Mango expects its brand new flagship in New York to become one of its most profitable locations in the world.
Spread over three floors of the Grande Dame building on Fifth Avenue, the 23,000 square foot store offers women’s, men’s and children’s apparel along with perks such as on-site tailoring, upgraded dressing rooms, a designated location to donate clothes to recycle and five NFT experiences.
“We believe [stores are] a privileged place to meet our client,” said Toni Ruiz, CEO of Mango.
The flagship follows the “New Med” design Mango unveiled at its Barcelona flagship earlier this year, with terrazzo floors, arched mirrors and entryways, and understated ceramics that mimic the look of a Mediterranean home. The design also reinforces the steps Mango has taken to reduce its use of virgin materials in fashion. Up to 70% of the flagship’s ‘existing structure’ has been respected and a ‘second life’ has been given to the wooden floors, ceilings, lighting and other fittings.
For the first 11 days of the store, the venue will house the physical works of acclaimed artists Miró, Tàpies and Barceló as well as screens displaying NFTs inspired by their works. Mango clothes currently available in the store are featured in NFTs.
At an opening day press conference on Wednesday, Ruiz described the store as a “unique moment” for the company and the starting point for its expansion into the United States, which it entered in 2006. with a store in the Soho district of New York. Although the United States is currently one of Mango’s top 10 markets by sales out of 110 worldwide, the company expects the United States to be among its top five by 2024.
New stores across the Solar Belt – five in Florida, one in Atlanta, three in Texas – followed by stores in Las Vegas, Phoenix and Southern California over the next 10 months will help Mango achieve its goal. The Spanish fast-fashion retailer is targeting a total of 40 new stores in malls and stand-alone formats by 2024. Ruiz added that Mango will also launch a new loyalty program in June and adapt its communication strategy to the market.
“It is true that today we are going through a period of uncertainty, but our objective is to continue to progress in the implementation of our strategy,” Ruiz said. “Mango is in an optimal position to face the future by promoting our brand and our products. To give some context, Mango closed 2021 with the highest results in nearly a decade. In terms of turnover, we realize more than 2.2 billion euros.
Data gathered from its 2019 e-commerce launch in the US informed the expansion strategy. “It gave us a tremendous amount of data on where our customer base is primarily located in America, and that was the foundation of our [expansion] strategy in America,” said Daniel López, Director of Expansion and Franchising at Mango.
The flagship will be serviced twice a week by the 180,000 square foot logistics facility about 60 miles out of town that handles Mango’s e-commerce orders in the United States. “The timing in New York is about the same for the consumer as the timing in Barcelona, London, Paris or Amsterdam,” Ruiz said. However, to maintain a constant flow of new products, the company moved part of the production from China to Mediterranean countries.
“It allows us to have flexibility – to have the product and to have it more frequently,” he said.