Since its launch onto the Berlin startup scene in 2008, fashion and lifestyle retail company Zalando has become one of the most successful online retailers in Germany. This comes as no surprise, since Germany has a fast-growing and vibrant online fashion retail industry where revenues of leading companies grew by 50 percent from 2016 to 2019. Zalando itself is the highest ranking online shop in Germany, according to estimates. Its customer base is growing at a reassuring rate, with active customer numbers reaching over 70 million already in the first half of 2020.
Germany and the larger DACH region are Zalando’s main markets, but the company is also active in other European countries such as Poland, Italy, France, Spain, and the UK with increasing popularity. In fact, in 2018, for the first time the company’s revenues from the rest of Europe surpassed that of the DACH region. As of 2019, Zalando generated a total of 6.4 billion euros in revenue, 2.9 billion of which came from DACH and 3.5 billion euros came from other European markets. In Germany, Zalando is no longer an online-only retailer and has discovered the power of establishing connections with physical retailing. After successfully launching its first physical store in Berlin in 2018, Zalando now operates outlet stores in 10 other city locations across Germany.
Coronavirus (COVID-19) impact on Zalando
Zalando’s journey over the course of the decade was sometimes a bumpy one. The company’s net income fluctuated along the way from quarter to quarter. In the first quarter of 2020, when the coronavirus (COVID-19) crisis hit the world, Zalando delivered the highest losses ever since records have been kept. But the turnaround was quick to come, and the company’s net income for the following quarter was at an outstanding 122.5 million euros.
The impact of COVID-19 on Zalando is visible in its website visit numbers too. In the first quarter of 2020, site visits to Zalando took a hit compared to the preceding quarter. Nevertheless, by the end of the second three-month period of 2020, website visits peaked at 1.3 billion. In the following months, Zalando’s website traffic on desktop and mobile continued increasing across all available country domains. That being said, Zalando traffic is generated mostly from mobile devices such as tablets and smart phones.
There has been a reckoning in fashion retail regarding sustainable, fair, and traceable practices in the industry. Leading fashion retailers such as H&M, Asos, the Inditex Group (Zara), and many more have pledged to sourcing sustainable products, decreasing their carbon footprint by adopting greener and fairer policies throughout their supply chain operations. Zalando is one of the European retailers that took action to become more accountable in the fashion industry. According to data from the company’s corporate responsibility reports, since 2015 Zalando decreased its Scope 1 and Scope 2 greenhouse gas emissions, but Scope 3 and overall release of GHG increased. Regarding greenhouse emissions per order, there was a significant reduction in GHG emissions per order between 2017 and 2019 though. Similarly, Zalando improved its Fashion Transparency Index score since 2017. In 2019, the company ranked 39 percent out of 100. This meant that Zalando was deemed successful in disclosing their environmental and sustainability goals, as well as manufacturer relations.
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In the following 5 chapters, you will quickly find the 27 most important statistics relating to "Zalando".