The Spanish company Inditex, developing the Zara and Bershka brands, will close from 1 thousand to 1.2 thousand stores worldwide due to an increase in online sales during the coronavirus pandemic, The Guardian reports citing the company.
“The owner of Zara will close up to 1,200 stores worldwide, as the clothing retailer seeks to increase online sales during the chaos caused by the Covid-19 pandemic,” writes The Guardian.
Closed will be “older stores” brands Zara, Bershka, Pull & Bear and Massimo Dutti, the publication emphasizes. Thus, the total number of stores will be reduced from 7412 to 6700 and 6900 after the reorganization, which will include the opening of 450 new stores.
Store closures are expected to occur mainly in Asia and Europe, with Inditex stores in the UK less at risk, the newspaper notes.
Inditex’s sales due to the coronavirus pandemic fell 44% to € 3.3 billion between February 1 and April 30, The Guardian notes. However, the growth in online sales “offset some of the weaknesses.”
“Online sales grew 50% over the quarter from a year earlier and 95% year on year in April,” The Guardian notes citing company data. (Source: rambler)