A Lamoda delivery. Collage by BoF.
Global Fashion Group SA, a fashion retailer with ambitions to emulate European giant Zalando SE in emerging markets, has made a big bet that the pandemic-fuelled boom in online shopping is here to stay.
The Luxembourg-based company has channeled much of its 2020 windfall into infrastructure by building new warehouses or expanding existing facilities in six of the nine markets where it operates fulfilment centres, co-chief executive officer Christoph Barchewitz said in an interview.
Like Zalando, Global Fashion’s largest shareholder is Kinnevik AB, which invests in online businesses spanning wine to classifieds worldwide. While Global Fashion’s customers currently place orders just 2.5 times per year, Zalando’s rate is almost twice that, Barchewitz said, and the share of the population served in each of his markets is just about 1.5 percent, a fraction of the Berlin-based retailer’s.
“That shows where we want to go,” the