Zara owner expands budget brand Lefties in bid to rival Shein
The move comes as Zara became less competitive on price since Inditex started raising prices in response to inflation
Zara owner Inditex is reportedly expanding its low-priced, Gen Z-focused brand Lefties in a bid to be competitive against fast fashion rivals such as Shein.
According to Reuters, the company is “quietly growing” its budget ranges as part of this strategy, including the expansion of Lefties, which sells €17.99 (£15) jeans, dresses for as little as €7.99 (£7), and €5.99 (£5) handbags.
The move comes as Zara became less competitive on price since Inditex started raising prices in response to inflation, as well as shifting towards more upmarket customers.
Reuters said the growth of Lefties shows that Inditex “wants a foothold in the value end of the market, even as it has successfully boosted profits at Zara”, however.
Lefties currently operates in sixteen markets (Spain, Portugal, Andorra, Mexico, Qatar, Saudi Arabia, Morocco, Tunisia, United Arab Emirates, Egypt, Israel, Bahrain, Tunisia, Oman, Romania and Turkey), where it has a network of establishments in the main cities of each country.
The budget brand is aimed at all audiences and ages and has sections for women, men, girls, boys and babies. It also has homewear, sportswear and underwear collections.
According to estimates from new market research from Kantar, Lefties has grown from around 3.5 million customers in 2019 to five million customers in 2023, putting it just behind Shein with 5.2 million.
