Croatian consumers are increasingly seeking a richer, more personalized, and innovative online shopping experience when purchasing clothing, footwear, and fashion accessories, according to research conducted by Ipsos for Zalando. The study, conducted on a representative sample, shows that consumers not only appreciate convenience and accessibility but also expect a wide assortment, high-quality products and content, and personalized recommendations. They also expect innovations such as size recommendations, virtual try-ons, and AI-based shopping advice.
As in most countries, accessibility is a key factor for Croatian customers when choosing a specific online fashion store. Four out of five respondents (85 percent) selected prices and discounts as the reason for shopping at a particular online fashion store. The second most common reason is wide assortment and availability of products (55 percent), followed by product quality (54 percent). When asked about the reasons for online shopping instead of shopping in-store, flexible working hours are most frequently mentioned, followed by lower prices or discounts and a wide assortment.
As highlighted by Daniel Roginski, General Manager of Zalando for Central and Eastern Europe, during today’s presentation of the research results, the findings confirm that assortment, content, personalization, and innovation are becoming increasingly important in retail overall.
– Croatian citizens want to choose from various styles and all price ranges. They seek a tailored and inspiring shopping experience. They want it to be easy to find the right size and to have fun discovering new fashion. Zalando takes a leading role in this by offering a diverse and high-quality assortment across all price ranges and continuous innovations regarding the customer experience – said Roginski, adding that Zalando has also launched an AI assistant in Croatian and other local languages.
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Reduced Return Rate
For example, they recently launched a virtual wardrobe project that shows customers how a particular fashion item fits their 3D avatar. As Roginski explained, they have invested significantly in this project, although its implementation is not easy. Also, although virtual try-ons are still not available for all items, customers currently like it. Similarly, Zalando has already noticed that the return rate of items for which the virtual wardrobe technology is used has decreased by 40 percent. The project is still in the testing phase, but it could significantly impact customer satisfaction.
Ipsos’s research confirms that more than half of Croatian customers (53 percent) would use a virtual wardrobe or augmented reality to find the right size and fit more easily. Furthermore, nearly two out of five respondents (38 percent) would use AI-based shopping advice when available, one-third (35 percent) have a neutral stance on it, and the remaining 27 percent would not use it.
Exceeded Expectations
As many as 50 million people in 25 European countries actively use Zalando, and in 2023, this online store sold goods from various brands worth a total of €14.6 billion, which brought them revenues of €10.1 billion and €349.9 million in adjusted EBITDA.
Founded in 2008 in Berlin as an online shoe store, Zalando has only been available in the Croatian market since 2021. Before entering Croatia, expectations were optimistic, and Roginski noted that after three years of operation, they are more than satisfied and that business results have exceeded their expectations. However, since Zalando is listed on the Berlin Stock Exchange, they do not disclose individual financial results for each country.
They were pleasantly surprised that Croatians often open the app to see what is offered, and the high user engagement in Croatia encourages them to provide consumers with an even better shopping experience, Roginski added.
