Two more Inditex stores that have or are due to close soon are Stradivarius Braila and Oysho in Iulius Mall in Iasi, market sources say.
This the first warning sign about the impact the COVID-19 pandemic has on the economy and the local busines sector. The importance of the closing of such stores is even greater since it was done by the largest actor on the fashion retail market in Romania, part of the Inditex giant with almost EUR30 billion global sales in 2019. This is not a small local business without financial strength or a brand that is not popular with consumers.
The Spanish group announced as early as last summer it would close more than 1,000 stores throughout the world due to the impact of the pandemic on online commerce. Inditex will keep almost 140 brick and mortar stores in Romania, under eight brands.
Inditex as a group is the leader of the local fashion retail, having posted 1.83 billion lei (EUR380 million) sales in Romania in 2019, according to the latest available data. The sales were 7% higher than in 2018.
It operates in Romania via eight brands, the biggest of which Zara, which contributes half of its sales. The others are Bershka, Stradivarius, Oysho, Massimo Dutti, Uterque, Zara Home and Pull&Bear.
(English version by Loredana Fratila-Cristescu)