The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Spanish fast fashion giant Zara is collaborating with Susan Fang on a Chinese New Year capsule collection, which will be released in selected stores and online Jan. 17.
Compared to rivals H&M and Uniqlo, Zara was long famous for its non-collaboration policy, but the retailer had a notable change of heart in 2021, collaborating with Everlast in January, Kassl Additions in September and Charlotte Gainsburg in October. In December, it debuted another collaboration with Korean streetwear label Ader Error, a collection which sold out in a day.
This will be the first time Zara collaborates with a Chinese designer.
Inditex, Zara’s parent company showed promising revenue in its first three quarters of the financial year. During this period, its revenue reached €19.3 billion ($22.11 billion), representing 37 percent year-on-year growth and profit hit €2.5 billion, growing 273 percent.
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The Future of Zara Under New Leadership
This week, Zara owner Inditex, the world’s largest fashion retailer, shuffled its top management in a ‘generational handover,’ sending shares down as competition and criticism heat up.
With consumers tightening their belts in China, the battle between global fast fashion brands and local high street giants has intensified.
Investors are bracing for a steep slowdown in luxury sales when luxury companies report their first quarter results, reflecting lacklustre Chinese demand.
The French beauty giant’s two latest deals are part of a wider M&A push by global players to capture a larger slice of the China market, targeting buzzy high-end brands that offer products with distinctive Chinese elements.
Post-Covid spend by US tourists in Europe has surged past 2019 levels. Chinese travellers, by contrast, have largely favoured domestic and regional destinations like Hong Kong, Singapore and Japan.