Oct 21 (Reuters) - Hole Inc GPS.N is contemplating closing shops in some European international loc
Oct 21 (Reuters) – Hole Inc GPS.N is contemplating closing shops in some European international locations, because the attire retailer appears to save lots of money whereas coping with a gross sales droop introduced on by the COVID-19 pandemic and competitors from fast-fashion firms.
The San Francisco-based firm, which had 129 Hole model shops in Europe on the finish of July, stated late on Tuesday choices being explored embrace the potential closure of retailers in the UK, France, Eire and Italy by mid-2021.
The transfer comes as Hole struggles with out-of-fashion kinds, which has pushed consumers in the direction of attire manufacturers like Zara and H&M. The coronavirus disaster has compounded troubles by stifling gross sales at brick-and-mortar gross sales throughout the globe.
Nevertheless, on-line gross sales of Hole Inc’s Outdated Navy and Athleta manufacturers have surged for the reason that begin of the pandemic.
The corporate additionally stated it was reviewing its warehouse and distribution mannequin and its Hole and Banana Republic-owned e-commerce operations in Europe. (https://bit.ly/2FN0R6d)
Elements of Hole’s European enterprise could possibly be transferred to 3rd events in a partnership mannequin, the corporate stated.
Earlier this yr, Hole stated it deliberate to shut over 225 unprofitable Hole and Banana Republic shops globally as part of a restructuring plan.
(Reporting by Uday Sampath in Bengaluru; Modifying by Ramakrishnan M.)
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