By the time the Northern Hemisphere went on its August vacation, the super winners had recovered on aggregate to just 5 percent below precrisis levels. / 0. Finally, 2017 will also be a critical year for the fashion business system, with developments expected around the fashion cycle, technological advancements, and a shake-up in the ownership of fashion companies, as players restructure and industry outsiders step up their activities in the fashion sector. Where there is positive momentum, the primary driver will continue to be digital channels, reflecting the trend established before the COVID-19 crisis and the reluctance of people in many countries to gather in crowded environments. These are some of the findings from The State of Fashion 2022, written in partnership with the Business of Fashion (BoF). Successful companies will invest more to nurture local clientele: 2017 will be the year of organic growth by deepening relationships with existing clients, rather than through geographic, channel, and store-network expansion. But regardless of touchpoint, consumers expect a consistent brand experienceacross channels. The customer is at the heart of our unique business model, which Last fiscal year ended on January 31, 2023. Economic profit grew for the second year running in 2018, following consecutive annual declines from 2012 to 2016 (Exhibit 2).15To view exhibit, refer to The State of Fashion 2020. ASE:ZARA Financials | Zara Investments - Investing.com This page provides a brief financial summary of the ASE:ZARA financials, as well as the most significant critical numbers from each of. Exactly when this will happen is impossible to know for sure, except that it will, in all likelihood, be linked to the discovery of a workable antiviral treatment and delivery of a proven vaccine, which some experts say is at least 12 to 18 months away. For Zara to receive the points in this section, more than 50% of their materials must be produced sustainably, and producers human rights must be upheld. But these strategies will require careful execution to ensure that margins and brand reputations are protected. For the first quarter, the company reported sales was JOD 15.43 million compared to JOD 8.86 million a year ago. This fact is clearly borne out in the industrys financial performance. 2020 2019 2018 2017 2016 Economic and social development of workers and the industry indicators In response, wise companies are self-disrupting before upstarts do it for them, engaging in a digital landgrab to diversify their ecosystem, and using automation and data analyticsto produce on demand to reduce waste and react rapidly to trends. Yet 2016 was one of the industrys toughest years. Greenwashing can serve as a cover for more nefarious and unethical activities like modern slavery and other supply chain-based violations of human rights. Inflation is at the top of executives minds for the coming year, according to results from the annual Business of Fashion and McKinsey State of Fashion Survey. Its sales growth decelerated at the start of the second quarter but remained robust. With this special coronavirus update to The State of Fashion 2020, we have taken a stance on what our new normal will look like in the aftermath of this black swan event to provide insights (from analyzing surveys, data, and expert interviews) for fashion professionals as they embark on the 12- to 18-month period after the dust settles. As our ten trends indicate, new markets, new technologies, and shifting consumer needs present opportunitiesbut also risks. The U.S. has 98 stores as of January 2019. We expect that the slowdown is likely to continue through 2023. This years report presents a difficult outlook ahead, as fashion companies face challenges and revise forecasts downward after an exceptionally strong 2021, per McKinsey analysis of global data in the fashion industry. ADVB Strategic Minds srl - All rights reserved. Lack of transparency is the main problem with Zaras environmental policy. Exclusive news, data and analytics for financial market professionals, Reporting by Corina Pons; Editing by Matt Scuffham, Inti Landauro, Shounak Dasgupta, Louise Heavens, Tomasz Janowski and Jane Merriman, US telecom companies say not in talks with Amazon for wireless services, Wall St Week Ahead: Surging US megacap stocks leave some wondering when to cash out, Walmart reiterates goal of doubling international gross merchandise in five years, Henkel plans to continue with acquisitions, Rheinische Post reports, U.S. concludes Mexico airspace review, but no verdict yet, Logs show Fed's Powell in whirlwind of meetings during March banking turmoil, JPMorgan president says loan demand declining, US economic slowdown weighs, GM chief Barra stands by her bet on autonomous vehicles, OPEC denies media access to Reuters, Bloomberg, WSJ for weekend policy meets. 