Covid-19: Zalando to help other retailers to sell on its online platform

Zalando’s management board has penned a letter outlining the online fashion retailer’s response to the Covid-19 pandemic, including measures to help brick and mortar stores continue trading during the crisis.

In the letter, Zalando confirmed it will be making its Connected Retail Program, in which other fashion brands are able to offer and sell their products on its online platform, more accessible at this difficult time. The retailer commented: “We are now accelerating this initiative to support brands and retailers to uphold at least a part of their business. From 1 April to 31 May, we will waive the commission fee for all new and existing physical stores that are participating in our Connected Retail Program.”

The eCommerce brand also announced it will be helping improve cashflow for businesses, setting aside €100 million in cash so it can pay partners early for goods and services that have already been delivered. Zalando added: “Over the coming months, we will look for more ways to support our ecosystem in these difficult times.”

Additionally, Zalando has taken a series of steps to protect the health and safety of its staff whilst continuing to serve its customers. Any staff who are able to work from home have been allowed to do so, and in those teams where this is not possible, it has taken a range of protective and hygienic measures as well as enforcing social distancing rules.

Despite acknowledging that Covid-19 will impacting the its sales in the short term, Zalando remains confident its experiences and investments throughout the last decade will help steer the business through the current crisis.

The retailer added: “Zalando was founded in 2008 right at the beginning of a financial crisis. Our company culture was defined in a challenging environment where frugality and focus were essential. We learned early that by steering decisively in challenging situations, we can not only prevail but we can thrive as a team.”

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