Cotton On’s Factorie to step out from two markets
In this article (5)
Cotton On Group has confirmed it is withdrawing its fashion brand Factorie from Malaysia and Singapore.
A spokesperson says the move impacts eight outlets, four in each country, but the company will seek to improve its store footprint across the markets. “We value the incredible contribution our team members have made to Factorie …they remain our number-one priority and we’re working closely with them to identify opportunities for their redeployment within the business.”
The spokesperson would not comment on the reason behind the closure. While the stores are scheduled to shutter by the end of next month, Factorie products will still be available online on Zalora.
Factorie entered the Asia Pacific market in 2013. Its latest move follows fashion brands such as Celio and New Look leaving the Singapore market.
Meanwhile, the retail industry in Malaysia saw sales dip 1.1 per cent in the third quarter last year. According to a Retail Group Malaysia report, this was because of a drop in purchasing power among Malaysians.
Questions & Answers
Q.How many Factorie stores are closing in total due to this withdrawal?
How many Factorie stores are closing in total due to this withdrawal?
The withdrawal impacts eight Factorie outlets. Four stores are located in Malaysia and four others are situated in Singapore, resulting in an equal number of closures in each country.
Q.Will customers still be able to buy Factorie products after the physical stores close?
Will customers still be able to buy Factorie products after the physical stores close?
Yes, Factorie products will continue to be available to customers. They can be purchased online through Zalora, even after the physical stores in both Malaysia and Singapore have shuttered.
Q.What is the company's plan for the employees affected by the store closures?
What is the company's plan for the employees affected by the store closures?
The company states that its team members are a priority. It is working closely with them to identify opportunities for redeployment within the broader Cotton On Group business, valuing their contribution to Factorie.
Q.When did Factorie first enter the Asia Pacific market?
When did Factorie first enter the Asia Pacific market?
Factorie initially entered the Asia Pacific market in 2013. The current decision to withdraw from Malaysia and Singapore comes a number of years after its initial expansion into the region.
Reader pulse
Is this a smart move for Factorie?
22,922 votes so far