Marks & Spencer has expanded its partnership with Zalando, signing a new agreement that will see the retailer’s entire online direct-to-consumer business in continental Europe fulfilled through ZEOS, Zalando’s B2B logistics arm. 

From early 2026, ZEOS will handle M&S online orders across 21 European markets, streamlining operations and enabling the retailer to consolidate its stock through a single inventory system. The move aims to improve efficiency, reduce costs and enhance customer experience with faster delivery and returns.

The expanded partnership builds on a relationship first established in 2022, when M&S began using Zalando Fulfilment Solutions (ZFS) to serve European customers via Zalando, About you and Amazon marketplaces.

Mark Lemming, Managing Director of International at M&S, said: “Having reset the International business to reshape M&S for global growth, we’re focusing on bigger, better partnerships, which enable us to bring the best of M&S to the world.

“Our partnership with Zalando supported us as we began to scale our online growth over the last three years and now we’re taking the next step, leveraging ZEOS’ operational infrastructure to scale our online business in Europe further.”

The agreement aligns with M&S’s strategy to build a scalable international business through strong strategic partnerships. The retailer’s International division, which underwent a reset last year, continues to focus on developing omnichannel growth in key global markets by combining M&S’s brand strength with the logistics and technological expertise of partners like Zalando.

The announcement follows a challenging year for M&S, which is still recovering from the impact of a major cyber attack earlier in 2025 that severely disrupted its online operations. The the attack forced M&S to suspend website orders for six weeks, causing online home and fashion sales to plunge by over 40%. The retailer’s profits more than halved in the first half of its financial year, with underlying pre-tax profits down 55.4% to £184.1 million.

Although the total cost of the cyber attack is now estimated at £136 million, lower than the £300 million initially feared, it caused significant disruption to logistics and dented customer confidence. M&S has since restored home delivery and click-and-collect services, and Chief Executive Stuart Machin said the company expects trading to be “fully recovered by the end of the financial year.”