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Germany: Fashion start-ups Outfittery and Modomoto to merge

By  |  May 29, 2019

German fashion start-ups Outfittery and Modomoto have announced they are merging after ten years of competition. The merger will help them accelerate growth in Europe and become a stronger competitor to Zalando’s Zalon.

Although the financial details of the merge remain undisclosed, both companies have explained they will start operating under the Outfittery brand in German-speaking markets, as well as in the Benelux, Sweden, and Denmark.

Market sources consulted by FashionUnited highlight that after merging, what could be considered weaknesses until now, will become the resulting company’s key differentiators against the likes of Zalando. They refer to the fact that both Outfittery and Modomoto are based in Berlin, offering a very similar curated shopping service for men. Additionally, reported “Handelsblatt,” the companies have accumulated five-digit loss amounts since their founding.

Full Content: Reuters

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