Stitch Fix is quitting the UK. Back in June it had said it was mulling an exit from the market in fiscal year 2024 and now it has confirmed that it’s all over for the business in Britain.
An Instagram post on Friday said “we’re sorry to say that our Stitch Fix UK journey is coming to an end”.
The company added that “over the past four years, we’re proud to have helped thousands of people in the UK discover their personal style”.
Another post also announced a major “thank you sale” with 70% off when customers buy (and keep) five items and 50% when buying four items.
The exit is expected to complete by the end of October.
The June announcement that it was looking at a departure from the market came with it blaming a weakening macro environment and increasing costs. It was at the same time as its earnings release in which it had said it had been working to control costs and boost efficiency but had decided to focus on its US business. At the time it said the UK would account for about $50 million in annual revenue in fiscal 2023 but a $15 million EBITDA loss.
The company launched in the UK in 2019, which turned out to be terrible timing given the onset of the pandemic in the following year. The wider company subsequently struggled with profitability and has seen revenue falling.
It has also seen leadership changes with founder Katrina Lake returning to the helm in January then handing over to ex-Macy’s exec Matt Baer in June. Several other members of the leadership team have also left.
Copyright © 2023 FashionNetwork.com All rights reserved.