Recent closures of key Danish fashion outlets indicate a retreat from the UK market.
- The UK’s love for Scandi-style fashion has seen brands like Ganni and Wood Wood thrive.
- However, rising operational costs and market saturation pose challenges.
- Paris is emerging as a new focus for leading Danish brands.
- Despite setbacks, demand for Scandinavian labels remains strong among UK retailers.
The UK’s market for Scandinavian fashion, characterized by maximalist occasion dresses and high-quality basics, has shown significant growth in recent years, capturing the interest of major department stores and independent boutiques alike. However, the recent closure of Wood Wood’s London store and the liquidation of Han Kjøbenhavn’s UK business signal notable changes. Drapers recently announced Ganni’s decision to close its London office, setting its sights on Paris for its next global expansion.
Anne Wright, owner of the Young Ideas stores, reports good business with Scandinavian brands, particularly Stine Goya and Rosamunde, emphasizing the importance of being selective in brand offerings to maintain customer interest. Despite the challenges, Wright believes that targeting the right products can help stores continue to thrive.
Pamela Shiffer, from her namesake boutique in North London, also notes strong sales of Danish brands like AJ Project 117. She attributes their success not to flashy designs, but the sheer quality of materials such as cotton. Shiffer highlights the versatility of these products, fitting both professional and casual settings, which keeps them in demand, especially during colder seasons.
In Cheshire, Joanna Davies of Black White Denim cites Ganni’s impressive sales, reinforcing the notion that while operational costs are an issue, the appeal of these Scandinavian brands remains robust. The lack of VAT-free shopping in the UK contrasts with more affordable options in other European cities, further pushing brands to rethink their market strategies.
Ultimately, the UK’s high operational expenses—ranging from increased rent and business rates to heightened utility costs—are influencing these companies’ strategic pivots. Ganni, for example, is aligning its business more closely with Paris, considering Paris Fashion Week a potential new stage for showcasing collections and refocusing with a new CEO.
Scandinavian fashion’s allure persists amidst strategic shifts driven by economic challenges in the UK.
