Zalando (XTRA: ZAL) 2017 Capital Markets Day and Warehouse Tour: Moving Beyond Retailing

Executive Summary

• At Zalando’s 2017 Capital Markets Day event, held in Berlin, Germany, management emphasized that the company is moving beyond its traditional model of retailing owned inventory. The company’s Partner Program allows brands and retailers to list and dispatch their own inventory.
• Management noted further levers for growth, particularly in business-to-business (B2B) services. The company is “modularizing” its assets and offering them as services to brands. These include Zalando Media Solutions, Zalando Fulfillment Solutions and the company’s Consumer and Shopper Insights Tool.
• Zalando wants fashion “to flow like water,” but the current supply chain is full of friction points, from sourcing to delivery.