Five things you may not know about the fashion firm

You might have bought some joggers from there, or seen your favourite Instagram star wearing one of their dresses, but how much do you really know about Boohoo?

The online fashion firm has been a real winner during lockdown, with a massive increase in its sales by 45% to £368m in the three months to the end of May.

But it’s been hit by claims that workers at a Leicester factory that supplies some of its clothes were paid just £3.50 an hour, while being offered no coronavirus protection.

Boohoo has said it’s launching an investigation, but experts say it could struggle to make a comeback after the controversy.

Here’s five things you may not know about the company.

1. The Manchester-based family behind it are billionaires

Boohoo was founded by entrepreneur Mahmud Kamani and designer Carol Kane.

The pair had worked together at Pinstripe Clothing, a company that was

Read More

What is Lost Stock? Introducing the mystery clothes box scheme where you get half-price fashion from high street brands

Mystery boxes are the new way to shop: Getty Images/iStockphoto
Mystery boxes are the new way to shop: Getty Images/iStockphoto

With many of us not feeling quite so in need of a regular fashion fix during lockdown, the knock-on effects have been huge.

Millions of Bangladeshi garment factory workers have been left out of work by the coronavirus pandemic, after major fashion brands cancelled orders en masse to the tune of $3.5bn.

“We do not want charity, we just want companies to pay their bills and respect their contracts,” factory owner Mostafiz Uddin told The Independent.

“We have bought the raw materials, we have produced the garments, we have invested the money and we will not be able to survive. We will literally die. It will be impossible for us to handle this. Our workers will be suffering a lot. I have no words to express what it will do to us.”

Some 135,000 tonnes of new clothes

Read More

German online fashion retailer Zalando raises full year guidance

(Reuters) – German online fashion retailer Zalando SE increased its full year earnings guidance on Wednesday, as the coronavirus pandemic prompts more people to shop online.

The company said it expects to grow gross merchandise volume (GMV) by 20% to 25% and revenue by 15% to 20% in 2020, up from its guidance from May 6 when the company had expected GMV and revenue growth of 10% to 20%.

Europe’s biggest online-only fashion retailer said it expects adjusted earnings before interest and tax (EBIT) of 250-300 million euros for the full year.

The company said that based on preliminary figures for the second quarter, it has grown GMV by 32% to 34% to 2.67-2.71 billion euros and group revenues by 26% to 28% to 2.01-2.05 billion euros, adding it expects a second quarter adjusted EBIT in the range of 200-220 million euros.

The company’s financial results for the second quarter

Read More

How Should Fashion Entrants to China Approach COVID-19 Rebound?

Click here to read the full article.

LONDON — Everybody wants a slice of China’s booming luxury and fashion market, especially after the coronavirus put a stop to many businesses around the world.

It’s indeed fascinating to hear stories about how loyal Chinese consumers would queue outside Chanel and Hermès stores moments after the pandemic was contained and spend a record-breaking sum of money on high-price items, and how Burberry’s 100 limited-edition Pocket Bags in collaboration with Mr. Bags sold out within seconds on his WeChat mini-program.

McKinsey predicts Chinese consumers will account for 40 percent of the world’s luxury spending by 2025, but the growing demand is likely to be trapped in the country until 2021 due to pandemic disruptions. Because of this, China’s retail market is expected to overtake the U.S. and become the world’s largest as early as this year.

But the reality is far

Read More