Zalando SE (“Zalando”), reported double-digit growth in GMV, revenue and profit for 2025, as the acquisition of ABOUT YOU and the successful execution of its B2C and B2B strategy helped to serve customers and partners even better. The company expects a further acceleration in 2026 as it scales AI innovations across its business.
The company delivered at the high end of its 2025 guidance, which had been updated following the successful acquisition of ABOUT YOU to reflect the performance of the combined group, across all key metrics. Group GMV rose by 14.7 per cent to 17.6 billion euros, revenue increased 16.8 per cent to 12.3 billion euros, and adjusted EBIT climbed 15.6 per cent to 591 million euros. While the adjusted EBIT margin remained stable at 4.8 per cent at the group level, the Zalando stand-alone margin expanded to 5.3 per cent.
“We accelerated our strategy and rolled out major innovations across B2C and B2B to deliver a strong performance in 2025,” said Robert Gentz, Co-CEO of Zalando. “The unique data and infrastructure platform we’ve built over 17 years now gives us a massive advantage. We have the richest fashion-specific data in Europe, from billions of customer interactions and unparalleled brand relationships, and the continent’s leading logistics fulfilment network. By supercharging that foundation with AI, we are providing our customers and partners with experiences and services that seemed impossible just a few years ago while making our own operations more efficient.”
In 2025, Zalando used AI to drive efficiency and productivity gains across its entire business. On the marketing front, the company scaled its AI-generated product content from near zero to 90 per cent in just one year, reducing campaign creation times from six weeks to mere days and boosting content output by 70 per cent. In logistics, advanced AI models solved complex supply chain optimisation challenges, improving the precision of real-time customer delivery promises by 22 percentage points. Furthermore, by equipping its team of around 3,000 tech specialists with the latest AI coding tools, Zalando significantly increased coding output, seeing increases of over 20 per cent more code changes, even in a complex environment.
In B2C, the group reached a new high of 62 million active customers in 2025 through its highly effective multi-app approach. Its team of apps – consisting of the brand-led flagship Zalando app, the trend-focused ABOUT YOU app, and the deal-driven Lounge by Zalando app – targets distinct customer needs. Each app engages its user base in a unique way through inspirational content, gamification, or daily deals, increasing the group’s total market penetration. Together, these apps drive distribution to reach as many customers as possible, frequency to ensure frequent engagement, and depth to capture the highest possible share of their overall lifestyle spending.
Zalando significantly deepened customer engagement in 2025. The revamped Plus loyalty programme is now available in 17 markets, reaching 16.8 million members and accounting for nearly half of the fourth quarter’s GMV. The company’s newly launched, AI-powered discovery feed is already entertaining over nine million weekly users, shifting the platform from a transactional destination to a daily lifestyle companion. This increased engagement – stemming from Zalando’s self-service platform investment, more efficient campaign management, data access and AI-optimised ad performance – fueled 42 per cent growth in Zalando’s highly profitable retail media business in 2025.
The company also successfully captured a larger share of consumer lifestyle spending. Categories beyond Fashion, like Sports, Beauty, Kids & Family, and Designer, achieved 13 per cent growth last year, allowing the company to grow alongside its customers’ evolving needs. Elevating the Sports category was a central focus in 2025, underscored by a landmark five-year partnership with the German Football Association (DFB) and major sponsorships of premier European marathons to further strengthen Zalando’s position as a leading sports destination.
In B2B, where Zalando is building the operating system for fashion and lifestyle eCommerce, the company continues to unlock digital business opportunities for brands and retailers and reducing the complexities of cross-border eCommerce in Europe. In 2025, B2B revenues surpassed 1 billion euros – a 14.6 per cent increase year-over-year – and adjusted EBIT more than doubled. Zalando’s modular operating system, which includes ZEOS (Smart Logistics), SCAYLE (Shop & Marketplace Software), and Tradebyte (Marketplace Integration), now serves over 1,200 merchants and enables around 11 billion euros in GMV.
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