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Elie Saab is heading in a new creative direction with its accessories. The storied couture house has appointed designer Marina Raphael as artistic and design director of handbags, hiring her to help build on the identity of the brand's bags. This is the first time that the house has appointed separate creative direction for this category, suggesting that the brand is betting big on its expansion.

Raphael comes from her very own, very successful accessories label, which she launched in 2018. In her quest to push the boundaries of handbag design and break the mould of what a staple accessory is, she has managed to build a brand that has become known for its glitz and glamour, catching the attention of everyone from Jennifer Lopez to Katie Holmes. The brand – which she will continue to head up – sells statement, structural bags, some of which are completely covered with eye-catching crystals (Raphael does descend from the Swarovski family after all), but she always meets glitz with practicality. This, clearly, is what has appealed to the Elie Saab team.

"We are excited to pursue the handbag category with Marina, whose impressive track record and proven ability to translate the brand's vision will enhance our potential for success," said Elie Saab Jr, CEO of the Elie Saab group. "Her past achievements and dedication to excellence assure us that she is the perfect partner for this endeavour. Marina has consistently demonstrated her capability to innovate and drive results, aligning seamlessly with our brand's goals and values."

"I am deeply honoured to join the Elie Saab brand as the artistic and design director of Handbags," she said. "Working with Mr. Elie Saab, who has played an integral part of cultivating my passion for exceptional quality and craftsmanship, is a truly humbling experience. He has been a revolutionary in the world of couture and fashion, and his unparalleled creativity and attention to detail have always left me in awe."

At last night’s LACMA Art+Film Gala honoring the artist Simone Leigh and the filmmaker Baz Luhrmann the red carpet was also a runway, only this red carpet was actually pistachio green. Since last year when he took over as Gucci’s creative director, Sabato De Sarno has used the annual Los Angeles event as a launch pad for his Gucci Notte evening wear, a special collection of elevated dresses and suits, examples of which could very well walk down future red carpets, considering awards season is nearly upon us. It was apropos, then, that De Sarno was thinking about old Hollywood glamour when he was designing.

On Friday afternoon, he called in from fittings with Vittoria Ceretti, Mona Tougaard, and Angelina Kendall, among other Gucci regulars. “When I think of old Hollywood, there are some names that remind me of this spirit, like Rita Hayworth in Gilda, her sensuality is always in my mind. Or, of course, the incredible costumes of Joan Crawford. And there’s another actress I really love: Lauren Bacall. I’m very fascinated with these women,” he said.

The Gucci Notte womenswear includes crepe de chine dresses draped from bamboo, not unlike those in his spring 2025 show, others with the pavé swirls of beading, as seen on that collection’s standout coat, and more with scarves trailing feathers at the end. De Sarno reported that Vittoria and co.—“they feel like stars in this, this is what they tell me.” Then he repeated a line he’s offered many times since taking the reins at the Kering-owned brand. “I love to see people wear Gucci, and not Gucci wear them.” Maybe, he continued, “I’m going to wear sneakers tomorrow. Because sneakers are something that I love, and I want to feel like myself.” In the end, De Sarno, who was joined by his husband Daniele Calisti, chose black dress shoes for his white tux and tie-less black shirt, but he was in sneakers in spirit.

The Australian sharemarket climbed on Tuesday buoyed by gains in the consumer sector after department store chain Myer agreed to buy Premier Investments’ apparel brands business.

The benchmark S&P/ASX 200 Index added 0.3 per cent, or 27.7 points to 8249.2 at the closing bell, with seven out of the 11 sectors finishing higher.
Consumer discretionary and mining stocks were among the best performers.

The local bourse tracked gains by the major US benchmarks ahead of a slew of US earnings this week, including the bulk of the magnificent seven group of tech giants that have helped drive the sharemarket to all-time highs this year.

On the ASX, Myer has agreed to acquire Premier Investments’ apparel brands business in Australia and New Zealand. The Australian Financial Review’s Street Talk column first reported that the decision to ink the merger was made at a board meeting on Monday.

The news sent Premier Investments’ shares surging 9.9per cent to $33.94, making it the best-performing stock on the ASX 200. Myer’s shares dropped 1.6 per cent to 95¢ after initially rallying 7 per cent earlier in the session.

Mining companies also edged higher, led by a 7.2 per cent rally in Mineral Resources, helping trim the battered mining company’s sell-off this month to 29 per cent amid an alleged tax dodge by billionaire founder Chris Ellison. Its shares closed at $37 apiece.

Gold miners were also well bid as investors continue to pile into the precious metal ahead of next week’s US election. Northern Star Resources added 3.5 per cent to $17.89 and Westgold Resources gained 3.2 per cent to $3.23.

Stocks on the move

All the major banks recorded gains ahead of key quarterly inflation data on Wednesday that may help determine the path of interest rates in Australia. They also scheduled to report quarterly results next week.

Commonwealth Bank added 0.9 per cent to $144.17, National Australia Bank firmed 0.6 per cent to $38.91, Westpac 0.3 per cent to $32.24 and ANZ 0.4 per cent to $31.56.

“The big banks led the index higher today, rallying ahead of the start of their quarterly reports next week, with Westpac the first cab off the rank on Monday,” IG analyst Tony Sycamore wrote in a note to clients.

In other corporate news, BlueScope slid 0.5 per cent to $21.08 after falling as much as 4 per cent after the steel producer slashed its profit expectations for the first half, citing cost inflation.

And online luxury retailer Cettire’s shares slumped 17.3 per cent to $1.77 following a disappointing trading update. The company booked its adjusted earnings before interest, tax and amortisation at $2 million.

Zip jumped 11.8 per cent to $3.12 after the buy now, pay later company reported group cash earnings of $31.7 million for the first quarter, citing a “particularly strong performance” in the US business.

