Sosandar, the upmarket women’s fashion chain, has struck a capital-expenditure-free licensing deal with retail heavyweight Next to launch a homeware collection.
Under this no-capex agreement, Sosandar will expand its existing clothing partnership with Next, as reported by City AM.
Co-CEOs of Sosandar, Ali Hall and Julie Lavington, expressed their excitement about the venture, proclaiming it as a “proud moment” for the brand, highlighting it as a “testament to the strength of what we have built”.
The exclusive product line will be available solely on Next’s online platform, with Next handling the sourcing and Sosandar providing the creative direction.
Following a strong performance in its third quarter, Next has revised its profit outlook for the year upwards, anticipating in excess of £1bn.
The big Next department-style store at Fosse Park, just outside LeicesterPost-pandemic transformations have seen Next’s physical stores contract by 20%, but the retailer has outpaced rivals in transitioning from in-store shopping to a robust online presence.
“This is a fantastic opportunity to leverage our brand equity and extend the success Sosandar has had through third party partnerships with little risk and no capital expenditure,” stated Hall and Lavington.
They further elaborated, “We will combine Next’s specialist technical and sourcing skills with our design aesthetic and understanding of Sosandar customers to deliver an exciting and unique product range. Importantly, the homeware range will broaden our reach into new audiences and enable existing customers to deepen their affinity to our brand,” the co-CEOs concluded.
The company, headquartered in Wilmslow and selling womenswear online since its inception in 2016, has revealed plans for three physical retail outlets in the UK by 2024.
Earlier this year, the firm reported a nine per cent increase in revenue to £46.3m for the year ending March 30, 2024, a rise from £42.5m the previous year.
Additionally, the company enhanced its gross margin to 57.6 per cent over the 12 months, up from 56.2 per cent in the preceding financial year.
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