[🆕🇩🇪] Zalando’s 2024 results & 2025 growth strategy in e-commerce

(Image Source: corporate.zalando.com)

Zalando’s 2024 results set the stage for continued expansion and profitability in 2025

Zalando’s 2024 results are solid and set the foundation for accelerated growth in 2025. Driven by its comprehensive ecosystem strategy across both business-to-consumer (B2C) and business-to-business (B2B) segments, Europe’s leading online fashion and lifestyle platform projects an increase in gross merchandise volume (GMV) and revenue of between 4% and 9% for 2025.

Zalando’s 2024 performance highlights:

• GMV: Increased by 4.5% year-over-year, totaling €15.3 billion.
• Revenue: Grew by 4.2%, reaching €10.6 billion.
• Adjusted EBIT: Rose 46%, totaling €511 million, significantly exceeding guidance.
• Active Customers: Expanded by 4.5%, reaching an all-time high of 51.8 million.

View the complete financial details in Zalando’s official annual report 2024.

Strategic pillars for Zalando’s continued growth in 2025

Zalando continues to drive growth through its comprehensive ecosystem strategy, focusing on key initiatives:

Enhanced customer experience and loyalty:

• Expanding the successful Zalando Plus loyalty program across more European markets.
• Enhancing the shopping experience with personalized digital tools, including advanced size advice and curated style boards.

Expanding as a lifestyle destination:

• Growing Zalando’s presence in critical lifestyle segments like beauty, sports, and kidswear.
• Launching the Beauty proposition in Spain and Finland, increasing the total reach to 13 markets.
• Expanding the successful Lounge by Zalando into five additional European markets.

Innovative content and personalized inspiration:

• Introducing the Follow My Style feature to increase customer engagement through influencer-driven fashion insights.
• Launching the innovative StyleIt Outfit Builder tool, enabling users to design personalized outfits and share fashion inspiration.
• Further developing Stories on Zalando, featuring over 700 brands and 7,000 products.

B2B Expansion and Innovative Logistics Solutions (ZEOS)

• Zalando’s strategic B2B growth leverages its proprietary logistics infrastructure through its ZEOS platform:
• Operating across 12 European markets, with recent expansions into Switzerland, Poland, and Spain.
• Expanding logistics capabilities to 10 additional markets in 2025.
• A significant partnership with UK retailer NEXT, introducing innovations such as virtual bonded warehousing and enhanced inventory management.

Commitment to sustainability & strategic acquisition

Zalando continues significant sustainability efforts, reducing greenhouse gas emissions from operations by 82% since 2018 and cutting emission intensity from private label products by 48%. The acquisition of ABOUT YOU further enhances Zalando’s market reach through a dual-brand strategy, promising extensive synergies and market penetration.

Zalando’s innovative strategies across customer experience, logistics, and sustainability position the company as a leader in European fashion e-commerce, promising continued growth and innovation in 2025 and beyond.

You can read more about Zalando, including their annual report 2024, on their Investor Relations Page.

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