Few Australians had heard of Shant Kradjian before he swooped in to rescue online bookseller Booktopia from administration last month.

The entrepreneur, who established his ecommerce business DigiDirect, specialising in camera equipment, two years after Booktopia was founded, has seldom courted media attention.

“The Booktopia brand touched a lot more people than [the] DigiDirect brand, so I thought it’s probably worth me getting a little bit more in front of people,” he told this masthead.

“I don’t particularly want to be in the limelight too much, but at least people have to understand that there’s someone behind it [Booktopia] to invest and drive the business.”

Since signing the paperwork to acquire the embattled bookseller for an undisclosed sum, Kradjian has hastened to get it trading again, and to rekindle relationships with authors and members of the publishing industry, many of whom were left out of pocket by the collapse.

It has pulled some of his attention away from DigiDirect, which turned over $235 million in fiscal 2024.

Kradjian set up the online camera business when he was about 19, while working at a camera store in Sydney’s CBD in the early 2000s, spotting an opportunity in online sales at a time when few retailers had woken up to the internet.

DigiDirect is now one of the biggest specialist camera retailers in the country, with seven stores and 150 staff. It recently diversified into other tech equipment, including monitors and audio products.

“It wasn’t so much about cameras; it was the business,” he said. “I took that on and kept DigiDirect as an online-only business. Very quickly, the online-only business was doing better than the store.”

But Kradjian’s foray into entrepreneurship began well before that, when he set up a car wash at a petrol station-based mechanic that didn’t trade at the weekends.

“I would have probably been 14 years old,” he said. “Back then there weren’t as many car washes.”

Lesser-known is the fact Kradjian has also amassed an expansive portfolio of investments in other businesses that range from equities and residential and commercial property to pharmacies to rooftop bars.

“We’ve got property from asset management, construction, investments, development,” he said. “We’ve got interest in health, which are investments in pharmacies and medical centres ... investments in hospitality venues across Sydney, Brisbane, and another business does equities.”

Booktopia has been one way for him to expand this portfolio: the fundamentals of selling things online remain predominantly the same, whether it’s cameras or books. Booktopia also provides exposure to a different category, and higher margins, while allowing both businesses to retain their sizeable market share.

The entrepreneur’s approach to operating Booktopia appears to be very similar to how he has managed DigiDirect: run a lean, tight ship with a steady hand, keep suppliers and authors happy, invest in the community. Not being a publicly listed company will also mean less scrutiny.

Kradjian also doesn’t like to waste time. About a week after getting the keys, he has moved DigiDirect’s head office, based in Sydney’s St Peters, to Booktopia’s warehouse in South Strathfield. The acquisition has also generated some movement among staff who have expressed interest in jumping over to the other business.

The warehouse is also where Kradjian is investing in creating a dedicated book-signing area and setting up a new podcast studio (powered by DigiDirect equipment).

Meanwhile, a new full-time role has been created and filled to manage author relationships.

Out with the old, in with the new

None of Booktopia’s previous management team, what was left of them, have been retained by the new entity (“Everyone was the chief,” Kradjian said of the top-heavy structure). He has purchased the business without needing to pay any of the former entity’s high-interest debts or take on the expensive second office in Rhodes.

One of the biggest proverbial straws to arguably break Booktopia’s back – an ill-timed expensive $12 million investment in the robotics warehouse just before a cost-of-living crunch – is one of Kradjian’s greatest assets as he plots to use the facility, with plenty of spare capacity, for DigiDirect’s operations.

“I always wanted the whole business, but it needed to be cleaned,” he said. “The fat was the extra leases, the debts, the headcount. It was doing similar turnover to my business with twice as many staff.

“If we ran it the same way we ran Digi – tighter, leaner, with the revenues and margins that Booktopia has – it could actually do very well, profitability-wise.”

Not sated by his recent acquisition, Kradjian is already looking further afield for opportunities to add to his quietly growing empire. DigiDirect and Booktopia could benefit from expanded services, for instance.

“There are a couple [of businesses] we’re still talking to … in the e-commerce space,” he said. “If we can bolt on a few of these couple-hundred-million dollar businesses, I think we can build a stable of companies.”

Receivers and voluntary administrators have been appointed to manage Mosaic Brands after the failure of recent internal attempts to restructure the company due to operational difficulties.

The listed fashion retailer has appointed KPMG’s David Hardy, Gayle Dickerson, Ryan Eagle and Amanda Coneyworth as receivers and managers and Vaughan Strawbridge, Kathryn Evans, Kate Warwick and David McGrath of FTI Consulting as joint and several administrators.

Mosaic Brands said it arrived with the decision after failing to receive the support of a “small number of parties” for its proposed restructuring.

It also failed to negotiate a commercial outcome with the stakeholders and did not reach a commercially acceptable resolution for the Australian Competition and Consumer Commission (ACCC).

“The board wishes to reiterate its belief to those who supported the restructure, to Mosaic’s customers and, most importantly, to Mosaic’s dedicated team across Australia, that the business has a long-term future,” said the group.

“With the group continuing to trade, management intends to progress its brand rationalisation and wider restructuring plan and to focus on the key Christmas and holiday trading period.”

The receivers will oversee Mosaic’s trading operations, while the administrators will seek offers to recapitalise or acquire the Mosaic Brands Group. 

Mosaic Brands CEO Erica Berchtold said the move is necessary to accelerate its plans to focus on the core brands, namely Katies, Millers, Noni B and Rivers.

“Mosaic Brands continues to be an exciting opportunity to reshape a business with a clearly defined market proposition for its target customers and employees that we can be proud of,” said Berchtold.

“Our priority is to accelerate the rationalisation plans we have in place to focus on the core brands to service current and attract new customers across metropolitan and, importantly, regional Australia.”

