Another one bites the dust
The luxury womanswear label said it is ‘simpifying its business plan and operations,’ and in order to reduce its head office staff is closing its showrooms within international markets in the US, Australia and UK. The retailer will instead turn its focus to its Canadian showrooms and global e-commerce platform.
“We recognise the traditional world of bricks and mortar retailing is changing, which is why we’re shifting strategies,” said Chip Wilson, founder of Hold It All Inc., the Vancouver-based holding company which owns Kit and Ace.
“We believe in the business model for Kit and Ace. Going forward, we will be a stronger company.
“Fewer stores require fewer people. We remain deeply grateful for the creativity and commitment of those leaving the company and thank them for their valuable contribution.”
Late last year, Kit and Ace closed its Sydney showroom at Surry Hills, citing the location was “always a trial, part of its real estate strategy of beta-testing different locations and markets with temporary spaces.”
“We deliberately work with short–term leases and minimal build out to test and connect with the community,” a spokesperson told Inside Retail at the time.
Richard Hughes, Salvator Algeri and David Orr are the appointed voluntary administrators of Sew Aus Pty Ltd, the company that was the Australian branch of Canadian apparel brand Kit and Ace, with stores in Melbourne, Sydney, Brisbane and the Gold Coast. The company ceased trading and closed all stores on Wednesday last week.
Meanwhile, the women’s label has copped a high amount of backlash for announcing the closures to its approximately 65 Australian employees via social media – many of whom turned up to work to find locked doors.
Access exclusive analysis, locked news and reports with Inside Retail Weekly. Subscribe today and get our premium print publication delivered to your door every week.