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Debenhams Group in transformational multi-year AI deal with Amazon Web Services

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Retailers are increasingly diving deep into artificial intelligence and just days after Mango announced its new AI-based Mango Stylist personalisation tool, Debenhams Group had a big announcement of its own.

Debenhams CEO Dan Finley

As well as renewing its existing deal with Amazon Web Services (AWS) it has extended it with the new multi-year agreement designed “to scale up its AI-driven tools” across the e-tailer’s brands including Debenhams, PrettyLittleThing, Boohoo, BoohooMAN and Karen Millen. 

The tech has been tested extensively by the Debenhams brand itself and its labels, and the group will now embed AWS technology across its other brands, with Boohoo the first to adopt AWS’s AI technologies “in a matter of weeks”.

The deal will “accelerate the group’s adoption of AI to drive business growth and enhance the customer shopping experience,” we’re told, but what will it actually involve?

The company said that by using advanced technologies like Generative AI (GenAI), the link-up will help it streamline its operations and rapidly scale new brands using AI-driven tools.

For instance, it means automated descriptions of thousands of products, which the company said will speed up the process 20-fold. Then there’s an interactive AI Room Styler that offers personalised decor suggestions linking directly to shoppable listings, while AI-powered product attribution and taxonomy is being used to “improve search and navigation, helping customers discover relevant products faster”.

It already uses AWS cloud services on the Debenhams platform with AWS’s server-less cloud technology powering its successful marketplace model “by facilitating the faster onboarding of third-party sellers, a broader product selection and an effortless purchasing journey”.

Now, AI-generated content, powered by Amazon Bedrock – a fully managed service that makes it easy to build and scale GenAI applications – is what will enable Debenhams Group to automate product descriptions and translations across tens of thousands of products, “improving consistency, localisation and speed to market”.

Its translations into six languages now happen automatically, so no extra work is needed. “This means products are ready to sell in different countries much quicker,” it said.

Dan Finley, CEO of Debenhams Group, was understandably upbeat: “Collaborating with AWS is a key part of our long-term strategy to transform Debenhams Group into a modern, technology-led retailer. We’ve successfully replaced outdated legacy systems with scalable, cloud-first architecture that’s adaptable, resilient and built to support innovation well into the group’s future.”

And perhaps addressing worries over jobs, he added: “Our strategic investment in AI and emerging technologies will not only future-proof the business, but create a faster, smarter and more personalised experience for our customers. Working closely with a hand-picked team of engineers and AWS specialists, together, we’re not only accelerating our digital road-map, but making Debenhams Group an exciting place to work for the next generation of tech talent.”

Meanwhile Duncan Stewart, head of Retail & Consumer Packaged Goods UK & Ireland at AWS, said: “By leveraging the flexibility and scalability of the cloud, Debenhams Group now has the technology foundations to quickly build and deploy innovative new AI-powered products and services across all of its brands, which will help drive business productivity and growth.”

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Jewelry giant Pandora eyes China revamp after 80% revenue drop

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Reuters

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July 11, 2025

Danish jewelry maker Pandora is exploring ways to restructure its business in China, according to two people familiar with the matter, following years of declining sales both online and in stores.

Pandora considers licensing assets in China amid market slump. – Reuters

The world’s largest jeweler by volume is in talks with China-based funds and e-commerce partners to potentially license its brand and assets — including inventory — for a five-year term, one of the sources said.

Like many multinational consumer brands operating in the world’s second-largest economy after the United States, Pandora has been hit hard by post-pandemic consumer malaise, compounded by an ongoing property crisis affecting broader economic sentiment.

The brand is also facing fierce competition from local, digitally savvy brands in China’s crowded e-commerce space, along with shifting consumer preferences toward gold and higher-value jewelry.

In a statement to Reuters, Pandora acknowledged the need to reposition its brand in China and confirmed that a turnaround is in progress, noting that “it will take time.” The company did not comment on specific restructuring discussions.

“China is the biggest jewelry market in the world, and we remain fully committed to the business there,” Pandora said.

According to exchange filings, Pandora’s China revenue dropped nearly 80% to 416 million Danish crowns ($65.10 million) in 2024, down from 1.97 billion crowns in 2019. Over the same period, China’s contribution to the company’s global revenue fell from 11% to about 1%.

Since 2022, Pandora’s China unit has had three managing directors. The current managing director, Thomas Knudsen, took over in January. Shortly afterward, the company announced plans to close 50 stores in China this year.

Finding a licensee or stakeholder may be “difficult” given Pandora’s declining performance in China and broader consumer headwinds, said Jonathan Yan, a principal at consulting firm Roland Berger in Shanghai.

“I don’t think financial investors are going to be interested in this asset,” Yan said. However, e-commerce firms seeking higher-margin brand ownership “may be interested.”