Last month, the fashion retailer said it would wind down five of its brands to focus on its other five businesses as it struggles to remain afloat due to operational issues.

These brands are Rockmans, Autograph, Crossroads, W Lane and BeMe. Their closure is part of what Berchtold called a ‘Focus on Core’ plan.

KPMG Australia turnaround and restructuring partner David Hardy said the group’s portfolio of fashion labels sold clothing and products much loved by generations of Australians.

“We will be seeking to stabilise the operations of Mosaic to preserve the underlying value of the business while endeavouring to serve its customers, with support from its employees and suppliers to minimise business interruption.” 

Zara’s parent, Inditex, booked higher net income and sales across all of its brands during the fiscal first half year.

The fashion group’s net income surged 10.1 per cent to €5.0 billion (A$8.24 billion) as net sales rose 7.2 per cent to €18.1 billion, thanks to the spring and summer collections being well received by customers.

Zara’s net sales increased 5.4 per cent to €13.0 billion while Pull&Bear climbed 7.9 per cent to €1.1 billion.

Massimo Dutti jumped 7.4 per cent to €904 million while Bershka soared 16.7 per cent to €1.4 billion.

Stradivarius surged 16.7 per cent to €1.3 billion and Oysho stood at €368 million, up 6.4 per cent.

The company ended the first half with 5667 stores, with openings carried out in 34 markets.

The future of Mosaic Brands, one of the biggest ASX-listed clothing retailers, is in doubt after lenders appointed KPMG as receivers and FTI Consulting as administrators, as first reported by this column on Monday morning.

Mosaic’s brands include Katies, Millers, Noni B and Rivers. Last month, it announced plans to wind down some of its other well-known labels including Rockmans, Autograph and Crossroads, closing 200 stores and attempting to resolve long-term financial issues.

As Street Talk had reported on August 6, Mosaic was in so-called safe harbour as its directors sought to trade through a difficult period for the business. Safe harbour laws give directors protection from liability for debts incurred by an insolvent company, provided they are taking actions that could restructure the group and lead to a better outcome for creditors.

The company’s shares last traded at 4¢, giving the company a market capitalisation of just $6.3 million. They had traded at over $2 before the COVID-19 pandemic, and a raft of issues that left lenders worried.

The voluntary administration follows a tumultuous period for Mosaic Brands, which experienced severe disruptions as it migrated to a fully integrated logistical supply chain and distribution system. Mosaic uses about 100 suppliers for its various brands, but two large Chinese suppliers have alleged that they had not been paid for products already delivered.

After Street Talk reported the appointment, KPMG’s restructuring partner David Hardy said Mosaic had a portfolio of iconic labels. “We will be seeking to stabilise the operations of Mosaic to preserve the underlying value of the business while endeavouring to serve its customers, with support from its employees and suppliers to minimise business interruption,” he said.

Mosaic’s major shareholders include chairman Richard Facioni; investment firm Alceon, which holds a 19.4 per cent stake and has representatives on the board; and retailer Spotlight Group – owner of 19.7 per cent.

After unveiling its renovated Melbourne Central store earlier this month, French beauty giant Sephora is now gearing up to open the doors to its new store in Sydney’s Westfield Miranda shopping centre.

With the reopening of Sephora’s Melbourne Central store came the launch of its first beauty classroom, a space dedicated to hosting masterclasses with its exclusive brands – as well as the launch of Skincredible, its innovative app developed in collaboration with dermatologists to offer personalised skin analysis and product recommendations.

Sephora has invested heavily in creating a seamless, unified, and personalised shopping journey that bridges the gap between online and in-person retail. It strives to stay at the forefront of beauty retail with its fully integrated omnichannel shopping experience.

Inside Retail spoke to Mark O’Keefe, General Manager of Sephora ANZ, to get the behind-the-scenes details of the beauty conglomerate’s store renovations and openings. 

Mark O’Keefe: The renovation of our Melbourne Central store demonstrates Sephora’s commitment to enhancing the customer experience through an innovative shopping environment that merges physical and digital elements. This revitalised space offers customers an immersive beauty experience where they can explore our extensive product range, services and engage with the latest beauty tech elements. This store is the perfect blend of innovation and experience, allowing our customers to fully immerse themselves in the world’s best beauty brands through a highly personalised retail experience.

IR: “Omnichannel” and “experiential retail” are some of the industry’s biggest buzzwords right now – what was Sephora’s approach to integrating these into its Melbourne Central location?

MO: Sephora is dedicated to ensuring we provide our customers with an “omnichannel” experience as we know customers are looking for a seamless, unified and personalised shopping journey. For our Melbourne Central store, we have created an experiential environment so our customers can touch, feel and experience the products on display. To enhance this hands-on discovery process, we’ve introduced Sephora’s first Beauty Classroom, designed as an exclusive space for education masterclasses with beauty brands. Adding to the omniretail experience, we’ve integrated the convenience of click-and-collect services, allowing customers to shop online and pick up their purchases in-store at their convenience. This service bridges the gap between online shopping and in-person retail, offering flexibility and immediacy to the modern consumer.

IR: What are some of the noticeable changes and/or additions to the store layout?

MO: In redesigning the Sephora Melbourne Central store, we have created an environment that is not only contemporary and visually striking but also enhances our service offerings. The redesign prioritises a modern aesthetic that aligns with the innovative nature of our brand, reflecting the latest trends in retail design to make the shopping experience inviting and shoppable. 

A key feature of this transformation is the introduction of a specialised Skin Consultation zone – an inviting area dedicated to skincare services. Here, clients can indulge in hydrafacial treatments, a beneficial skincare regimen tailored to individual needs. Complementing this is Skincredible, our innovative app developed in collaboration with dermatologists. This state-of-the-art technology offers personalised skin analysis, providing customers with expert advice and product recommendations curated specifically for their skin concerns.

