Mango shares online revenues with franchisers

Mango is going to share part of its revenues from e-commerce with its franchisers as they “are undeniably responsible for the significant growth of the online business”, the Spanish fashion group says.

Enhance online/offline collaboration

“Sharing the online revenue with franchisers is fair”, Mango’s directeur of expansion Daniel López explains: “Many of the transactions that end up in our e-commerce business, come from our customers visiting our physical stores.” In recognising the franchisers’ role in boosting online business, López wants to strengthen his franchising network and enable the development and implementation of omnichannel initiatives like a pick-up service.

The new measure is being implemented in Spain, France and the Netherlands – Mango’s most important markets with 142, 82 and 18 franchise stores respectively. According to FashionUnited.es, franchisers from other countries will also be able to benefit at a later stage.

Mango was one of the very first fashion companies to embrace e-commerce, in 2000 already. They are still enjoying the benefits of that early start, as currently a quarter of turnover comes from e-commerce. Last year, Mango’s online turnover grew to 564 million euros.