Largo focuses on green electronics

In what context has your company’s activity evolved since 2022?

The context is favorable because it serves the circular economy and reuse. The pandemic has shed light on our relationship to consumption and over-consumption. In addition, the weight of refurbished has increased to 17% of the market share in 2021 (vs 14% in 2020) and 1 in 6 phones sold in France are refurbished. Largo surfs on this trend and benefits from a collective ecological awareness, especially among the younger generations. Finally, the Anti-Waste Act obliges public institutions to include 20% of refurbished electronic products in their tenders.

What are your goals with the IPO in 2021?

The benefit of the grant is that larger amounts are raised to support the project in the long run. In 2021 we raised 24 million euros. The whole point is also transparency and our quality guarantee as a French player in this market in full structure.

How is the company positioned in its market?

Since 2016, the date of the launch of Largo, the company has experienced very strong growth as its turnover increased from 1.2 million euros to 6.5 million in 2017, more than 10 million in 2020 and 17.6 million in 2021 .And we aim 30 million euros turnover at the end of 2022. Five players share the market, but Largo is atypical because it relies on multiple distribution channels: retail, digital, BtoB (the Largo Business offering is 9% of sales in 2020) and operators in telephony and affinity insurers (Pacifica, etc. ). In addition, the company undertakes not to immobilize a device for more than 72 hours in the event of a malfunction and a complaint online at https://sav.largo.fr/.

What is your distribution network?

Largo uses an effective omnichannel strategy around mass distribution in particular with 2000 points of sale (64% of revenue in 2021; target of 48% in 2022 for better balance between channels). The brand is distributed both physically (at Leclerc, Conforama, Système U, Darty…) but also on marketplaces (BackMarket, Amazon…) and through the Largo.fr site, launched in September 2021. Today, direct sales represent 25% of Largo’s turnover and relies mainly on short circuits.

What is your ecommerce strategy?

It is very recent since the IPO. All the basics related to UX are studied to facilitate the choice of products (buying guides, comparators, etc.). We are creating content around a product catalog offered in the digital universe and we are working on our natural references ahead of the 2023 marketing investment plan.

What are your plans for 2022?

Develop short-circuit channels (buy in Europe and France and less in the United States) and increase our production to double the activity (recondition more to supply the distribution channels). Largo has started automating part of its production by investing in 6 new generation robots. The target: significantly increase reconditioning capacity (to reach 25,000 refurbished products per month by the end of 2022, compared to 7,000 per month a few months ago). Finally, from the beginning of the school year, individuals can sell their devices on the Largo site. In 2025, we aim for a turnover of 70 million euros

Key figures about Largo:

17.6 million euros turnover in 2021, or +71% over a year

220,000 refurbished smartphones since its inception in 2016

61 employees

More than 2,000 distribution points

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