The German online fashion company Zalando has announced that it will be discontinuing its second-hand fashion platform, Zircle. The decision comes after careful consideration from the retailer, who has decided to focus on the pre-owned category on the main Zalando website and app instead. All 23 employees at Zircle have accepted alternative positions at Zalando.
In an interview it mentioned ‘after careful consideration’, it has decided to discontinue the standalone Zircle app, and instead focus on the pre-owned category on the Zalando website and app.
Zalando first piloted Zircle (the name combines the words Zalando and circular) in 2019 with a pop-up store in Berlin. In the coming years, the resale platform expanded in Spain, Belgium, France, the Netherlands, Poland and Sweden.
“We want to thank you very much for your trust in us and our service. Fortunately, this isn’t the end of our joint journey. You can continue to find amazing pre-owned treasures on Zalando and even sell pieces to Zalando,” said the company on the Zircle.dk website.
Though reasons for discontinuation are not yet disclosed, this may be disappointing news for sustainable fashion advocates, as Zalando was one of the first major retailers to jump on the resale bandwagon. And while there are many players vying for a piece of the pie, Used clothing is a low-margin business and it’s hard to stand out in a crowded field. It does get challenging.
