ZD Zero Defects, going for three million with the US and the Generalitat behind them

ZD Zero Defects, going for three million with the US and the Generalitat behind them
ZD Zero Defects, going for three million with the US and the Generalitat behind them

ZD Zero Defects leaps to conquer the American dream. The intimate company based in Mataró (Barcelona), is now committed to making the leap to the other side of the Atlantic Ocean and expanding its business to the United States. The company already works with an independent agent in the country, where it plans to be present in a couple of multi-brand establishments by the end of the year or early 2025.

ZD Defects It closed its last year with a turnover of 2.2 million euros, a figure that it plans to increase to three million by 2024., 36.6% more. The company’s net result reached 80,000 euros.

“Our factory is still located in its original location, in the center of Mataró, so we have been expanding it upwards; It is a factory at the top,” explains Katy Muñoz, director of the company and member of the founding family, to Modaes. ZD Zero Defects was born in the city of Mataró (Barcelona) in 1920, and more than a hundred years later, the company is now run by the founder’s granddaughter.

This It is not, however, the first time that the company has tried to make the leap to the United States. Before the pandemic, ZD Zero Defects already began its expansion plan in the country, a process that had to be paralyzed due to the outbreak of the pandemic. The company’s presence on the continent, however, will be limited to the North American country, since Muñoz rules out having a presence in Latin American countries: “We have a product that is too expensive for the region,” adds the director.

ZD Zero Defects began preparing its jump to the United States before the outbreak of the pandemic

Although the bulk of ZD Zero Defects’ business is in Spain, The company is also present in other international markets, which account for 5% of total turnover of the intimate company. ZD Zero Defects operates in large European markets such as Portugal, France and Germany, as well as Italy, where it is present only online.

The family company has a network of 800 points of sale distributed throughout Europe, where it operates through multi-brand stores. In Spain, ZD Zero Defects is also present in haberdashery stores. Online sales account for 8% of the company’s turnover, which it manages through its own e-commerce. Physical sales, on the other hand, accumulate the remaining percentage of the business.

By business lines, The production of intimate clothing with Egyptian cotton, where Muñoz assures that the secret of its quality lies, accounts for 60% of sales. Although the company imports the material from Egypt, the weaving, dyeing and tailoring are carried out in Maresme. More recently, ZD Zero Defects has also joined the wave of sustainable materials, and 30% of its turnover comes from two lines (for men and women) made from yarns from soy fiber. The rest of the company’s sales correspond to more exclusive and not so periodic collections.

The company still operates in the original 1920s factory, which it has expanded to three stories high.

The volume of garments managed by ZD Zero Defects per year is approximately 300,000 units. Muñoz reports, however, that this figure will rise exponentially during this year thanks to its participation in the Generalitat of Catalonia’s campaign to distribute reusable menstrual products. ZD Zero Defects began developing a line of menstrual panties in 2019, and in November 2023, the project was awarded to the Catalan company.

Over the next few years, ZD Zero Defects will be in charge of producing these items, which are distributed free of charge to young people.. Muñoz also foresees that this contract will be extended for more years.

The director, third generation of the founding family, has highlighted the intention to continue expanding in the international market. To do this, however, he rules out the possibility of opening the company’s capital, which he hopes “will remain in the hands of the family.”

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