The online retailer N Brown (LON: BWNG) has announced the closure of its 20 high street stores, axing 270 jobs.
Stores trading under the names Jacamo, Simply Be and High & Mighty will shift solely to online trading due to the difficult high street conditions.
“This was a challenging period for fashion retail. In line with our online strategy, and given continued weak high street footfall, we have today commenced a consultation process with colleagues over the future of our small-store estate,” said Angela Spindler, the chief executive.
“This action has not been taken lightly,” she added.
Last year, the combined stores generated £15 million of sales – just two percent of revenue.
N Brown said that in the 13 weeks to 2 June group, revenues increased by 0.4 percent.
N Brown said shopper numbers had been “very disappointing” and expect the closure of the stores will cost a one-enough cost of £18 million to £22 million that will cover redundancy payments and other costs.
N Brown has been retailing since 1850 and has a focus on “speciality fit” clothing. JD Williams, its biggest brand, is aimed for over-45-year-olds.
“JD Williams is well placed to benefit from clothing spend shifting online as mid-market retailers such as Marks & Spencer and Debenhams close stores and consumers look to digital channels for choice and convenience,” said Sofie Willmott, a senior retail analyst at GobalData.
The group expects the consultation to end by October this year.
N Brown is the latest high street retailer to announce store closures amid a troubling environment.
Toys R Us, Maplin, Warren Evans and Jamie Oliver’s Barbecoa restaurants have all fallen into administration this past year.
House of Fraser, Mothercare (LON: MTC) and Carpetright (LON: CPR), have all applied for company voluntary arrangements (CVAs) to close a number of stores, reduced rent and layoff members of staff.