Yoox Net-a-Porter revealed today that it will launch a Mr Porter own-brand label, as it unveiled an ambitious five-year growth plan.
The luxury etailer said it was moving “to harness the tremendous potential offered by the luxury online retail market”.
It wants an annual revenue growth of 17% to 20%, at constant exchange rates, and an adjusted EBITDA margin of between 11% and 13% by 2020 – up from 8% in 2015,
It also wants to reduce its capex to around 4-5% of revenues by 2020.
It plans to drive the growth via an accelerated shift to mobile, growing its high-value customer base, expanding in Asia Pacific and the Middle East and enriching its product offer. As part of this, it wants to grow its own-label business to 10% of its off-season sales.
Yoox Net-a-Porter will launch an own-label brand on its Mr Porter menswear site.
It will continue to operate four labels: Yoox, Net-a-Porter, Mr Porter and discount store The Outnet.
These four brands will be run on a single global platform that will provide each with “cutting-edge technology and luxury operations, empowering innovation and unlocking synergies”. They will also share corporate functions.
Chief executive Federico Marchetti said: “We have ambitious plans to grow faster than the online luxury market by leading through mobile.
“I am confident that by 2020 we will not only reflect on five years of strong growth in revenues and profitability but we will also have positioned YNAP technologically at the forefront of innovation for the following decade.”