La Senza quits Russia say reports
La Senza is believed to be quitting the Russian market with local press reports saying all stores under the L Brands-owned label are being closed, the last due to shut at the end of this month.
Business magazine Vedomosti said the lingerie retailer’s presence in Russia has been via a franchise deal with Alshaya Group’s Moneks Trading unit, which also represents L Brands’ star Victoria’s Secret label as well at Mothercare, MAC and the Body Shop.
Neither L Brands nor Moneks have commented on the report nor on the reason for the closures.
The first Russian La Senza store opened in 2008 and the company later opened a further five locations there.
However, analysts said competition at La Senza’s price level is tight with Etam particularly strong in the market.
The closures come after L Brands said this spring that it would restructure it business and focus on its core categories, creating three units within its Victoria's Secret business - Victoria's Secret Lingerie, Pink and Victoria's Secret Beauty. It also exited certain non-core merchandise categories.
Victoria's Secret is the company’s biggest business and made up around 63% of its revenue last year.
Copyright © 2023 FashionNetwork.com All rights reserved.