J.Crew changes its business strategy
In anticipation of a brand relaunch scheduled for September including expanded collections to revitalise the business, the American brand, J.Crew, has closed its shop in Paris to instead focus on opening in department stores.
In 2015, the brand historically known for its preppy chic style, inaugurated a first street address in Le Marais, a location dedicated to its women’s line. That year, J.Crew also entered the Bon Marché in Paris. The brand still owns this location within the department store, but closed its address in Le Marais in January 2018, in an effort to shrink its stock in its home market, as well as internationally.
Still, J.Crew, who intends to gradually leave the brick-and-mortar model and place digital at the forefront, will not neglect physical locations either. Instead, it’s taking a step to the side, focusing on department stores. In France, J.Crew will arrive on September 1 in four department stores: Galeries Lafayette Haussmann in Paris, in Nice Massena and in Bordeaux, as well as in BHV Parly 2, which was recently renovated.
For J.Crew, 2017 was a year of change. Founded in 1983 in Paris, Jenna Lyons, a brand leader, left her position as general manager and artistic director, followed a few months later by CEO, Mickey Drexler, while sales continued to decline since some time. The brand has tried to add new life, both in terms of image (with a more inclusive purpose), and its offerings (expanded range and more casual styles). New management announced a few days ago that this renewal will finally materialise in September 2018.
The brand, which first entered the European market in 2013 with a store in the United Kingdom, saw its turnover fall by 7 percent ($391.9 million) and by 6 percent on a constant exchange basis, in the first quarter of fiscal 2018. About 20 J.Crew stores will close this year, while there is only one opening planned.
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