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Zalando Expands Operations To Ireland, Czech Republic

Zalando, a European online fashion retailer, unveiled plans to expand to Ireland and the Czech Republic, bringing the number of European countries currently covered by the company to 17.

This is Zalando’s first expansion into a new market since 2013, adding a potential 15.4 million customers to its nearly 24 million active consumer base.

“The online market in Ireland is small but growing fast,” said Kenneth Melchior, Director Northern Europe at Zalando, in a statement. “Ireland has a growing €5.6 billion fashion market and only 6% of this is online — compared to 18%, for example, in the UK.”

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Zalando CEO Rubin Ritter said the company has no plans for major investments in Britain, where it has a relatively small presence, due to concerns about possible import tariffs and the fluctuation of the pound after the country leaves the EU.

As Amazon reports profitability in fashion sales, Zalando trimmed its profit forecast as it spends on new warehouses, marketing and improving personalization, ButZalando management says the company is on course to increase sales by up to 25% in 2018. 

The retailer plans to launch an English version of its site in Germany as well as an Italian version in Switzerland.

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