All the stores in the group will have the same products in the establishment and on the Internet and will be “eco-efficient”. From a village in Sudan to a lost town in Alaska. In 2020, any product of any of Inditex’s brands (Zara, Stradivarius, Bershka, Massimo Dutti, Pull & Bear or Uterque) can be ordered online (and received) from anywhere in the world.
This was announced on Tuesday in Milan by the president of Inditex, Pablo Isla, who in a brief speech on the occasion of the reopening of the store of Zara in the shop of Corso Vittorio Emanuele has outlined the objectives of the textile giant for 2020.
It will not only sell online in any country in the world (whether or not there are physical stores), but also that all the stores in the group will have integrated stock (the same for the store as for the internet) and all will be “eco-efficient”.
“We want all Inditex customers from all countries of the world to have access to all our products, regardless of whether or not there are physical stores,” said the president of the Galician company.
However, he has not given details of how the company intends to undertake this challenge, which would mean becoming the first trade that sells worldwide. Keep in mind that online sales are a logistical challenge for markets where there are physical stores.
It has not specified by Isla, how the orders would be delivered, neither from what stock nor with what logistical means. After his speech, has barely responded to the media that “the operational components” will be known.
Zara, the group’s largest chain, currently sells online in 48 countries and has 7,448 physical stores in 96 countries. To make this possible, by 2020 all stores will manage an integrated stock, the same for physical stores as for online.
This simplifies the logistics chain; since online orders can be served from the store without the need for another specific inventory. This integrated stock system is already implemented in 25 of the 48 markets in which Zara has an online store. This system, which allows knowing the location of each garment in each moment, already works in the stores of Zara and Uterque.
The announcement was made at a reception in the knight section (reopened at the end of last year) of the Zara flagship store in Milan, the first Zara store opened in Italy in 2002, and that “in a short time It was a bombing, the number one store in the world. ”
The other sections will open this Wednesday after a reform to adapt the entire store to the new standards of environmental efficiency and stock management with which the group wants to endow all stores with all the brands around the world.
The process of reform of the stores of “optimization of the commercial surface” in the words of Isla, (which also includes the closing / absorption of the less profitable or worse-situated stores) that began in 2012 at the premises of La Quinta Avenida in New York, “is already very advanced” and should end in 2020, as announced by the manager.
This process will culminate, in addition to the reform of all the group’s stores to be “eco-efficient according to the most demanding standards in the world,” Isla announced, with lower consumption of water and energy. “Sustainability is integrated into our way of working,” he said, from production to the point of sale, through logistics or the Join Life collections, made with materials produced in a sustainable manner.
Isla has made these announcements a few days after Morgan Stanley questioned in a report the long-term growth potential of Inditex, also pointing to online commerce as a drag on fashion chains due to the logistical cost involved.
The report of the US bank precipitated a stock market crash close to 6%. It was not the first negative report on Inditex or the last one. In February, another one of JP Morgan also sank the action and yesterday, Credit Suisse was united to the pessimistic chorus on the empire that founded Amancio Ortega.