Zalando Announces Strategy Shift to Spur Growth and Profitability

After a slight dip in 2023 revenues, Zalando aims to rejuvenate its business with a new strategy focusing on quality, lifestyle, and B2B partnerships.

Zalando's revenues fell by 1.9% to 10.1 billion euros in 2023, with a slight decrease in gross merchandise volume.
The company plans to enhance its B2B offerings and consumer experience, aiming for a 5-10% compound annual growth rate for revenues and GMV.
Zalando targets an adjusted EBIT margin of 6-8% by 2028, reflecting confidence in its new business model.
The strategy includes leveraging its logistics, software, and services to support both its own platform and its partners.
Despite the challenges, Zalando expects to return to growth and improve profitability in 2024, with adjusted EBIT projected to rise.