IR: Did Sephora’s employees have to undergo additional training to be able to fulfil the store’s new client services?

MO: Our team has undergone comprehensive training. This ensures that every team member is fully equipped to deliver these new service offerings with the expertise and care our clients expect from Sephora. 

The training includes in-depth education on all the cutting-edge tools and technology now available in-store, such as skin analysis devices. Our staff members have been trained not only in operating this equipment but also in interpreting its outputs to provide personalised advice tailored to each customer’s unique beauty needs.

IR: Are you trialling anything new in the Melbourne Central store that you are looking to roll out nationally?

MO: At Sephora, we are always at the forefront of beauty retail innovation, continuously exploring new concepts and services that can enhance the shopping experience for our customers. In our Melbourne Central store, we are trialling The Beauty School which has the potential to be implemented across other stores.

IR: How do store fit-outs in Australia differ from Sephora’s international stores like in the US or EU?

MO: Sephora’s Australian store fit-outs are carefully curated to resonate with the local market while maintaining the brand’s global identity. The Australian stores integrate elements that reflect the unique beauty, culture and lifestyle preferences of the region. While all Sephora stores share a commitment to innovation and customer experience, the nuances in design for the Australian market demonstrate Sephora’s global strategy of localisation – adapting international concepts to suit regional tastes and values for an authentic, customised shopping experience.

IR: How does the average Australian beauty consumer differ from consumers in other markets? Has Sephora had to evolve its store offering for the Australian market?

MO: Sephora has evolved its store offering in Australia by curating product ranges that align with the interests of our customers. With the powerful influence of social media on beauty trends, we’ve introduced the ‘Hot On Social’ fixture – a dynamic, curated showcase of trending products. This feature highlights what’s currently popular but also allows Sephora to respond to the ever-changing landscape of viral products, ensuring our customers have immediate access to the latest must-haves.

Department store Myer has implemented major staffing shifts across some of its executive and senior leadership roles this week, with many roles yet to be filled permanently.

In an internal email to all staff and read by Ragtrader, Myer executive chair Olivia Wirth confirmed the changes, which cover departments such as supply chain management, IT and core product categories including fashion.

In the fashion and beauty department specifically, Wirth confirmed that two new roles have been created: general merchandise manager for beauty, accessories and services, and GMM of women’s apparel. 

Belinda Slifkas will take interim responsibility for the new women’s apparel role in conjunction with her current portfolio GMM of apparel, home, and entertainment. Wirth said Myer will appoint a GMM of beauty, accessories and services soon. 

As a result of these changes, GMM of womenswear, intimates, footwear, accessories and beauty Annabel Talbot will be leaving the business. Wirth thanked Talbot for her contribution.

This comes amid a potential merger between Myer and Premier, with the department store considering taking on Premier Retail's five retail subsidiaries Jay Jays, Just Jeans, Jacqui E, Dotti and Portmans.

Other key shuffles across Myer include the upcoming exit of both the executive GM of supply chain Tony Carr and chief merchandise officer Allan Winstanley.

Carr and Winstanley already announced their departure from Myer in March this year, with both returning to the UK to be closer to their families. They will be leaving this month.

Chief operating officer Tony Sutton, with the support of supply chain leads Mark Earl, Nick Galliano and Alistair McDonald, will oversee the role until Carr’s replacement is appointed.

Wirth added that an executive search is “well progressed” to fill the chief merchandise officer role and in the interim GM of merchandise planning Chris Pitts will act as CMO.

Meanwhile, chief information officer Ben Fitzgerald has exited the business this week with head of IT delivery Michelle Symes and head of application services Loukas Kanellos assuming acting responsibility for the IT function reporting to chief customer officer Geoff Ikin. 

After 36 years with Myer, Tim Clark has decided to retire as executive GM of property, store design and development on March 31 next year. 

“Tim has made an enormous contribution to Myer and at the appropriate time next year, we look forward to recognising his dedication and commitment to the business,” Wirth wrote in the email.

“We are also establishing a new role today of chief transformation officer and I’m pleased to announce that Andrew Taylor has accepted this position. Andrew joins Myer after a long career at Qantas and will play an integral role in driving our strategic goals.”

Wirth also announced flips across digital, supply chain and store operations in the senior leadership team.

“As we continue to increase our focus on capturing more online sales growth, I’m pleased to announce a new role of general manager – digital commerce, which will be filled by Warwick Blunt from November,” Wirth confirmed. “Warwick has worked across large corporate, growth equity and start up digital businesses in the United States including Walmart, Food52 and Cedar Brands.”

“In further bolstering of our Supply Chain team, we recently welcomed Nick Galliano to Myer in the role of general manager supply chain development, replacing Paul Howes.”

Meanwhile, the GM of stores across Victoria and Tasmania Susan Braidwood will depart from the business after 36 years with Myer. Wirth said she has made a huge contribution during her tenure, including leading the redevelopment of the Melbourne City Store.

GM of retail support Travers Finniss will assume responsibility for the portfolio.

“Finally, I recognise this is a detailed note touching on some significant changes to the team. The changes are designed to establish the right structure to build our capability and support our next phase of growth,” Wirth concluded.

“I am confident that we have a great team in place and will continue to attract high-calibre executives for new and unfilled roles in the weeks ahead as we build a stronger business for the future.”

The recent leadership changes follow a challenging year for the department store, with total sales down 2.9 per cent in FY24 compared to the prior financial year.

Myer’s net profit after tax (NPAT) also fell by around $20 million to positive $52.6 million, with approximately half the decline attributable to the underperformance of its Sass & Bide, Marcs and David Lawrence brand subsidiaries.

