In an effort to stem the pain brought on by the Covid-19 pandemic, fashion group Mosaic Brands has shuttered 73 stores over the last three months and is looking to close another 250 by the end of the financial year.
The move, managing director Scott Evans said, was aimed at exiting unfavorable leases.
“We will not maintain lease agreements that don’t match the needs of our customers,” Evans said.
“We are very conscious of the impact this has on our people along with the communities we serve, [and] are providing support to all impacted team members as well as offering redeployment opportunities where possible.”
These stores closures could impact any of Mosaic Brands, which include Noni B, Millers, Rockmans, Katies, Rivers, Autograph, W. Lane, and Crossroads.
Earlier this year Evans said the business will shut 500 stores in the next two years, with Mosaic instead making its e-commerce offering the main event.
“Our online sales for the first quarter are up 31 per cent on the previous corresponding period, with the amount of SKUs or items available on our website growing from 150,000 to 250,000 in just eight weeks,” Evans said.
“This crisis has forced us to re-examine our business and accelerate our core strategies. We are focussed on digital, getting our store mix right, and delivering an improved integrated customer experience across our loyalty brands to ensure we come out of this stronger.”
Mosaic chairman Richard Facioni said, subject to the all-important Christmas trading period, the business would return to profitability in FY21 after it’s $212 million loss in FY20.