Pepe Jeans, a flagship brand under the umbrella of All We Wear Group (AWWG), is undergoing a significant transformation through its “Re:set” strategy. In response to the challenges brought on by the Covid-19 pandemic, AWWG has announced plans to close approximately 50 stores worldwide as well as some international offices. This strategic move is essential for the company to not only survive but thrive in the current market conditions.
With a global presence of around 500 stores, the closure of roughly 10% of its network will primarily impact locations in the United States, Japan, Mexico, India, and Europe. While these closures are part of the adaptation process, AWWG is also looking into negotiating rent reductions in certain locations to minimize the impact on their bottom line.
Aside from store closures, AWWG is taking steps to streamline its operations by integrating its marketing and e-commerce teams. By consolidating resources in Madrid and Barcelona, the group will be closing its Hong Kong headquarters and implementing a new outsourcing model. These changes are aimed at enhancing efficiency and driving growth across brands like Pepe Jeans, Hackett London, and Façonnable.
Moreover, in Mexico, AWWG is pivoting towards a stronger focus on retail operations, while ceasing operations in the United States as part of the ongoing restructuring efforts. The group’s online sales have doubled in the last six months, demonstrating a heightened consumer interest in its offerings. With a rebranding initiative and the unveiling of a new corporate identity earlier this year, AWWG is poised for continued growth in the global fashion market.
AWWG, with annual revenues of €514 million and a workforce of over 3,300 employees, is a key player in the European and Indian markets. The group’s transformation strategy not only addresses the immediate challenges posed by the pandemic but also positions them for long-term success in a rapidly changing retail landscape.
For more information on AWWG and its brands, visit their official website here. Additionally, to stay updated on the latest fashion trends and news, you can visit a leading fashion portal like Vogue here.
