. + 71% in one year
220,000 refurbished smartphones since its inception in 2016
More than 2000 distribution points