Fashion chaos in Vienna: Jones closes 30 branches until June!

Fashion chaos in Vienna: Jones closes 30 branches until June!

Wien-Landstraße, Österreich - The Viennese fashion retailer Jones has announced today to close all 30 branches by the end of June and thus initiate a drastic withdrawal from more than 100 specialist trading locations in Austria. This decision affects 110 employees, of whom 80 alternative jobs have already found. The company headquarters in Vienna-Landstraße and the web shop will hire the business activities by summer. This development follows the difficult situation in the textile industry, which is increasingly under consolidation pressure.

In a sale that begins in April, the remaining collections are sold. Gabor Rose, the company boss, said that despite various austerity measures, no sustainable solution could be found. According to Rose, a increase in sales of 10 to 15 percent is necessary annually to cover the running costs. In a further step, ten franchise agreements are also dissolved, which also accelerates the closure.

further developments

The closings not only have an impact on the employees, but also on the retail landscape. Jones's business premises are taken over by three other fashion brands, with only four locations remaining vacant. Among the new tenants are more & more, Liberty Fashion and the Salzburg fashion label sample room. The search for new operators for the prestigious location at the Graben in Vienna is already underway.

These events are in the context of a wide range of space in retail. Industry experts forecast a general reduction in area by 50 to 70 percent, especially for department stores and multi -storey trading formats. Despite the upswing in online trading, inpatient purchasing remains important for many consumers, which reinforces the need for conceptual urban development and the cooperation of all local actors.

The challenges with which the industry is confronted are reflected in the most recent example of competitor Palmer, who also announced the closure of 36 sales outlets, and 117 employees are affected here. At the same time, the financing of Jones's operational business is temporarily secured, which could at least have a stabilizing effect in the transition phase.

Developments in the fashion trade are another indication of the changes that take place in the entire industry. Experts emphasize the need to promote vital and attractive inner cities in order to ensure an optimal shopping experience. Finally, in the future, stationary trade will also play an important role in the future if it is properly designed and adapted to meet the needs of consumers.

For more information on this topic, read the reports of Kosmo here and from KPMG here .