Two of Europe’s most influential online fashion platforms, Zalando and About You, are stepping into a powerful new chapter—merging in a strategic alliance that blends scale with innovation. This is more than a business deal; it’s a calculated effort to reshape the way fashion is bought, sold, and experienced online across Europe.
A Strategic Union That Keeps Brand Identities Intact
On August 6, Zalando will formally unveil the vision for its newly merged group during its Q2 2025 earnings report, offering the first official look at the integration. Though the companies will consolidate operations, both brands have committed to preserving their unique voices and consumer identities, a move designed to retain customer loyalty while unlocking collaborative potential.
Industry Insight: This isn’t about sameness—it’s about synergy. The merger aims to combine operational efficiency with brand individuality, something many large-scale partnerships fail to do successfully.
Behind the Deal: From Approval to Execution
The partnership received regulatory approval from the European Commission on July 1, following an overwhelming response to Zalando’s offer to acquire shares of About You—culminating in a 91.45% stake. Most of these shares were previously held by the Otto Group.
Zalando now plans to initiate a minority shareholder buyout, providing fair cash compensation through a merger with a wholly owned subsidiary. The groundwork for this transformation has been in motion since December 11, 2024, when both companies announced their intent to join forces.
Founders Speak: A Shared Mission for the Future
Robert Gentz, Zalando’s co-CEO and co-founder, spoke passionately about the partnership:
“Our shared dedication to quality, innovation, and customer-centricity is what makes this merger so meaningful. Together, we’re dismantling barriers and building something transformative for Europe’s fashion and lifestyle scene.”
Tarek Müller, co-founder and co-CEO of About You, echoed this sentiment, highlighting how the partnership aims to redefine the shopping experience while preserving About You’s entrepreneurial DNA.
What It Means for Shoppers and Brands
For consumers, the merger promises more personalized, seamless, and inspiring shopping experiences, while on the business side, the merger unlocks a robust e-commerce operating system built on advanced tools like:
Scayle (About You’s proprietary payment and e-commerce infrastructure)
Zeos and Tradebyte (Zalando’s logistics and multichannel tools)
Together, these assets will streamline operations for brands and retailers across Europe—and potentially beyond.
Platform Power: This integrated backend doesn’t just help big brands. It empowers smaller fashion labels to scale and manage multi-channel sales with fewer friction points.
A €450 Billion Opportunity: Growth Targets for 2028
Zalando remains bullish on the future. Back in December, it projected:
5–10% compound annual growth in GMV and revenue through 2028
An adjusted EBIT margin of 6–8%
With Europe’s fashion and lifestyle market valued at approximately €450 billion, the combined group is positioning itself as a central player in shaping the digital fashion economy of the next decade.
A Merger Rooted in Vision, Not Just Valuation
This merger isn’t just about economics—it’s about ecosystem thinking. By combining tech, logistics, and consumer insight, Zalando and About You are creating a modern fashion commerce infrastructure that aims to serve customers better while helping retailers thrive in an increasingly digital and competitive landscape.
As we await Zalando’s Q2 earnings and further strategic reveals on August 6, one thing is clear: the European fashion e-commerce space will never look the same again.
Image Source: Unsplash
