Anyone who thinks that low-cost is incompatible with luxury and design is wrong. They know it well at Northdeco, a purely online Spanish company dedicated to the sale of designer furniture. The company, born three years ago in Barcelona, is specialized in offering its customers exclusive products at an affordable price.
A task that to date they are achieving with great success. In fact, in the midst of the economic crisis caused by Covid-19, they closed 2020 with a turnover of 3.2 million euros. A figure that has positioned the brand as one of the companies that is setting trends in the decoration sector. “Despite the pandemic, it was a very positive year. We increased our billing six times, in 2019 we billed 500,000 euros,” explains Josep Cortina, the company’s CEO, to elEconomista.
Not only 2020 has been very good, the prospects for the future are also very good. If the company’s estimates are correct, by the end of the year they expect to double the figures for 2020 and close with a turnover of seven million euros, a figure that would be a new record for the company. From Northdeco they explain that since they were born in 2018 they have registered exponential growth that has not stopped even in the midst of a health crisis. Their ambition has no limits, so much so that they hope to reach 20 million in 2025, which would mean a growth of 525% compared to 2019.
Overcoming the economic crisis has been largely thanks to the importance of e-commerce in their business. “The pandemic has put the digital world in the spotlight. More and more people choose to buy online and avoid unnecessary trips or queues. Without a doubt, from a business point of view it has benefited us,” Cortina details.
This growth is allowing Nothdecho to carry out international expansion plans, although for now they rule out making the leap to countries in America or Asia. Looking ahead to 2021, one of its main objectives is to strengthen its presence in Spain, make the leap to more countries and, above all, “gain market share in the countries where we are already established”.
So far, 70% of its turnover comes from abroad, mostly from France. Cortina is clear about why the importance of the neighboring country is due: “The French public is more susceptible to the world of design in general. In addition, they tend to have higher average tickets.”
The importance of France and Spain in Northdeco’s business is explained by a simple factor: transportation. “In these two countries we are more competitive with transport. The further you go into Europe, the more expensive it is to send the product”, the CEO qualifies.
Eco-friendly catalog
Within the Northdeco catalog you can find both pieces of your own design and other brands, but they are always “exclusive products at an unbeatable price” as detailed by the company itself.
The products available through its website are not only “minimalist, simple and functional”, the company is aware of the planet and is also committed to carrying out an eco-friendly policy. So much so that they have set themselves a goal for 2021 to start making responsible-manufactured furniture. In fact, currently some of its products are certified with the acronym WPC (Wood Plastic Compositer). What does this mean? These are unique pieces that are produced with bamboo and sawdust, are fully recyclable and free of harmful substances.
“We placed a first order at the beginning of the first quarter of 2021. We will receive it shortly. We put the items on pre-sale to calculate the reception it would have, and almost all the product is sold on demand. We calculate to close this year with more than 5,000 ecological chairs sold”, says Cortina. Their long-term goal is to be more and more ecological, although they acknowledge that today talking about 100% of the products “is complicated”.
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