Kiabi Expands Horizons Beyond Ready-to-Wear with Ambitious Diversification Strategy

Kiabi, long celebrated as France’s preferred ready-to-wear brand, has recently unveiled a comprehensive diversification strategy designed to fortify its market leadership amidst the challenging landscape of the apparel sector. This ambitious plan signifies a strategic pivot, introducing new revenue streams and enhancing customer engagement through an expanded product and service offering. Key pillars of this strategy include venturing into the second-hand market for clothing and toys, launching a dedicated household linen collection, and introducing a brand-new footwear line specifically for toddlers.

A significant component of this strategic evolution is the expansion of its second-hand program, branded "Beebs by Kiabi." This initiative not only encompasses the resale of Kiabi's own garments but also integrates a robust in-store take-back and resale service for clothing from other brands, fostering a circular economy model. While the brand had previously explored beauty products, its focus has now sharpened on integrating sustainable practices. The "Beebs by Kiabi" platform also extends to second-hand toys and games, which are currently undergoing a testing phase in partnership with the service provider Deuzio.

The rollout of this second-hand service is progressing rapidly across France. By the close of September, a commendable 50% of Kiabi's French store network, excluding affiliated locations, already offered both a clothing take-back service and in-store resale options. Ouarda Ech-Chykry, Managing Director of Kiabi France, articulated the brand's commitment, stating during a recent press conference, "We aim to accelerate. We are rolling out the take-back service to 15 stores a month through the start of the year to reach 100% as quickly as possible — across all 352 stores in France." She further emphasized the brand's responsibility, adding, "It is our responsibility as a retailer of new products."

Beyond the second-hand market, Kiabi has successfully diversified its product offerings with the introduction of Kiabi Home. Launched in 2024, this household linen collection is now readily available in stores across France, Belgium, and Italy. The initial success and positive reception of Kiabi Home signal strong growth potential, with Ech-Chykry indicating that "The range will expand significantly next year in terms of floor space," underscoring the brand's commitment to developing this new segment.

Further enriching its portfolio, Kiabi also introduced Kitchoun this past summer, a new brand specializing in toddler footwear. This venture is perceived as a natural extension of Kiabi's existing apparel range, offering a complete wardrobe solution for its youngest customers. Estelle Urbain, Head of Innovation at Kiabi, highlighted the strategic importance of this new brand, stating, "It is the logical complement to the outfit; we have strong ambitions," signaling a clear intent to establish Kitchoun as a significant player in the children's footwear market.

This wide-ranging diversification strategy is integral to the group’s overarching "Vision 2035," a long-term plan aimed at fundamentally transforming its business model to meet evolving consumer demands and market dynamics. The Mulliez Group, which owns a portfolio of prominent brands including Auchan, Leroy Merlin, Decathlon, Flunch, and Boulanger, reported that Kiabi achieved an impressive €2.3 billion in revenue in 2024, representing a robust 5% year-on-year increase. This financial performance, coupled with compelling consumer data — including 44 million transactions and an average of 3.4 items per basket in France — as highlighted by a recent report from consumer data company Numerator (which recently merged with Kantar’s panel), unequivocally confirms Kiabi's enduring status as France's favorite brand.