Young-fashion retailer Super-group is taking advantage of the recession-proof younger fashion market to race ahead with its expansion plans.
The group, which runs Cult Clothing stores as well as brands including Superdry, is hoping the increasing popularity of its Superdry offer will spur on extensive growth in the next few years.
Supergroup chief executive Julian Dunkerton said he wants to expand the combined Superdry and Cult Clothing portfolio to 100 stores in the UK and 100 overseas in the next three years, mainly via franchise partners. Superdry signed for a flagship at Bluewater last week.
“The last recession created opportunities but this is just amazing because we are one sector bucking the trend,” he said.
He added that young fashion will continue to be a more secure sector to retail in. “Young people will always spend money on clothes,” he said. “They want to get laid. They also can’t think about getting a mortgage.”
Supergroup has nine Superdry stores in the UK, 15 internationally and 16 Cult Clothing UK stores, which sell a mix of the group’s brands. It also has 52 Superdry concessions with department store group House of Fraser.
Five years ago, with more of a focus on wholesale and brands, the company recorded turnover of £20m. The group expects to reach a turnover of between £120m and £140m in its next financial year, starting May 1.
“People were sceptical six months ago,” said Dunkerton. “But we have been around 27 per cent ahead like-for-like for the last six months and are ahead this year on what we predicted.”
He added: “Cult Clothing has been an urban breeding ground for our brands.”
The group’s younger, more sportswear-led brand 77 Breed will open for the first time as a standalone concept in London’s Covent Garden in a few weeks. It will launch a transactional website this summer.
Superdry will also debut in Venezuela and Taiwan and open two US stores between now and 2010 – one in LA and another in New York.