• Move follows investor concern over Amazon’s move into fashion
  • Own-labels boss Jan Wilmking predicted label would grow at similar pace to rest of Zalando
  • The etailer continues to grow at around 25% every year

 

German etailer Zalando is planning to set up its own-label unit as a standalone business in a bid to access untapped markets and sell on rival websites.

The move comes after investors expressed concern that the online fashion retailer was more exposed than rival Asos to Amazon’s expansion into fashion.

However, own-labels boss Jan Wilmking predicts that the own-label business will grow at a similar pace to the rest of Zalando, equating to between 20% and 25% every year.

“We see great potential. We want to strengthen the brands outside of Zalando,” he told Reuters.

Zalando’s recent first half results saw its sales soar 25%. It also increased full-year profit guidance to between 4% and 5.5%.

At the time, board member Rubin Ritter said that Britain remained “a very attractive potential market”, despite its vote to leave the EU.

Zalando operates in 15 European markets at present – including the UK – and carries more than 1,500 brands including own-label.

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