Glue Store closes after posting $8.4m loss as economic pain hits retailers
- Australian fashion retailer Glue Store has announced it will permanently close after reporting financial losses, marking the end of its long-running presence in the local retail market.
- The company has struggled with declining sales, rising costs, and challenging retail conditions, including shifts toward online shopping and reduced discretionary spending.
- Store closures will impact employees and shopping centres nationwide, highlighting ongoing pressure in the apparel retail sector.
Australian fashion retailer Glue Store has announced its permanent closure.
Earlier this year the company posted an $8.4 million loss.
“After many years of bringing you the styles you love, Glue Store has permanently closed — both in store and online,” Glue said in a statement.
“We are so grateful for your loyalty and support over the years.”
Glue’s closure follows Barbeques Galore’s announcement that it will shut down, and Lincraft’s move to shut all its physical stores.
It will shut its 62 company-owned stores in the coming weeks and work through “transitional arrangements” with 27 franchise stores. Hundreds of staff are facing redundancy.
Glue Store is considered a high-end fashion retailer. Accent Group entered an agreement to acquire the Glue Store and the Next Athleisure’s wholesale and distribution business for $13 million in 2021. In February this year, Accent announced the Glue business would be wound down.
The store is no longer taking orders and is directing shoppers to its wider Accent Group brand sites. It is not clear how many workers have lost their jobs.
Sector under stress as economy slows. There is mounting evidence the economy is slowing, affecting how much shoppers spend on discretionary items.
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Original article and photo by "ABC News"
