It’s no surprise that the likes of JD.com would fit with the styles of fashion-retailer Fartech. The far-fetched idea is the real merger between China’s largest online retailer and one of luxury fashion’s. What Farfetch impressions with fashion, “Jingdong” does as a Fortune Global 500 brand. Imagine $67 billion yearly, 300 million buyers and AI robots for the delivery system. The two merging, with access to a proven system for selling goods, may create a deal of the year. 2019 is only months in the making, but this merger is set in stone. China is the major beneficiary, and this all occurs through the prospect of luxury clothing.
How Farfetch and Why Now?
Farfetch groups together 3,000-fashion retailers to a single website. This is a speciality that, even with its size and resources, won’t come overnight with Jingdong. It makes sense to work with Farfetch’s platform; it’s been valued at 1 billion dollars since 2018. Its placement on the New York Stock Exchange makes Farfetch(FTCH) ripe for the taking. We find a stunning exception to the rule of mergers as both sides are eager for the deal. Things couldn’t be better. José Neves is the founder, CEO and co-chairman of Farfetch. His sights are toward a market where millions earn more and spend at the same rate. China’s economy welcomes the prospect of luxury goods. The JD.com site is an ideal place to sell those products. The brand has a strong clientele, market penetration and a working app the Chinese know.
Luxury Fashion that Makes a Difference
A closer look at the merger between JD.com and Farfetch reveals depth and variety. The Farfetch site works with women and men alike; it covers every item for luxury wares. The site provides a spectrum of new and vintage designs. Covering the trends, the cult-like obsessions and the lesser-known brands allow for many expressions. This dynamic brings Blueberry, Acne and Gucci to one place, which displays online. A pact confirmed the merger in 2017. Resources now combined—level-one access with shared customers and a Chinese market—into a luxury option in a single app.