Tuesday, 21 April 2020

Mango begins to reopen stores in Europe




“The commercial activity of Mango in the COVID-19 crisis has reached a turning point," said the Catalan label in a press release issued on Monday, April 20, marking the start of the gradual reopening of Mango’s European stores. As of today, 135 Mango stores are already operating, and this figure is expected to rise to 620 by the end of April.

Mango stores have begun to reopen in Austria and the Netherlands, where national authorities gave the go-ahead for commercial activity to start up again in 4 and 16 Mango stores respectively. In the course of this week, Mango is planning to reopen its remaining 16 Dutch stores, as well as 42 shops in Germany, another country where lockdown restrictions are being eased. This relative return to normalcy will be further bolstered by the reopening of 27 stores in the Czech Republic, Latvia, Georgia, Cyprus, and Ukraine. 

“Mango’s priority is the health of its employees and customers. In compliance with local regulations, extraordinary safety and hygiene measures have been adopted in all [of Mango’s] shops,” stated the company in the press release, specifying that the number of customers entering stores will be regulated, and that opening hours will be reduced. In addition, Mango has provided for the stores to be constantly sanitised and for protective equipment, for both employees and customers, to be made available.




In addition to the stores mentioned above, 62 Mango shops have never stopped operating throughout this period. They are located in 17 countries where the Covid-19 pandemic’s impact has been less hard. Among them, Finland, Norway, Sweden, South Korea, Indonesia and Belarus. At the same time, in markets such as in China, another 53 stores have reopened in the last few weeks.



Crisis measures



Mango’s 400 Spanish stores have been closed since March 14. Because of this situation, the company decided to furlough 79% of its workforce in Spain, for a total of 4,767 employees. Mango has collaborated in the effort to purchase and distribute 2 million masks and to produce 13,000 gowns for medical staff. In addition, the company has introduced special policies for its top executives. The salary of senior managers has been reduced, and Mango's CEO Toni Ruiz decided to forego his remuneration during the pandemic.

Mango was founded in Barcelona in 1984. In 2019, it posted record results, its revenue rising to €2.374 billion, equivalent to a 6.3% increase. In the same year, online sales accounted for 24% of Mango's total sales. During the shop closure period caused by the Covid-19 crisis, Mango has continued to do business online, “since distribution has not been disrupted and deliveries have continued (with the exception of some areas where restrictions were in place).” In addition, Mango has tweaked some of its retail services, extending the return period and allowing in-store collections once the stores are operational again. The label’s warehouse and its logistics contractors have taken steps to ensure maximum safety in operating conditions for employees and customers.

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