100% of the proceeds from this collection go to the Franca Sozzani Fund for Preventive Genomics, with the aim of financing the Global Babyseq initiative, a human genome sequencing project that seeks to support research and innovation in predictive medicine in collaboration with Brigham and Womens Hospital and Harvard Medical School, In 2021, they launched Zara Boost, a programme to discover junior talent in the areas of technology and e-commerce, This year also saw they launch of Zara School, designed to provide ongoing training to all store staff, The website of Zara is hosted at Inditexs own data centres and on external servers, and 100% of the energy consumed in our online stores and at their Data Processing Centre and external servers is from renewable sources, They have made a mobile point of sale available to our customers in stores to provide a complete shopping service for the launch of new spaces such as Zara Beauty or new collections such as Zara Origins, In 2021, Zara presented the new Athleticz collection of sportswear designed for athletes from any sports discipline, and unveiled Zara Origins, a proposal for creating a current and timeless basic wardrobe. For an exclusive group of Super Winners, the sun is shining (Exhibit 3);17To view exhibit, refer to The State of Fashion 2020. by economic profit, these 20 companies added more to the industry bottom line in 2018 than all others combined. In response, more and more companies are expanding their sustainable assortments and working to boost the sustainability of their supply chains. Visit our, Best Places to Work for LGTB+ people in the Human Rights Campaign Foundations Corporate Equality Index 2022 (gained the top score, 100/100), Universums Worlds Most Attractive Employers ranking in the Business category for the first time, Zara, Zara Commitments, Zara Environmental Policies, Zara Transport Policy, Animal Welfare Policy, Fibre2fashion, https://www.forbes.com/companies/zara/?sh=132764aa7487, ZARAs Competitors, Revenue, Number of Employees, Funding, Acquisitions & News Owler Company Profile, Zara, Primark and Asos publish gender pay gap results. For workers in low-cost sourcing and fashion-manufacturing hubs, such as Bangladesh, Cambodia, Ethiopia, Honduras, and India, extended periods of unemployment will mean hunger and disease. The authors of this article are Imran Amed (founder, editor in chief, and CEO of the Business of Fashion, and an alumnus of McKinseys London office), Anita Balchandani (a partner in the London office), Jakob Ekelf Jensen (a consultant in the London office),Achim Berg (a senior partner in the Frankfurt office),Saskia Hedrich (a senior expert in the Munich office), and Felix Rlkens (an associate partner in the Berlin office). Our survey of 290 global fashion executives and interviews with thought leaders and pioneers have helped us identify ten key themes that will set the agenda in the year ahead. None of our achievements would be possible without the people here at Inditex. On the one hand, evolving channels, shifting markets, and groundbreaking research offer revenue opportunities and the chance for radical innovation. SW10 0QJ,United Kingdom. Inditex Group's. Around the globe, we expect more than 20 percent annual digital growth in 2021 (with 30 percent in Europe and the United States) compared with 2020.3McKinsey analysis. Another is that Indiais on the riseits growing middle class, powerful manufacturing sector, and increasingly savvy tech have made it an essential destination for fashion companies. It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. Alongside public companies, we also identified a group of hidden champions. These privately owned gems often dominate their category areas and generate significant revenues. Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology. When it comes to sustainability, the industrys track record remains a source of concern. Athletic wear is set to become the absolute category champion, maintaining 6.5 to 7.5 percent sales growth, although it will be unable to reproduce the double-digit growth of the past. However, amid increasing pressure on performance, shifting consumer behaviors, and accelerating demand for digital, there is an imperative to act decisively to prepare for the next normal. As decision makers continue to manage uncertainty, the most successful will be those that get a grip on the trendsshaping the fashion landscape. Value and affordable luxury will probably be the big winners, both outpacing the industry average at a projected 3.0 to 4.0 percent and 3.5 to 4.5 percent growth, respectively. Zara Investment (Holding) Co. Ltd. Indeed, recovery is at the top of executives minds for the coming year, with 75 percent of luxury-segment executives, 61 percent of midmarket executives, and 50 percent of value executives expecting better trading conditions. Zara is one of the largest international fashion companies. Only the discount segment is likely not to be part of the recovery trend. We estimate that revenues for the global fashion industry (apparel and footwear sectors) will contract by 27 to 30 percent in 2020 year-on-year, although the industry could regain positive growth of 2 to 4 percent in 2021 (compared with the 2019 baseline figure). Among product categories, it was a breakout year for sportswear, with 42 percent of positive economic profit in the MGFI index coming from sportswear companies, amid strong growth for Chinese players. According to our estimates, each racked up more than $2 billion in economic profit in 2017. 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