The Düsseldorf fashion retailer Peek & Cloppenburg has completed the renovation. What will happen next with the branches and what will change for customers.
This article first appeared on RTL.de
After the renovation, the Düsseldorf fashion retailer Peek & Cloppenburg (P&C) wants to reduce the space at some of its 69 locations nationwide.
Although the branches are profitable, there is a need for action in the medium term, said company boss Thomas Freude to the Rheinische Post. “In some fashion stores we will reduce the space.” There will be mixed-use concepts with hotels or offices in the same building. This also promotes footfall.
The branches should generate more sales and generate more profits in the future. “We will avoid the discount battles,” says the P&C boss. A fashion retailer can only exist if the goods are not resold excessively at reduced prices. “In the future, we will only offer discounts on specific items at the end of a season to clear out inventory.” The manager explains that there will no longer be discounts across the entire range, including on new goods.
Online shopping should become profitable at Peek & Cloppenburg
P&C restructured itself last year in self-administration insolvency proceedings. The company was in trouble because of the pandemic, the effects of the war in Ukraine and online business.
According to P&C boss Freude, this area, like many other companies, remains unprofitable. “We relied too much on online shopping and invested in new customers – but that carries the risk of accumulating high losses.” Now we are on the way to reaching a “black zero” and becoming profitable in the long term. According to Freude, the share of digital business in total P&C sales is 10 percent and should be 10 to 15 percent in the future.
The company from Düsseldorf should not be confused with Peek & Cloppenburg Hamburg, which is a different company.
Source: Stern
