Jaeger clothing chain collapses into administration

type at Jaeger fashion showImage copyright
AFP

The fashion chain Jaeger has gone into administration, putting 700 jobs at risk within the UK.

The British retailer’s directors appointed administrators after failing to find a suitable buyer for the struggling clothes business.

Jaeger has 46 stores, 63 concessions, a head office in London in addition to a logistics centre in King’s Lynn.

The firm has suffered through intense competition on the High Street in addition to falling sales.

Jaeger, which was founded in 1884, has counted actresses, royalty in addition to Arctic explorers among its fans.

However, in which has struggled to keep up with rivals such as Burberry or see off competition through fast-fashion chains including Zara in addition to H&M.

Image copyright
Getty Images

Image caption

The Duchess of Cambridge has worn Jaeger clothing

in which was acquired by private equity firm Better Capital in 2012, although was put up for sale for about £30m after struggling to boost sales.

  • Retailers ‘left behind’ as shoppers change habits

Peter Saville, the joint administrator, said: “Regrettably despite an extensive sales process in which has not been possible to identify a purchaser for the business.

“Our focus currently will be in identifying an appropriate route forward in addition to [to] work with all stakeholders to do in which.”

Reports had suggested in which the clothing retailer Edinburgh Woollen Mill was interested within the business.

The Scottish firm, which owns Jane Norman in addition to Peacocks, bought some parts of the menswear retailer Austin Reed when in which closed last year.

Heavy discounting

Jaeger’s problems are partly because in which has “struggled for years to truly understand its core clientele”, according to analysts at retail consultancy Kantar Worldpanel.

Glen Tooke at Kantar said the firm also relied too heavily on special offers, estimating in which discounts accounted for over three quarters of Jaeger’s sales.

“in which constant stream of sales in addition to offers has discouraged shoppers through paying full cost in addition to has lessened their trust within the quality of the Jaeger product – one of its fundamental selling points,” he said.

Last year the firm said its annual sales fell 4% to £78m, while in which reported a pre-tax loss of £17m.

Jaeger commenced by selling woollen long johns in addition to its clothes were worn by the explorer Ernest Shackleton on an Antarctic expedition.

within the 1950s in addition to 1960s its celebrity fans included the actress Marilyn Monroe in addition to the type Twiggy, before more recently being worn by the Duchess of Cambridge.

Source link

Leave a Reply