Zalando has sold streetwear and sportswear retailer Kickz: the German online fashion store feels it no longer needs Kickz, because its own product range has expanded so much in recent years the two overlap significantly.
No longer needed
The buyer, German Play Hard, specialises in the development of new business models and companies. The acquisition is expected to be completed during the first quarter of 2020, but the fee remains undisclosed.
In 2017, Zalando bought Kickz to gain access to the basketball and streetwear market, and to attract new customers who were not yet using the fashion platform. In the meantime however, Zalando claims that it has expanded its own product range to such an extent that it now largely overlaps with Kickz'.
Stores not affected
Moreover, the retail formula no longer fits in with the new platform strategy the German fashion giant applies: since February 2019, Zalando has been fully committed to working with partner brands and no longer on its own retail. This is why it also scrapped its range of private label brands earlier on.
The sale should not affect Kickz's employees, since the online store and the eleven physical stores will continue their activities unchanged.