Starting October 1, 2024, the Triple A Group from Bielefeld, known for their leading online erotic marketplace Eis.de, will take over the Bremen-based sex toy manufacturer Fun Factory. This acquisition includes the entire portfolio, such as patents, designs, brands, inventory, and the D2C shop Funfactory.com. CEO Sven Pelka plans to position Fun Factory as a complement to the successful in-house brand Satisfyer. In a conversation with Etailment.de, he shares insights into the upcoming integration and future direction, both online and offline, but is reserved with financial details.
Sven Pelka, why did a retailer decide to buy a manufacturer?
We’ve already established ourselves as a leading player in the “Sexual Wellness” field, both with our successful online shop and our brand Satisfyer. Adding Fun Factory to our lineup makes sense since both brands are globally recognized. While many major players are now backed by Chinese investors, both Fun Factory and Satisfyer remain privately held. This independence was a big factor in our decision.
Will Fun Factory get more visibility on Eis.de?
Just like Satisfyer, Fun Factory will also have a prominent placement on Eis.de. We’re not planning to exclude other brands because there’s enough space for everyone. Fun Factory’s separate sales channels will remain, just like with Satisfyer.
How will you handle customer data?
Customer data will be treated separately, as we do with Satisfyer.com. We have separate databases, newsletters, and so on. Protecting our customers’ privacy is our top priority.
Will the “Fun Factory” brand continue?
We respect the founders’ legacy and aim to keep it thriving. We’ve taken over all inventory in Germany and internationally, and we’re currently producing goods worth 15 million euros in Germany. So, customers won’t notice any disruption in product availability.
How do you plan to attract new customers outside the traditional sex toy market?
Our biggest growth opportunities lie in continuing our product innovations and entering new markets. We’re investing in multi-channel marketing campaigns, from influencer partnerships to sponsorships and couponing. We were the first company of our kind to place ads in mainstream media like Cosmopolitan and Elle. The more the topic of sexual pleasure became normalized in the media, the more we grew.
What’s your take on the mix of online and offline business in the erotic market?
Online business is still strong, but there’s a growing trend of Generation Z shopping offline again. A combination of online and offline experiences is increasingly important to meet different customer needs. With Satisfyer, we’ve helped normalize “Sexual Wellness” products in brick-and-mortar stores, allowing customers to shop without embarrassment. The opening of new physical stores, like Orion in Frankfurt am Main, highlights this trend towards normalization and the potential in offline retail.
You also sell Satisfyer products through drugstore chains like DM and Rossmann, both in-store and online. Is that your move into physical retail?
Yes, we collaborate with several drugstore chains and marketplaces. Satisfyer and Fun Factory are positioned as lifestyle products, making them attractive and accessible to a wide customer base.
How big is this part of your business?
For strategic reasons, we don’t disclose exact sales figures.
Will you expand your sales channels to other sectors, such as bookstores?
We constantly explore new partnerships in various sectors. We don’t rule out discussions about potential collaborations with platforms that align with our brand and customer base.