Data-driven insights that help companies navigate the changing retail and technology landscape. LEARN MORE
Insight Reports 7 minutes premium

Zalando (XTRA: ZAL) 2018 Capital Markets Day: Doubling Sales—Margins Can Wait

#
Coresight Research

Key Points

Coresight Research attended Zalando’s Capital Markets Day 2018 in Berlin, Germany, on June 5. Our top takeaways from the meeting include:

  • Zalando is “on track” to double its sales from 2017 levels by 2020, according to Co-CEO Rubin Ritter. The investment needed to achieve this growth means that the company is unlikely to report any meaningful expansion in margins in the next few years.
  • A number of speakers noted that short-term margin sacrifices to enable services such as improved delivery can end up boosting customer lifetime value.
  • Zalando continues to aim for broad appeal and plans to offer an “unlimited assortment” by adding beauty products, bringing more brands on board and building out its special-size options.
  • Through innovative services, the company is attempting to drive out friction in payments, delivery and returns.
premium

This report is for Premium subscribers only. Learn more about subscriptions here.

Other research you may be interested in:

×
Do NOT follow this link or you will be banned from the site!

GET OUR DAILY INSIGHTS