Case Study

Fashion Company pivots from losses to profits

Rocketing losses jeopardised a high-street fashion retailers growth strategy. Our experts helped FashionCorp* create and deliver an aggressive turnaround plan.

Situation

FashionCorp*, a clothing and accessory retailer know for its design-led fashion, planned to accelerate growth through expansion. With this expansion accelerating losses, FashionCorp* realised that it needed to strengthen inventory management, reduce costs, and reposition the brand to achieve its ambitious growth strategy.

Approach

Working with FashionCorp*’s CEO, our experts developed a phased turnaround plan designed to deliver short-term profit gains and longer-term strategies for sustained growth. The focus was placed on developing high-turnover, high-profit lines. this was a shift away from the lower-turnover, higher-priced lines. Our experts helped achieve over $10M/£8M in profit improvements, FashionCorp* launched the phased plan to boost overhead savings, reposition the brand,eliminate slow-moving, less profitable products and introduce a younger, fast-fashion, stylish range.

Result

The turnaround plan devised and implemented by our experts arrested the losses and the business was returned to profitability in 9 months. The plan left FashionCorp* well set up for longer term growth.