Ahmet Zorlu

Esteemed Stakeholders,

The year 2022 was a year in which the world, focused on the pandemic recovery process, had to cope with great social and economic challenges in the face of emerging geopolitical developments.

The war caused significant humanitarian devastation and disrupted economic development. As vulnerabilities have increased, some pandemic-induced economic problems have worsened rather than diminished. The energy crisis that emerged in the aftermath of the sanctions led to a deepening inflation cycle. The rapid interest rate hikes by central banks to fight inflation have raised concerns about recession in the global economy.

In 2022, the Turkish economy faced problems due to high inflation, but continued to grow thanks to the positive contribution of exports. In their reports, various international organizations state that the Turkish economy will continue to grow in the coming period, despite concerns of a recession in the world economy.

With its flexible and agile structure, digital transformation and technology-oriented business model, Vestel successfully passed this multi-dimensional resilience test in 2022.

As one of Türkiye’s largest consumer electronics and major household appliances manufacturers and exporters, we accompanied Türkiye’s growth journey in 2022 with our strong contribution to the country’s exports. With export markets exceeding 160 countries and our market diversification capability, we have successfully implemented our exportoriented business model. While geopolitical developments and rising inflation had a negative impact on demand for TVs and major household appliances in Europe, our main export market, we still managed to increase our export volume in major household appliances and maintain our international sales volume in TVs, thanks to our strong product portfolio and competitive advantages as well as the strong growth we achieved in non-European markets. The contraction in the domestic market in the first half of the year was replaced by an upward trend in the second half due to low base effect and pulled-forward demand driven by the inflationary pressures. Our increasing strength in online and off-line retail, which captures consumer expectations with our digital competencies, further reinforced our position in the market. While our new practice of authorized online dealers contributed positively to our presence in online marketplaces, Vestel Ekspres stores, which we rapidly increased in number and which offer a combined physical and digital consumer experience, became one of the pioneers of the new trend in retailing in Türkiye. These efforts did not go unrewarded. Vestel Customer Services and Vestel Ticaret were selected as “Türkiye’s Best Workplace” by Kincentric, one of the world’s leading human resources and management consultancy companies.

On the other hand, according to the 2022 “Türkiye’s Most Valuable Brands” survey conducted by Brand Finance, an international brand valuation consultancy, Vestel rose seven places to rank fourth with a value of USD 720 million. This result shows that we are on the right track and encourages us to do better.

Towards a sustainable future with technology and humanoriented transformation

We continue to work for a sustainable future with our technology, R&D and innovation excellence and our human-oriented transformation strategy that supports it. Vestel’s operations and human resources continue to be transformed in parallel with technological developments. In this context, we utilize our R&D and innovation excellence to introduce innovative production processes that will reduce environmental impact. At the same time, we continue to develop products that use resources efficiently, provide high energy and water savings, and meet consumers’ health and hygiene expectations. As a technology company focusing on value-added services and digital solutions, we are expanding our product range that contributes to sustainability, from battery packs to in-vehicle display solutions for the automotive sector, as well as electric vehicle chargers, in addition to televisions and major household appliances, and increasing our contribution to the smart living ecosystem. As one of the founding partners of Togg, Türkiye’s automobile, we also provide all the in-car display solutions for the vehicles produced. We are also in talks with other automobile manufacturers around the world. On the other hand, we are taking strong steps towards growth with new technologies by focusing on electric vehicle chargers, battery solutions for two-wheeled vehicles, and energy storage systems for different areas of use, especially for the telecom sector.

While using the latest technologies such as artificial intelligence, the Internet of Things and autonomous systems in our factories, with our vision of continuous improvement and digitalization, we continue our digital transformation efforts at full speed to make Vestel City the first production facility in Türkiye to complete the Industry 4.0 transformation

In line with our vision of being a technology company creating social and environmental benefits, we integrate digitalization into both our business processes and working culture, and the products and services we offer. In order to adapt to digital transformation, we are also carrying out a humanoriented transformation in parallel. We adopt working models that develop employees’ skills and increase their ability to adapt to innovation and change. To this end, we reinforce a work environment that will ensure that employees’ career development is carried out through a fair and inclusive process. We strive to adopt and introduce modern and agile methods in all of Vestel’s operations through human-oriented working, systemic perspective and strategic management approaches.

Talent gap or shortage is one of the most challenging problems that companies may face in the 21st century. As an engineering and technology company, we recognize that investing in talent to drive technology and digitalization minimizes the risk of talent gap or shortage. With this understanding, we are working to spread human-oriented transformation not only to our own human resources, but also to the whole society, taking into account the needs of the society.

Smarter living for everyone

In line with our Smart Life 2030 sustainability strategy, we develop human-oriented ecosystems and innovative business models, and engage in value-creating partnerships to pioneer sustainability-oriented products, services and solutions in Türkiye and around the world.

Combining its sustainability approach with its IoT strategy, Vestel promises consumers an easier and greener life with its smart televisions as well as its environmentally friendly, innovative and smart major household appliances that provide high energy and water efficiency, and aim to reduce plastic pollution. Our vision of “Smarter life for everyone” is realized through Vestel Evin Aklı application in Turkey and VeeZy application abroad. Thanks to the digital services we offer in these applications and our collaborations, we provide our users with a much more comprehensive smart life experience.

Towards a net zero company

Vestel plays an important role in the efficient use of scarce natural resources and the fight against the climate crisis with the steps it has taken to transition to a net zero emission economy.

Leveraging the power of Industry 4.0 and automation, we support the reduction of energy consumption through operational improvements and innovative products, while implementing circular models to increase resource efficiency in production and reduce Vestel’s product-related environmental impact.

We aim to achieve net zero emissions by 2050 and are working on our decarbonization plan as part of our commitment to set Science Based Targets (SBTi).

The adoption of circular economy models, repair, recycling and upcycling efforts across the entire value chain play a critical role in preventing the global waste problem. In addition to the use of recycled plastics and bio-based plastic materials in products and components, our Company continues to work towards the goal of reducing the use of plastics by improving all product and packaging designs in cooperation with R&D and production units.

As part of this approach, for the first time in Türkiye, we started using FSC (Forest Stewardship Council) certified, 100% recycled cardboard in the packaging of Vestel branded refrigerator and dishwashers in 2021. In 2022, we introduced this practice for all Vestel branded household appliances to be sold in Türkiye.

We maintain our hope and confidence in the future

The world is going through a period of rapid change and transformation. As uncertainties increase, predictability decreases. Although we may not be able to control these conditions, we believe that we can ensure the sustainability of our business by managing them properly. With this understanding, through our experience, competence and capacity to adapt to changing conditions, we will continue to improve our ability to overcome challenges in the coming period by using the opportunities offered by our agile and flexible organization.

The value we create with our sustainability-oriented business model empowers us both for our steady growth and our contribution to social and economic development in our country and around the world. We will continue to be a pioneer in building a better, smarter and sustainable life with the steps we take in cooperation with all our stakeholders.


Ahmet Nazif Zorlu