Zara-owner to invest €1.8bn in online platforms

Inditex has announced plans to invest €1.8 billion on technological integration and improving its online platforms.

The move comes after the retail giant, which owns six fashion brands including Zara and Pull&Bear, reported a 30 per cent increase in profit across the 12-months to January.

In its latest earnings report, Inditex said it would invest around €900 million to increase its logistics capacity over the next two years, including the roll out of technology with high sustainability standards.

As part of its technology investment, the company is introducing weekly livestreaming services in the US and UK later this year.

The organisation is also exploring new ways to communicate with customers, including the use of channels such as the video shopping experience Shuffle for Pull&Bear.

Part of the investment will be spent on introducing new security technology across Zara stores in a move Inditex said would be the basis for “deepening the digitalisation of its stores” and their integration with online platforms over the next few years. The technology will eventually be rolled out across the company’s other brands.

Commenting on the company’s latest results, which saw pre-tax profits rise to €6.9 billion and a sales increase both online and in-store, chief executive Oscar García Maceiras said that the company’s performance had been “excellent”.

“We are investing to drive future growth and continue to offer an attractive remuneration to shareholders,” he continued.

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