Fashion retailer Sosandar is targeting further store openings after the success of the first few, and aims to strike deals to sell through other retailers as it has with Marks & Spencer and Next.
Sosandar until recently only operated online, but has opened four bricks-and-mortar stores during the first half of its financial year.
The retailer, which has just posted interim results, said the initial branches – two in town centres and the others in shopping centres, have met targets so far.
The addition of physical stores is expected to bring benefits ranging from increased brand awareness to extending reach and helping reduce returns rates.
So far, approximately 65% of purchases in the shops have been made by customers new to Sosandar. The openings have brought “a demonstrable uplift” in traffic to its website from areas where the branches are.
Sosandar co-founder and joint chief executive Julie Lavington told Retail Week that the retailer is interested in trying out big city centre stores in places such as Glasgow, Liverpool and Manchester, although no premises have been signed yet.
She said: “We have capacity for 10 stores a year, although we don’t need to do that. They need to be the right locations.”
The retailer also hopes to strike more partnerships such as that recently agreed with Next – a licensing deal for a Sosandar homewares range.
Sosandar chief financial officer Steve Dilks said: “There may well be more to follow. It’s an important first step in how the brand can evolve and reach more customers. It’s low risk and low investment, we’re buying into the capabilities of the partner.”
Such initiatives are anticipated to boost profitability. Sosandar reduced its first-half loss and expects “a further large upwards swing in profitability” in the second half.
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