Zalando added nearly 8 million new users in 2020 and placed 186 million orders

The epidemic in 2020 caused the closure of a large number of offline clothing stores, sales of German clothing stores plummeted by 30%, and more than 20 fashion brands in the country had to file for bankruptcy. However, Zalando 's sales increased by nearly 25 % during the epidemic , making it one of the biggest beneficiaries of the epidemic.

According to foreign media reports, by the end of 2020, Zalando's users had increased by nearly 8 million compared to 2019 , the number of orders had increased by 40 million to 186 million, sales had increased from less than 6.5 billion euros to 8 billion euros, the company's net profit had increased from 99 million euros to 226 million euros , and the company's stock had also risen by 300 %.

Zalando Co-CEO and Founder Robert   Gentz ​​said that since the lockdown due to the epidemic, Zalando has received more than 500,000 orders every day and registered tens of thousands of new customers. There is no time to rest at all . 2020 is an extraordinary year .

He also said that since Zalando released its 2020 business data on March 16 , the city has been closed to the north of Friedrich's East District , and the Zalando store in the department store in the area has become a "hot commodity". According to statistics, the store 's website has been visited 5.4 billion times , an increase of 29 % over the past , which means an average of more than 10,000 clicks per minute .

According to public information, Zalando was only founded in Berlin in 2008 and has more than 14,000 employees . It currently has about 3,500 brands and offers more than 700,000 products . However , according to foreign media, Zalando does not want to be just a retailer.

Zalando is using its reputation and technology to provide a digital platform for other fashion brands, making profits through commissions and logistics services . Just a few weeks ago , the well-known fast fashion brand C&A Group in East Gallery received a large number of orders with its services . Before that , the brand had been complaining about the declining sales of East Gallery and the low click-through rate of its online store .

According to Zalando 's business data , the platform was able to make a profit through this distribution channel service platform in the fourth quarter of 2020 alone , with profits accounting for 25 % of total sales .

In addition, Zalando has launched the "Connected Retail" program to promote cooperation with physical retailers. This project is mainly aimed at local dealers. If the order cannot be shipped immediately, Zalando 's distribution center will intervene and ship from the warehouse. Although the company charges an average commission of about 13%, Zalando also promises sellers that their sales will increase by more than 30%.

In December last year , more than 2,400 physical stores participated in the "Connected Retail" program, and as of the end of February this year , more than 3,400 stores had participated in the program .

According to Zalando , due to the impact of the epidemic, the company waived all commissions before the end of March and paid sales to sellers in advance to ensure the liquidity of sellers' funds .

In the new year , Zalando intends to continue its growth , with sales expected to increase by about 25 % and exceed the 10 million mark by the end of the year. To this end, Zalando plans to expand its existing 17 national markets and plans to debut in Romania and Hungary in 2022 .

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