New Zealand’s Briscoe Group has recorded a total sales lift of 0.77 per cent to a record NZ$372.08 million (~A$344 million) for the first half of 2024, driven by a 1.58 per cent lift in its sporting goods subsidiary Rebel Sport and a 0.28 per cent lift in its homewares business Briscoe Group.

Despite the surge in revenue, the group’s net profit after tax (NPAT) fell 22.31 per cent to $33.2 million, with an underlying trading profit of $40.58 million, which is 95 per cent of last year’s half-year NPAT.

Meanwhile, Briscoe Group’s gross profit margin declined by 76 basis points for the period to 42.97 per cent. 

Group managing director Rod Duke said it is crucial to control costs in the current economic market to protect the bottom line, adding that the group managed to hammer down cost growth for the first half.

“Like all retailers we continue to face margin pressure as the impacts of the ongoing economic downturn are felt,” Duke said. “Optimising gross profit while maximising sales is a constant focus for the team and they have done a terrific job this half in enhancing the promotional events for seasonal products, particularly for sporting goods, to increase sell-through and protect margins. 

“In this environment controlling costs is crucial in protecting the bottom line. For this first half total store and overhead costs will close less than 1 per cent higher than last year, a fantastic achievement in a market strained by increased cost pressures. 

“We were pleased earlier this year to be able to deliver a 6 per cent wage rate increase for our in-store hourly-paid team. The ongoing dedication and effort demonstrated by the entire team is incredible and greatly appreciated.”

The group’s half-year result will be negatively impacted as a result of KMD Brands Limited’s decision to not pay an interim dividend for the year. According to MarketScreener, Briscoe has a 6.75 per cent stake in the Kathmandu brand owner. 

Group-wide online sales as a mix of total group sales nudged up in the first half by less than half a per cent to 18.77 per cent.

“With pressure on sales likely to continue we have focused strongly on inventory levels during the period,” Duke said. “Particular focus has been placed on seasonal inventory levels across both Briscoes Homeware and Rebel Sport. 

“We continue to work closely with our supply partners in relation to optimising the group’s inventory position.” 

Looking ahead, Duke said he and the team remain cautious over the retail environment, confirming that Briscoe will not be able to replicate last year’s full-year NPAT of $84.2 million.

“We are are under no illusions as to how the continuation of the current economic conditions could impact business performance for the remainder of the year,” he said. 

“We are hopeful that the recent announcement of a lower OCR will mark the beginning of improved consumer confidence and improved retail spend.”

Adairs witnessed higher group sales in the first 16 weeks on the back of better performances of its Adairs and Mocka brands.

The group’s sales grew 4.8 per cent as Adairs rose 8.6 per cent and Mocka climbed 0.4 per cent.

However, Focus on Furniture dipped 3.7 per cent as store traffic levels declined, further impacted by the planned temporary closure of two stores for refurbishment.

The group reaffirmed its target of opening six new stores in the fiscal year, but revised the number of new Focus on Furniture stores to be opened from three to two due to development delays.

Meanwhile, the group maintained it has an optimistic outlook for the fiscal year as it continuously work on gross margin management, sales conversion, and cost of doing business discipline.

Super Retail Group‘s sales increased in the first 16 weeks of the fiscal year, with Macpac having the highest growth among all the company’s brands.

The group’s like-for-like sales jumped 2 per cent as Macpac climbed 4 per cent and BCF rose 3 per cent.

Supercheap Auto grew 2 per cent and Rebel had the least growth of 1 per cent.

“Macpac has delivered growth in insulation, rainwear and packs while challenging trading conditions in New Zealand have driven sales compression,” said Anthony Heraghty, MD and CEO of Super Retail Group.

“Team member safety remains a critical focus in an environment that includes increased incidents and severity of retail crime and theft.”

For the fiscal year, the group plans to open 10 Supercheap Auto, four Rebel, five BCF, and six Macpac stores. Nine of the stores have been opened during the fiscal first half.

“The outlook for the consumer remains uncertain, given ongoing cost of living pressure on household budgets,” said Heraghty.

“The group’s customer value proposition, the strength of the four core brands and the size of our customer loyalty club membership base means Super Retail Group remains well positioned to perform in retail market conditions where customers are carefully managing their spending and prioritising value-for-money purchases.”

Discount variety retailer The Reject Shop plans to open more stores this year to support sales growth and increase profitability.

In a trading update, the company said it is targeting to open 15-20 new stores in FY25. The chain currently has 386 stores nationwide, having opened 67 new stores and closed 35 underperforming ones since June 2020.

According to chairman Steven Fisher, the discount variety sector presents a significant opportunity for growth over the medium to long term.

Fisher added that the company’s balance sheet remains strong, with $49.9 million in cash and no drawn debt as of June 30.

The store openings are part of the strategies to improve sales and gross profit margin in FY25, said CEO Clinton Cahn. 

The company is investing in other initiatives across the business, including in supply chain, technology, infrastructure and warehouse management, he added.

The Reject Shop posted record sales of $852.7 million last year, up 4.1 per cent on the prior corresponding period. However, its profit plunged 35.9 per cent to $4.7 million due to rising costs and higher shrinkage.

During the first 15 weeks of FY25, total sales growth, comparable store sales growth and gross profit margin are all up against the prior-year period. 

The company has opened two new stores and closed one during this period and expects to open a further seven in the first half.

Japan’s Fast Retailing, owner of clothing brands Uniqlo and GU, booked its third consecutive year of record earnings on Thursday, boosted by widened profit margins in its international segments.

Operating profit rose 31 per cent to US$3.35 billion in the 12 months through August from $2.55 billion a year earlier, the apparel maker said in a statement.

