Magazine Luiza: e-commerce as share of total sales 2016-2023

The outbreak of COVID-19 seems to have accelerated a trend in the business model of Magazine Luiza, a retailer founded in 1957 in Franca, Brazil. In 2023, online sales generated 72.3 percent of the company’s total sales revenue. The share is 1.6 times bigger than in 2019, before the pandemic, when less than half of the firm's sales were made online. The magic of MagaLuIn May 2020, Frederico Trajano, CEO of Magazine Luiza and son of chairwoman Luiza Helena Trajano, said the holding could endure two more years with its physical stores closed – a measure the company had taken earlier that year in response to the pandemic. Third-party online sales are becoming increasingly important for the digital revenue of MagaLu, as the holding is often referred to. For the first time since 2016, the online retailer reported a negative net income in 2022 of almost minus half a billion reals. E-commerce competitors are readyMagazine Luiza might be on the top of its game in the online retail segment, but there is serious competition. In terms of first-party online sales, it ranked first in 2021, followed by two other local players, Lojas Americanas and Via Varejo. Online marketplace Mercado Libre (of Argentine origin but known in neighboring Brazil as Mercado Livre) saw its net revenue in Brazil nearly double from 2020 to 2021.

COVID-19疫情的爆发似乎加速了巴西弗朗卡成立于1957年的零售商Magazine Luiza的商业模式转型。至2023年，该公司总销售收入中有72.3%来自于线上销售。这一比例是疫情前2019年的1.6倍，当时公司约有一半的销售为线上完成。在2020年5月，Magazine Luiza的首席执行官弗雷德里科·特拉亚诺（Frederico Trajano）及其董事长母亲路易莎·海伦娜·特拉亚诺（Luiza Helena Trajano）之子表示，在实体店关闭的情况下，该集团能够再维持两年——这一措施是在当年为应对疫情而采取的。对于常被称为MagaLu的控股集团而言，第三方在线销售正变得越来越重要。自2016年以来，该在线零售商首次在2022年报告了接近半亿雷亚尔的净亏损。尽管Magazine Luiza在在线零售领域可能已经处于顶峰，但面临激烈的竞争。在第一方在线销售方面，该公司在2021年排名第一，紧随其后的是另外两家当地企业Lojas Americanas和Via Varejo。来自阿根廷的在线市场Mercado Libre（在巴西邻国被称为Mercado Livre）在2020年至2021年间，其巴西净收入几乎翻了一番。