Retail clothing chain Country Road will launch a new brand to focus on its customers over 40 years old, with chief executive Ian Moir claiming the company will take market share from rivals as the economy enters recession.
Moir claims the new “Trenery” chain of stores will focus specifically on simple fashion for over 40-year-olds, and is in part a response to customer feedback. Country Road stores took part in a five-year rebranding process to focus on younger customers, and Moir says a separate chain will help the company cover its bases.
“We believe this market is highly under-serviced and presents a significant opportunity for us,” Moir says.
“We get hundreds of letters a year from long-standing, loyal, Country Road shoppers who are looking for a brand with the same focus of style, quality and value but designed to meet their specific fashion needs.”
The group also says opening a separate brand will allow the company to expand at a faster rate.
“Country Road is experiencing strong sales and profit growth. We attract thousands of new customers every month and we are now laying the foundations for a growth phase of the business. Trenery is a key part of our plans for future success.”
The first 16 Trenery stores will open in South Africa in August, as part of an agreement with Woolworths South Africa. Australian stores will begin opening in September with more to follow in 2010, dependent on customer feedback.
The announcement comes weeks after the group recorded 70% to 80% growth in first-half profit from $8 million to between $13.6 million and $14.4 million, along with an 18.2% increase in total retail sales.
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Patrick Stafford is a freelance journalist and a former deputy editor of SmartCompany.