That compared with the $3.21 billion average of 15 analyst estimates compiled by LSEG, and the company’s own forecast of $3.19 billion.

Fast Retailing said it expects operating profit to climb further to $3.55 billion in fiscal 2025.

Uniqlo, known for its fleece jackets and inexpensive undergarments, has benefited from a historically weak yen both at home and abroad. A tourism boom in Japan has led to a surge in duty free shopping, while revenue from its push into Western markets gets an added boost when translated back into yen.

Fast Retailing’s earnings have been less rosy in China, the company’s biggest overseas market. With more than 900 stores on the mainland, Fast Retailing has long been seen as a bellwether for the retail sector in the world’s second-biggest economy.

Pandemic restrictions dragged on results there for years, but now the challenge is a sluggish economy that has weighed on consumer confidence.

Founder Tadashi Yanai has long aimed to make Fast Retailing the world’s biggest fashion retailer, with Zara owner Inditex and H&M standing in the way. He has said consumers are more focused on value than luxury in a post-pandemic world, a trend that would work in Uniqlo’s favour.

Yanai, Japan’s richest man, is scheduled to speak at the apparel maker’s earnings briefing on Thursday, alongside Uniqlo President Daisuke Tsukagoshi, whom Yanai has spoken of as a possible successor.

Key executives from the fashion and apparel brands that billionaire Solomon Lew is considering selling to Myer have left the business, raising concerns about what Myer will inherit if it goes ahead with the blockbuster deal.

The businesses, including the brands Just Jeans, Portmans and Dotti, have seen top managers depart in the last two years, while others resigned but are still serving long work out dates.

Many of the executives are seen as crucial to the success of the brands Myer is thinking of buying.

According to sources within both the Myer and Premier Investments camps, recent executive departures from Mr Lew’s retail apparel division include Dotti boss Deanna Moylan and Just Jeans head of product Louise Donnegan.

Other departures include head of Just Jeans Matt McCormack, head of Portmans Jade Wyatt and head of Jay Jays Linda Whitehead. The exodus of key management from Premier Investments’s retail apparel division comes as Myer executive chairman Olivia Wirth considers a bid for the businesses, which would see Myer take ownership of the fashion brands and more than 700 stores.

They follow the recent resignation and later sacking of Smiggle boss John Cheston, who was followed out the door by Smiggle’s global head of retail operations Chantelle Hayes, global marketing manager Emma Fulford and global head of sourcing and product Chelsea Brunsdon.

An internal staff email sent by Greg Chapelhow – the head of people and culture for Just Group, which owns the brands and is part of the Premier Investments group – confirmed to staff that the three Smiggle senior executives had tendered their resignations and would leave the business in June 2025.

This week Mr Lew announced the planned Smiggle demerger would now be delayed as Premier Investments considers selling the retail apparel brands to Myer. Smiggle was set to demerge from Premier Investments as early as January, and the sleepwear brand Peter Alexander was also set to demerge next year.

However, some insiders are concerned that while Myer will inherit very strong fashion brands it will face gaps in the executive ranks in the important roles of brand development, product sourcing and strategy.

Billionaire Mr Lew has confirmed to The Australian that Mr McCormick, the head of Just Jeans, resigned two and half years ago. However, it is believed he only left the business in May 2023 after serving out his notice. Mr Lew also confirmed Portmans boss Ms Wyatt had resigned and was currently serving her two year notice period, and Jay Jays boss Ms Whitehead had also left the company.

It is believed Ms Whitehead departed in December 2023, Ms Moylan is set to leave the company in June next year and Ms Donnegan will leave in January.

A spokeswoman for Premier declined to comment further on the departures or confirm the departure dates as executives worked out their notice periods.

A spokesman for Myer declined to comment as the department store remains in due diligence to possibly buy the Premier Investments’s retail apparel brands.

Sleepwear brand Peter Alexander has surpassed over half a billion dollars in annual sales in FY24, and is the only retail subsidiary to report a sales lift under Solomon Lew’s Premier Retail portfolio.

The latest news comes ahead of the sleepwear retailer’s official launch into the United Kingdom, with the initial rollout consisting of three retail doors before Christmas and a dedicated local website.

Peter Alexander’s annual sales for FY24 hit $508.6 million, up 6.2 per cent on the prior year, and just over 100 per cent in the past five years.

According to Premier, the record result was driven across all its product categories, including womens, mens, children, plus-size and gifting. 

Despite the record lift in the sleepwear brand, Premier Retail overall recorded a fall in annual sales by 2.9 per cent to $1.6 billion, driven by a 7.4 per cent fall in Smiggle sales, and a 6.4 per cent fall in its other apparel brands including Just Jeans, Jay Jays and Jacqui E. 

Smiggle’s sales fall is also down 3.4 per cent on FY19, five years ago, while the apparel brands are up 10.3 per cent in the same time frame.

Online sales have also dipped by 2.9 per cent over the last year to $315.3 million, now making up 19.8 per cent of total sales across all brands.

A 195 basis point lift in total cost of doing business has also led to a slip in total gross profit for Premier Retail, which hit $998 million in FY24. 

Despite all the woes in revenue and costs, Premier’s gross margin percentage lifted by 35 basis points to 62.6 per cent.

“FY24 has been another challenging year for discretionary retail,” Premier chairman Solomon Lew said. “Notwithstanding the tough environment, Premier Retail delivered global sales of $1.6 billion, an increase of 25.5% when compared to our pre-COVID FY19 business. 

“Premier Retail yet again delivered a strong EBIT result of $325.9 million, through careful management of gross margin and operational costs.”

Regarding Peter Alexander’s UK push, Premier confirmed that the three new shops will be located in prime London shopping, with a short-term goal of opening up to 10 new stores. 

