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Why Global fashion group's Business Model is so successful?

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Global fashion group’s Company Overview

Global Fashion Group (GFG) is an international leader in the fashion and lifestyle sector, dedicated to bringing a vast array of global and local brands to consumers in more than 17 markets around the globe. With operations spread across four continents, the company serves millions of customers with an extensive selection of products, ranging from apparel, footwear, accessories, beauty and lifestyle products. GFG's commitment to uniting a diverse portfolio of brands under one digital platform has established them as a prominent player in the e-commerce sector, guided by a vision to make fashion accessible to everyone. Business Model: GFG runs a comprehensive and dynamic business model that focuses on their online fashion platform. Here, they connect global and local fashion brands with millions of customers across multiple regions. By maintaining a unique mix of full-price and off-price business segments, the company ensures an all-encompassing and appealing fashion selection for different consumer needs and preferences. They also engage in strategic partnerships with brands, allowing these entities to access new markets via GFG's expansive customer base. Technology advancement and innovation forms an essential part of their strategy, ensuring efficient operations and a seamless user experience. Revenue Model: Global Fashion Group's revenue model is primarily built around e-commerce sales from its portfolio of fashion and lifestyle products. They earn revenue by selling items directly to customers and through retail partnerships with third-party sellers. Apart from sales revenue, GFG also earns income from marketing services provided to brand partners, including targeted advertising and promotional features on their platform. Lastly, they benefit from their logistics solutions, charging fees for storage, delivery, and other value-added services. This multi-stream approach to revenue ensures diversified income sources, contributing to the company's sustained growth and profitability.

Country: Luxembourg

Foundations date: 2011

Type: Private

Sector: Consumer Goods

Categories: eCommerce

Global fashion group’s Customer Needs

Social impact:

Life changing: affiliation/belonging

Emotional: design/aesthetics, attractiveness, provides access

Functional: organizes, integrates, connects, quality, variety, informs

Global fashion group’s Related Competitors

Global fashion group’s Business Operations


This approach generated money by sending promotional marketing messages from other businesses to customers. When you establish a for-profit company, one of the most critical aspects of your strategy is determining how to generate income. Many companies sell either products or services or a mix of the two. However, advertisers are frequently the source of the majority of all of the revenue for online businesses and media organizations. This is referred to as an ad-based income model.

Customer relationship:

Due to the high cost of client acquisition, acquiring a sizable wallet share, economies of scale are crucial. Customer relationship management (CRM) is a technique for dealing with a business's interactions with current and prospective customers that aims to analyze data about customers' interactions with a company to improve business relationships with customers, with a particular emphasis on retention, and ultimately to drive sales growth.

Digital transformation:

Digitalization is the systematic and accelerated transformation of company operations, processes, skills, and models to fully exploit the changes and possibilities brought about by digital technology and its effect on society. Digital transformation is a journey with many interconnected intermediate objectives, with the ultimate aim of continuous enhancement of processes, divisions, and the business ecosystem in a hyperconnected age. Therefore, establishing the appropriate bridges for the trip is critical to success.

Direct selling:

Direct selling refers to a situation in which a company's goods are immediately accessible from the manufacturer or service provider rather than via intermediate channels. The business avoids the retail margin and any extra expenses connected with the intermediaries in this manner. These savings may be passed on to the client, establishing a consistent sales experience. Furthermore, such intimate touch may help to strengthen client connections. Finally, direct selling benefits consumers by providing convenience and service, such as personal demonstrations and explanations of goods, home delivery, and substantial satisfaction guarantees.

Fashion sense:

In any customized sense of style, the golden guideline is to buy garments that fit correctly. Nothing ruins an ensemble more than an ill-fitting jacket, shirt, or trouser, regardless of the dress code or the cost of the clothing. Personal Values Sharing as a Brand Identity A significant component of developing a company that fits your lifestyle is growing a business grounded in your beliefs.

Fast fashion:

Fast fashion is a phrase fashion retailers use to describe how designs travel rapidly from the catwalk to catch current fashion trends. The emphasis is on optimizing specific supply chain components to enable these trends to be developed and produced quickly and affordably, allowing the mainstream customer to purchase current apparel designs at a reduced price.

Technology trends:

New technologies that are now being created or produced in the next five to ten years will significantly change the economic and social landscape. These include but are not limited to information technology, wireless data transmission, human-machine connection, on-demand printing, biotechnology, and sophisticated robotics.

Online marketplace:

An online marketplace (or online e-commerce marketplace) is a kind of e-commerce website in which product or service information is supplied by various third parties or, in some instances, the brand itself, while the marketplace operator handles transactions. Additionally, this pattern encompasses peer-to-peer (P2P) e-commerce between businesses or people. By and large, since marketplaces aggregate goods from a diverse range of suppliers, the variety and availability are typically greater than in vendor-specific online retail shops. Additionally, pricing might be more competitive.


Electronic commerce, or e-commerce (alternatively spelled eCommerce), is a business model, or a subset of a larger business model, that allows a company or person to do business via an electronic network, usually the internet. As a result, customers gain from increased accessibility and convenience, while the business benefits from integrating sales and distribution with other internal operations. Electronic commerce is prevalent throughout all four main market segments: business to business, business to consumer, consumer to consumer, and consumer to business. Ecommerce may be used to sell almost any goods or service, from books and music to financial services and airline tickets.

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