Kaufland and Allegro to Launch New E-Shops

Goods from thousands of e-shops in one location – this is the future of e-commerce as online platforms take over the Western world.

It’s no different in the Czech Republic, where Germany’s Kaufland and Poland’s Allegro are both competing this year.

The Big Players Lacked Competition

Until now, the market has been controlled almost completely by the most well-known domestic e-commerce companies, Heureka Group, Mall Group, and Alza. Their market dominance, however, may be fading as the online world is being taken over by platforms, with several major names trying the Czech online scene.

This year, Kaufland and Allegro will debut their markets in the Czech Republic. The Mall Group owns Allegro in Poland, the world’s tenth biggest internet marketplace. Seznam is also preparing to open a marketplace next year.

Kaufland, which debuted the German marketplace Kaufland.de in 2021, has over 40 million products from over 8000 vendors.

“Among them are a number of Czech merchants who have been selling effectively on the German marketplace. “We are excited to launch two new marketplaces in the Czech Republic and Slovakia, Kaufland.cz and Kaufland.sk, on which we are currently focusing,” said spokeswoman Renata Maierl.

According to a Boston Consulting Group (BCG) survey, the percentage of worldwide e-commerce held by marketplaces has grown from a quarter to a complete half over the last decade. According to the BCG study, 67 percent of people believe that products in physical shops are more expensive than those purchased online.

The Arrival of Amazon is Not Out of the Question

The major issue is whether Amazon will enter the Czech market in the future. The business kept its plans under wraps until the last minute, but analysts believe that the Czech Republic will not be saved.

“Amazon is expanding into markets ranging from the largest to the smallest.” Only Switzerland is ahead of us in Europe,” says David Antos, a Boston Consulting Group expert.

Amazon’s final European moves will take it to the Benelux nations, Scandinavia, and Poland.