According to Premier, the sleepwear brand is investing in significant marketing campaigns and product specifically tailored to the colder weather in the UK Christmas gifting season.

“With a population in the United Kingdom of more than double the combined population of the existing Australia and New Zealand markets, a significant opportunity is ahead for the brand entering this exciting new chapter of international growth,” Premier reported.

Apparel brands get a makeover

As Premier rubs its chin over the potential combination of Myer and Premier’s apparel brands, the business is giving its five retailers a new toy to play with and a new paint job.

The five apparel brands - housed under the Just Group - will gain a new customer loyalty program called Just Shop Rewards in October 2024, leveraging an existing loyalty program for its Just Jeans customers that was launched in Australia in 2006, and currently has 1.8 million members. 

According to Premier, the existing program delivers higher sales and transaction values when compared to non-member sales, reinforcing the potential value in offering a loyalty program across all five brands in both Australia and New Zealand. 

"[The current program] hasn't had a lot of investment, to be honest. I think everyone in the organization would acknowledge that," Just Group CFO John Bryce said.

"We're very excited to now launch a brand new loyalty program that will capture all five brands across Australia and New Zealand. So it's a lot of stores, and a lot of eyeballs. 

"The data insights that will pick up out of this loyalty program alone will give us so much information on how to target our marketing and promotional and product offers better."

The apparel brands will also begin unveiling new and improved store design formats in the first half of FY25. Just Jeans and Jacqui-E will unveil its new store designs in November 2024, while progress continues on new store design formats for Dotti, Portmans and Jay Jays.

The updates include new digital display elements, navigation changes and updated customer service touchpoints. 

Meanwhile, Premier has identified more than 20 additional opportunities for new and larger format stores in Australia and New Zealand for Peter Alexander, which includes four new stores and four relocations that have already been confirmed in the first half of FY25. 

In October, the brand’s flagship and top store at Chadstone in Victoria will be relocated and expanded in footprint by over 50 per cent to 429 square metres. 

As for Smiggle - which is currently leaderless following the surprise sacking of its managing director due to “serious misconduct” - Premier is preparing to open over 10 more stores for the brand in the near term. As well as in AU/NZ, Smiggle operates an extensive retail portfolio in Europe of over 100 stores, and 43 stores in Asia. 

Smiggle recently signed two wholesale partnership agreements in both the Middle Eat and Indonesia to help execute a retail rollout in both these regions over the next 10 years. 

The Premier board has also scrapped prior plans to demerge the Smiggle business due to the prioritisation of the current Myer proposal, with Premier noting that the ultimate timing of any demerger of Peter Alexander and/or Smiggle will depend on the outcome of the current discussions with Myer.

“In August 2023, the Premier Board embarked on a strategic review of Premier Retail,” Lew said. “The last 12 months have highlighted significant future opportunities for each of Peter Alexander, Smiggle and the Apparel Brands. 

“In June 2024, the Premier Board determined that the proposed combination of the Apparel Brands business with Myer warrants further consideration, and work has diligently taken place to analyse this proposal. 

“The Board’s focus in assessing the proposal or any strategic review outcome will also be on creating shareholder value, whilst maintaining the potential and integrity of each of the businesses.”

Temple & Webster saw revenue rise 21 per cent year over year from July 1 to October 24, and has affirmed it is on track to achieving its medium-term target of $1 billion in annual revenue within three to five years.

During the period, the online homewares and fashion retailer noted its average order values is back to growth with about 60 per cent of orders now from repeat customers.

“The media mix modelling analysis provided promising results, giving us confidence to continue our brand investment into FY25, including a cross-channel campaign over the November, December and Black Friday sales period,” said Mark Coulter, co-founder, MD and CEO of Temple & Webster.

“We also expect the November and Black Friday sale period to keep increasing in importance in the retail calendar, especially for online shopping.”

In August, the company reported revenue reached $498 million for the 12 months ended June 30, up 26 per cent compared to the prior year.

The former head of both Country Road and Trenery, Elle Roseby, has been appointed group CEO and managing director of Australian homewares business Adairs.

Roseby’s move follows her exit from Country Road Group as the managing director of Country Road and Trenery. Roseby has also held business leadership roles at Cotton On Group, Sportsgirl and Myer. 

Interim non-executive chairman Trent Peterson welcomed Roseby to the new role. 

“Elle is an authentic values-driven leader who brings deep retail experience across fashion apparel and home textile product categories,” Peterson said. “Her impressive track record in leading and growing customer-centric and product-led Australian brands makes her an outstanding appointment for the Group.

“The board and I look forward to working closely with her across our portfolio of businesses.”  

Roseby confirmed that she will commence her new role in January 2025.

“Managing vertical speciality retail brands and enhancing service-centric store environments has been a consistent feature of my career,” Roseby said. 

“I look forward to working closely with the talented teams and leaders of each of Adairs, Focus on Furniture and Mocka.” 

Due to her current commitments, Roseby’s commencement date with the Adairs will be on or around January 20, 2025.  

Mark Ronan will continue as CEO of the company until early 2025 to facilitate an orderly transition.

After unveiling its renovated Melbourne Central store earlier this month, French beauty giant Sephora is now gearing up to open the doors to its new store in Sydney’s Westfield Miranda shopping centre.

With the reopening of Sephora’s Melbourne Central store came the launch of its first beauty classroom, a space dedicated to hosting masterclasses with its exclusive brands – as well as the launch of Skincredible, its innovative app developed in collaboration with dermatologists to offer personalised skin analysis and product recommendations.

Sephora has invested heavily in creating a seamless, unified, and personalised shopping journey that bridges the gap between online and in-person retail. It strives to stay at the forefront of beauty retail with its fully integrated omnichannel shopping experience.