A precedent for such a deal could be Baozun’s acquisition of Gap’s China business in 2022. The Chinese e-commerce service provider bought the U.S. apparel retailer’s operations for $40 million to $50 million.

Reuters was unable to determine the current valuation for Pandora’s potential China deal.

Sales from Pandora’s e-commerce business in China have declined more sharply than its physical retail operations, according to a person with knowledge of the matter who was not authorized to speak publicly.

Yan added that a takeover by an operator with strong e-commerce expertise could be a step in the right direction, but any turnaround would require significant investment.

“They will need to burn money and have a very innovative approach — and even then, it won’t be easy,” he said.

($1 = 6.3902 Danish crowns)

© Thomson Reuters 2025 All rights reserved.



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Milano Unica trade show records 10% rise in international visitors

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Nicola Mira

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July 11, 2025

The Milano Unica textiles trade show has recorded a 10% increase in international visitors. The show’s 41st edition held on July 8-10 in Milan saw rising attendance figures for visitors from most of the markets where Italy exports its textiles, except for visitors from China, down 3.5%, and Korea, down 14%. Visitor numbers from other countries significantly increased, for example from the Netherlands (up 46%), Germany (up 33%), the UK (up 23%), the US (up 16%), France (up 14%) and Japan (up 9.5%).

Milano Unica

The share of international visitors at the show, which presented the Fall/Winter 2026-27 collections of premium fabrics and accessories for men, women and children, was 45% of the total. The number of exhibitors too was up from last edition, to 735, driven by an 8.7% increase in European exhibitors. 

“Almost all the main markets for Italian exports of fabrics and accessories, both in the EU and outside the EU, have responded positively. While the results, which I hope will be positive, will be seen in 2026, the satisfactory attendance figures of foreign buyers, a fact confirmed by the extensive positive feedback I gathered among fellow exhibitors, makes us look to the future with moderate optimism,” said Simone Canclini, president of Milano Unica.

“The exceptional results we have achieved in this edition of the show are the fruit of our team work, (..) and they confirm the strategic role Milano Unica plays in supporting [Italy’s] textile and fashion industries, evident also in the partnership with the MarediModa show,” said Massimo Mosiello, managing director of Milano Unica.

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Zalando takes majority stake in About You, targets 8% EBIT margin

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Nazia BIBI KEENOO

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July 11, 2025

Zalando and About You, two of Europe’s leading online fashion platforms, have officially merged in a strategic move to unite their B2C and B2B strengths. While combining forces to accelerate growth across the region, both companies will retain distinct brand identities. Zalando will unveil the first outlook for the newly formed group on August 6, alongside its second-quarter earnings for fiscal year 2025.

Zalando will unveil its first outlook for the newly merged group on 6 August, alongside its Q2 2025 financial results. – Zalando

The European Commission approved the deal on July 1, including Zalando’s voluntary public takeover offer to About You shareholders. Zalando has now acquired 91.45% of the former Otto Group subsidiary’s share capital.

As a next step, Zalando intends to initiate a squeeze-out of remaining minority shareholders, offering them fair cash compensation. The squeeze-out will occur through a merger between About You and a wholly owned Zalando subsidiary.
Since announcing the planned merger on December 11, 2024, both companies say they’ve been preparing for this next phase—developing concrete plans to ensure a smooth transition post-merger.

“Zalando and About You both started as local startups and have grown into European success stories,” said Robert Gentz, Zalando’s co-CEO and co-founder. “We share a deep focus on quality, innovation, and staying close to our customers. Together, we’ll be a powerhouse shaping the future of fashion and lifestyle e-commerce in Europe.”

On the B2C side, the group plans to deliver differentiated and engaging shopping experiences for both customers and brands. In B2B, the integration of About You’s payment solution Scayle complements Zalando’s vision of building a full-scale operating system for the fashion and lifestyle sector.

“By combining our complementary logistics and software tools—Zeos, Tradebyte, and Scayle—we’re creating an even more robust e-commerce operating system,” the companies stated. “This will allow brands and retailers to efficiently manage multichannel businesses across Europe and beyond.”

“At the heart of this partnership is our shared mission to redefine how people shop for fashion and lifestyle products—and to bring real value to our customers and partners,” said Tarek Müller, co-CEO and co-founder of About You. Gentz added, “This strategic transaction unlocks major collaborative opportunities while allowing About You to retain its identity and entrepreneurial energy.”

Back in December 2024, Zalando reaffirmed its mid-term outlook for the combined group. By 2028, the company expects compound annual growth of 5 to 10 percent in both gross merchandise volume (GMV) and revenue.

The merged entity is also targeting an adjusted EBIT margin of 6 to 8 percent—representing a significant boost in absolute earnings.
Together, the companies aim to capture a larger share of Europe’s €450 billion fashion and lifestyle market.

Zalando will release its first official outlook for the combined business when it reports second-quarter results on August 6.

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