Zozo Acquires Fashion Platform Lyst

• The Japanese fashion retail company Zozo has purchased a UK-based Lyst online fashion retailer for $154 million (£123 million) to enhance efficient global expansion and technological innovation.
• Acquiring Lyst’s technology-driven fashion discovery function with Zozo’s e-commerce, the integration is expected to redefine the online fashion buying experience.

A giant makeover has hit the fashion e-commerce scene globally, as Japanese fashion retailer Zozo has acquired London-based shopping platform Lyst for an estimated price of $154 million (£123 million). While this acquisition is interesting, it sheds some light on a more strategic point for Zozo, like expanding into the international market and deepening its investment in AI-driven fashion technology.

Lyst is a UK-based platform that links over 200 million buyers with 17,000 luxury and premium fashion businesses each year. The marketplace is well-known for its AI-powered customisation capabilities, which assist shoppers in finding trendy items of their preferences. Lyst also works on The Lyst Index, a quarterly survey of the world’s most popular fashion brands and goods.

On the far end of the world, Zozo runs Zozotown, Japan’s most extensive online fashion market, with over 12 million customers served yearly. The corporation is known for making numerous waves with its innovations, such as Zozofit, a 3D body measurement app available in the U.S., and WEAR, a community-driven outfit-sharing app. Now, with Lyst under its umbrella, Zozo seems to confirm its path toward global relevance, where technology and style will meet.

Emma McFerran, CEO of Lyst, expressed enthusiasm about the move, saying, “This is an exciting moment for Lyst and a win-win for our fashion ecosystem of shoppers and partners. Our space is evolving fast, and we share a vision to build a better, brighter future for the industry, using AI and technology. With Zozo’s scale, expertise and support, Lyst will be in an even stronger position to reimagine fashion discovery online.”

Zozo’s Executive Director, Utahiro Inui, also commented on the acquisition: “Lyst has built an exceptional platform that aligns perfectly with our vision of creating more inspiring, joyful shopping experiences. Lyst’s industry credibility and unique brand voice, coupled with market-leading technology and scale, means they are uniquely positioned to redefine the space.”

Reflecting an inherent shift happening in fashion and trends, lately, so much more is connected: digital innovations and tech-enabled commerce have quickly become imperative for expansion. As consumers become more demanding and orientated toward online experiences, Zozo and Lyst are dialling into the new stage of fashion.

Now, as Lyst enters Zozo’s playing field, it is an opportunity for buyers to expect a more personalized global shopping environment, giving a tech update of sorts while steering the business landscape into a new orbit. The view of mixing high-end tech with fashion seems judicious.