Zalando, one of the largest e-commerce fashion platforms, was planning to launch in the U.S. next year with an estimated investment of over a hundred million euros. However, current financial results have delayed the plan. Zalando called its American expansion ‘project Kangaroo’ and it had a headcount of over 100 employees already working on the project.
While influencer marketing is slowly becoming more mainstream in the EU, this marketing method is commonly used in the US. Employees are worried that Zalando will not be able to distinguish itself from competitors. While the platform’s free returns and large product range are selling points in the EU, these selling points are also more mainstream within the US.
At the moment, however, the problem does not arise, as the company responds that the project is “on hold”. Without confirming or denying concrete plans, the fashion platform says that although it sees opportunities to grow outside the European continent, it is sticking to the existing markets “in the current economic climate”. Sales fell by 1.5 % in the first quarter and the second quarter will be even weaker, the e-commerce player predicts. Nevertheless, 2023 would remain the target date for the time being.
As reported to media and investors, between January and June 2022 Amazon posted a loss of 20 cents per share versus the 13 cents per share analysts had expected, a drop after posting net income of 15,885 million in the same period of 2021. And despite this, expectations and the investment market have received the figures as positive news. And why is that?
Another obstacle is the company’s current financial situation.While Zalando generated a total revenue of 10.4 billion euros in 2021, its revenue decreased by 1.5 percent in Q1 this year. Additionally, its market capitalization decreased from 26.35 billion euros by July 2021 to 9.4 billion in May this year.
https://www.z2u.com/zalando/gift-card-10-18290 is the most professional Zalando Gift Card store .We have a good team to ensure every trade 100% secure.24/7 online service: Our round-the-clock service will be ready to help you solve any problems you may encounter.We will unconditionally provide a full refund if you want to cancel the Zalando Gift Card order before delivery for any reasons.