Value fashion chain New Look is looking to widen its offer by selling third-party young fashion brands on its website.
New Look is poised to approach brands ahead of a pre-Christmas online launch. Its potential pitch is expected to centre on its high street muscle in the young fashion sector, and how that could successfully translate online.
The retailer is understood to want to target brands such as womenswear labels Motel, Lipsy and Vila, and men’s brands G-Star, Gio-Goi and Levi’s.
New Look suffered a 9.1% plunge in like-for-likes in the UK during Christmas, blaming the snow, which it said reduced sales by £15m in the 15 weeks to January 8. Management has previously highlighted that ecommerce is a key growth driver, and invested more than £1m in revamping its website a year ago. This year it will introduce a mobile app and a click-and-collect service.
New Look is planning to sell the brands on the main site alongside own-label product. The retailer already sells a handful of third-party womenswear brands such as AX Paris and Apricot in store and online via a concession agreement with Hallett Retail. The new branded offer differs in that New Look would be buying the stock itself, rather than via a concession partner.
Some premium brands could be sceptical about selling through the value retailer, but may sign up if they need to hit sales targets.
The move mirrors similar initiatives by Next, which has a branded online offer, and Tesco, which has also started to sell third-party brands online. New Look would also be going up against etail fashion giant Asos.
In November New Look leapfrogged Asos to become the UK’s second most visited clothing website in the country behind Next, according to online intelligence service Experian Hitwise. However, in December Asos reclaimed the number two spot.
New Look declined to comment.