ZALANDO SE AND BESTSELLER UNITED ENTER JOINT VENTURE TO GROW FASHIONTRADE.COM
AMSTERDAM, THE NETHERLANDS (June 28, 2017) - FashionTrade.com today announces that Zalando SE and BESTSELLER UNITED A/S (henceforward referred to as “Zalando” and “BESTSELLER UNITED”) have entered into a joint venture agreement for the shared ownership of FashionTrade.com. The business-to-business (B2B) online fashion wholesale marketplace was founded in 2015 with the backing of the Danish organisation BESTSELLER UNITED. Zalando enters into the joint venture with a capital increase at FashionTrade, providing the company with funds to accelerate its growth. BESTSELLER UNITED will share equal ownership with Zalando.
“This joint venture is rooted in a vision to digitise the fashion wholesale industry, and we are proud that FashionTrade.com is at the forefront of this change. BESTSELLER UNITED has offered incredible support and trusted expertise as we’ve launched our business over the past two years. We are excited to now have the opportunity to leverage global insights and market leading experience from Zalando. The additional investment will enable us to continue building intuitive, digital solutions that both fashion brands and retailers can use to grow their business in a more cost efficient way.”
“The buying and selling process within the fashion industry still relies heavily on manual solutions. We see big potential in how FashionTrade can optimize these processes to connect brands and retailers in a simple way. That’s why we decided to invest together with BESTSELLER UNITED in this smart approach, which will enable the global B2B fashion market to leverage the potential that digitisation and technology has to offer. This investment ties perfectly into our platform strategy, which aims to connect the different players in the fashion industry.”
FashionTrade.com aims to become an international online leader in B2B fashion marketplaces. The company delivers a fashion-specific platform that connects business partners worldwide, enabling the sale and purchase of wholesale goods. It also offers data insights for partners to improve their margins.
“Digitising the wholesale experience and connecting brands and retailers in a simple online solution holds a great potential for the future of B2B fashion. That’s why we are pleased to welcome Zalando and their expertise into this partnership that we expect will bring beneficial insights to brands and retailers alike.”
The global B2B fashion market is currently experiencing a massive wave of digitisation, with retailers and brands rethinking how to best conduct business across all areas and channels. The online B2B retail market is expected to double the size of the business-to-consumer (B2C) online market by 2020, according to the “Future of B2B Online Retailing” by Frost & Sullivan. To compensate, the marketplace model has already moved from a one-to-many to a many-to-many capability, leaving space for private and specialised marketplaces — such as FashionTrade.com — to gain traction.
fashionTrade is at the forefront of digitising fashion wholesale. It provides a global business-to-business (B2B) fashion marketplace where brands and retailers can connect, trade and grow their business through empowered buying and smarter selling. Founded by Anders Holch Povlsen under BESTSELLER UNITED in 2015 and since 2017 run as a Joint Venture between BESTSELLER UNITED and Zalando, the company uses digital innovation and optimisation to improve everyday working processes that maximise customer profits. fashionTrade strives to deliver a simple and smart business solution for the global fashion wholesale industry. A group of thirty international colleagues work from their Head Office in central Amsterdam as members of the curated tech hub, TQ.