Inside Retail spoke to Mark O’Keefe, General Manager of Sephora ANZ, to get the behind-the-scenes details of the beauty conglomerate’s store renovations and openings. 

Mark O’Keefe: The renovation of our Melbourne Central store demonstrates Sephora’s commitment to enhancing the customer experience through an innovative shopping environment that merges physical and digital elements. This revitalised space offers customers an immersive beauty experience where they can explore our extensive product range, services and engage with the latest beauty tech elements. This store is the perfect blend of innovation and experience, allowing our customers to fully immerse themselves in the world’s best beauty brands through a highly personalised retail experience.

IR: “Omnichannel” and “experiential retail” are some of the industry’s biggest buzzwords right now – what was Sephora’s approach to integrating these into its Melbourne Central location?

MO: Sephora is dedicated to ensuring we provide our customers with an “omnichannel” experience as we know customers are looking for a seamless, unified and personalised shopping journey. For our Melbourne Central store, we have created an experiential environment so our customers can touch, feel and experience the products on display. To enhance this hands-on discovery process, we’ve introduced Sephora’s first Beauty Classroom, designed as an exclusive space for education masterclasses with beauty brands. Adding to the omniretail experience, we’ve integrated the convenience of click-and-collect services, allowing customers to shop online and pick up their purchases in-store at their convenience. This service bridges the gap between online shopping and in-person retail, offering flexibility and immediacy to the modern consumer.

IR: What are some of the noticeable changes and/or additions to the store layout?

MO: In redesigning the Sephora Melbourne Central store, we have created an environment that is not only contemporary and visually striking but also enhances our service offerings. The redesign prioritises a modern aesthetic that aligns with the innovative nature of our brand, reflecting the latest trends in retail design to make the shopping experience inviting and shoppable. 

A key feature of this transformation is the introduction of a specialised Skin Consultation zone – an inviting area dedicated to skincare services. Here, clients can indulge in hydrafacial treatments, a beneficial skincare regimen tailored to individual needs. Complementing this is Skincredible, our innovative app developed in collaboration with dermatologists. This state-of-the-art technology offers personalised skin analysis, providing customers with expert advice and product recommendations curated specifically for their skin concerns.

IR: Did Sephora’s employees have to undergo additional training to be able to fulfil the store’s new client services?

MO: Our team has undergone comprehensive training. This ensures that every team member is fully equipped to deliver these new service offerings with the expertise and care our clients expect from Sephora. 

The training includes in-depth education on all the cutting-edge tools and technology now available in-store, such as skin analysis devices. Our staff members have been trained not only in operating this equipment but also in interpreting its outputs to provide personalised advice tailored to each customer’s unique beauty needs.

IR: Are you trialling anything new in the Melbourne Central store that you are looking to roll out nationally?

MO: At Sephora, we are always at the forefront of beauty retail innovation, continuously exploring new concepts and services that can enhance the shopping experience for our customers. In our Melbourne Central store, we are trialling The Beauty School which has the potential to be implemented across other stores.

IR: How do store fit-outs in Australia differ from Sephora’s international stores like in the US or EU?

MO: Sephora’s Australian store fit-outs are carefully curated to resonate with the local market while maintaining the brand’s global identity. The Australian stores integrate elements that reflect the unique beauty, culture and lifestyle preferences of the region. While all Sephora stores share a commitment to innovation and customer experience, the nuances in design for the Australian market demonstrate Sephora’s global strategy of localisation – adapting international concepts to suit regional tastes and values for an authentic, customised shopping experience.

IR: How does the average Australian beauty consumer differ from consumers in other markets? Has Sephora had to evolve its store offering for the Australian market?

MO: Sephora has evolved its store offering in Australia by curating product ranges that align with the interests of our customers. With the powerful influence of social media on beauty trends, we’ve introduced the ‘Hot On Social’ fixture – a dynamic, curated showcase of trending products. This feature highlights what’s currently popular but also allows Sephora to respond to the ever-changing landscape of viral products, ensuring our customers have immediate access to the latest must-haves.

H&M is celebrating the 20th anniversary of its guest designer collaborations by revisiting and releasing some of its most iconic collaborative collections.

The Swedish fashion retailer launched its first designer collection with Karl Lagerfeld, the creative director of Chanel at the time, in 2004. One of the first of its kind, the collaborative collection made designer fashion more accessible to a broader audience and paved the way for further collaborations between other high-street retailers and high-end fashion houses.

"Our aim was to introduce the world of fashion to consumers globally while showcasing our connection to strong, thoughtful, and original design,” said Ann-Sofie Johansson, creative advisor at H&M, in a statement. “It connects to the fundamental ethos of H&M: that quality and creativity should be available for everyone."

Now, 20 years later, H&M is honoring the launch of its guest designer collaborations by selling several items from several of the collections through its pre-loved initiative. Sourcing the items through partnerships with the online pre-loved marketplace Sellpy and other global vintage retailers, the initiative is part of the retailer’s wider commitment to promoting a more circular fashion economy.

"Through working with pre-loved pieces, we can bring these collections back to fashion fans, giving them the chance to love these collections all over again while introducing iconic fashion moments from H&M and the world's top design talents to a new generation,” said Jörgen Andersson, creative director at H&M in a statement.

The re-released assortment will include pieces from a number of H&M guest designer collaborations, such as Viktor & Rolf, Versace, Marni, Moschino, Stella McCartney and Sonia Rykiel. Rather than offering all the pre-loved pieces for sale at once, H&M will offer the pieces in a series of drops across seven selected global stores, as well as online, starting with a drop in Paris Lafayette on October 24. Further drops will follow in London, Milan, New York, Barcelona, Stockholm and lastly in Berlin on October. 30. The in-store launches, which include a dedicated activation, will be followed by an online drop on October 31.