Digital transformation progresses

ELECTROSTAR/starmix records stable company development despite pandemic.

Stuttgart/Ebersbach, 29.06.2021   The past year held many challenges in store for ELECTROSTAR/starmix. Overall, however, the crisis was used to further develop the corporate strategy and, in particular, to drive forward digitalization.

As a result of the merger with Haaga Kehrsysteme, ELECTROSTAR/starmix 2020 recorded significant growth. Total revenues increased to 40.6 million euros. In organic terms, sales were only slightly down on the previous year despite the pandemic. While sales of cleaning equipment showed stable growth, the sanitary segment, whose customers come from severely affected sectors such as the food service and hotel industries, suffered setbacks. In Germany in particular, sales declined massively as a result of the SARS-CoV-2 occupational health and safety rule, which in the meantime recommended avoiding the use of hot-air hand dryers in general. However, the recommendation was lifted in May this year, indicating positive future prospects in the segment.

"The past year has been challenging. The Corona crisis has led to significant corrections in our strategy. However, not by postponing strategic projects, but the other way around, major projects in the area of digitalization were brought forward. The merger with Haaga Kehrsysteme GmbH marked the successful completion of another major project. In 2021, we continued the digital offensive with the introduction of a new CRM system and the switch to the cloud, and are launching a veritable product fireworks display to mark the company's 100th anniversary," explains CEO Roman Gorovoy.

The company made its way through the pandemic by setting up task forces to safeguard delivery capability, employee health, and earnings and liquidity. Thanks to good, daily crisis management, ELECTROSTAR/starmix was able to expand its investments in the future despite the crisis.

This accelerated existing developments in the company. After all, even before the outbreak of the Corona pandemic, the topics "development of new business models", "sales in the digital age", "customer service", but also "networking" and "innovation management" were the focus of the corporate strategy. Against this backdrop, resources were also reallocated last year to invest in the digitization of sales in particular. At the same time, the various sales units were bundled into a central service unit.

With a view to corporate culture and innovation capability, ELECTROSTAR/starmix has promoted decentralized working, more teamwork and personal responsibility. As a result, this has led to cross-departmental project-based working, which offers more scope for further development.

Despite the continuing uncertain economic situation due to material shortages on the raw material markets and extreme price increases, ELECTROSTAR/starmix will continue to adhere to its strategy in its anniversary year. Particular focus will be placed on the further development of competencies relevant to the strategy, the development of new innovative products and the implementation of further digitalization modules. The customers of ELECTROSTAR/starmix are to benefit first and foremost from all these activities: through better service and even more competitive products.

- a piece of German industrial history that is being continued with great success in the 21st century. The industrious Swabians have been manufacturing vacuum cleaners since 1921 and invented the hot-air hand dryer four years later. In the years of the economic miracle, starmix achieved world renown: the universal starmix kitchen machine became a bestseller that no good household could do without. Today, ELECTROSTAR GmbH, which has been part of the Algo Group since 2007, stands for innovative technologies, outstanding quality and uncompromising customer orientation. Under the starmix brand, the company develops, produces and sells a wide range of powerful vacuum cleaners for trade, commerce and industry worldwide. From the starmix sanitary business field, modern warm air and high-speed hand and hair dryers as well as an extensive hospitality product range complete the portfolio. Since the acquisition of Haaga Kehrsysteme GmbH in 2012, innovative sweepers have also been part of the product range. In 2020, ELECTROSTAR/starmix and Haaga Kehrsysteme merged. The company employs around 200 people at its sites in Ebersbach. The two brands starmix and Haaga generated a turnover of around 41 million euros in 2020.
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Electrostar GmbH
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