The Spanish economy may be going through a slum, but the same can not be said for Inditex: the sales of Zara's parent company rose by 16% to 15.9 billion euro in 2012, profits even rose by 22% to 2.3 billion euro. Investments in shops and online activities are the foundation ofthe recent success.
482 new shops in 2012
In no less than 64 countries a total of 482 shops were opened in 2012, lifting the general total to 6009 locations. That is more than double the amount of rival H&M, that ended 2012 with 2800 locations. Inditex also entered new markets, such as Armenia, Bosnia-Herzegovina, Georgia and Macedonia.
Pull&Bear opened shops in Austria, Columbia and Thailand, while Canada, Taiwan and the US got to know Massimo Dutti and Stradivarius opened its first location in Mexico. Zara Home was launched in Brazil and China got new locations of Uterqüe.
At least as important where the investments online: internet activities were expanded considerably and Inditex is at the moment active online in 23 countries in Europa, the Americas and Asia. Zara went online in China, while online shoppers in the United States can peruse through collections of Massimo Dutti and Zara Home.
The largest part of the investments went into modernising the eight Spanish distribution centres, implementing the latest technological advancements. By the summer of this year the headquarters in Arteixo will also be expanded by 70,000 sqm.
Important employer for the region
With the expansions in 2012 no less than 10,802 new jobs were created. The total number of employers of Inditex has risen to 120,314, mostly in Spain. That makes the company on of the largest private employers on the Iberian Peninsula.
The story of success does not stop there: Inditex wants another 440 to 480 new stores in 2013. The online expansion also is not over: last week an online shop of Zara was launched in Canada and in the autumn Russia will follow suit.
Sales of 1 February to 12 March 2013 already boast a rise of twelve percent, compared to the previous year, which will only hasten the current plans of Inditex.