Topshop Australia closes five stores
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Topshop Australia has bid adieu to five of its stores in the past two weeks as administrators start to tie up lose ends, in a bid to save the UK fast-fashion retailer in Australia.
Topshop stores at Chatswood and Miranda shopping centres in Sydney, Highpoint in Melbourne, and Perth have all closed in recent days. And another store closure is due to happen, this time in South Yarra, on Melbourne’s iconic Chapel Street.
The Chapel Street store was Topshop’s debut Australia store, but since opening, the flagship has failed to garner traction with locals, due to fierce competition from other shopping strips, the CBD and online.
Topshop Australia has also ceased its Australian e-commerce store.
The closures are result of the Australian franchise of Topshop being entered into administration on May 25 With debts totalling A$35 million, Topshop Australia was forced to appointed Ferrier Hodgson as administrators, in a bid to rescue the business.
Experts have blamed the retailer’s illogical supply chain, poor quality product, and delayed entry into the local e-commerce market, for its Australian demise.
Talks to try to save the business continue between its Australian owners and the UK owners of the business, including Sir Philip Green.
With the recent store shutters, Topshop Australia has four stores remaining.
Topshop was launched in Australia by a company trading as Austradia in 2011.
Questions & Answers
Q.Which specific Topshop Australia stores have closed recently?
Which specific Topshop Australia stores have closed recently?
Stores in Chatswood and Miranda in Sydney, Highpoint in Melbourne, and Perth have closed. The store in South Yarra, Melbourne is also due to close. These closures leave Topshop Australia with four remaining stores.
Q.What is the total debt figure that led to Topshop Australia entering administration?
What is the total debt figure that led to Topshop Australia entering administration?
Topshop Australia entered administration with debts totalling A$35 million. This financial situation forced the appointment of Ferrier Hodgson as administrators to try and rescue the business from its difficulties.
Q.What reasons have experts given for Topshop Australia's struggles?
What reasons have experts given for Topshop Australia's struggles?
Experts have pointed to several factors, including an illogical supply chain, poor quality product, and a delayed entry into the local e-commerce market. These issues are seen as contributing to the retailer's Australian demise.
Q.When did Topshop first launch in Australia and who brought it to the market?
When did Topshop first launch in Australia and who brought it to the market?
Topshop first launched in Australia in 2011. It was brought to the market by a company trading as Austradia, which was the Australian franchise holder for the brand.
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