This decline was due to a 34.01% decrease in revenue to Rp 10.17 trillion, caused by the closure of malls and reduced shopping activities by the public.
However, in the first quarter of 2022, the MAP Group managed to achieve a net profit of Rp 577.2 billion, a significant increase from a net loss of Rp 138.26 billion in the first quarter of 2020.
This increase was driven by an 18.6% rise in net sales to Rp 5.58 trillion, in line with increased public mobility and economic recovery.
ZARA itself is one of the brands contributing significantly to the MAP Group’s revenue.
Yet, with this ZARA ad controversy, the MAP Group must work harder to maintain its performance.
The group needs to convince the public that they are not associated with the offending ZARA ad and continue providing excellent service to their customers.
Moreover, the MAP Group needs to adapt to changes in consumer behavior, particularly by developing online and digital sales channels.
Can the MAP Group navigate this crisis successfully, or will they continue to incur losses due to public boycotts? Only time will tell.
