Sosandar plans first store openings to boost growth

Womenswear brand Sosandar will open its first-ever stores next year as the business looks to develop its omnichannel strategy.

The brand expects to have opened its first stores in "affluent towns with thriving high streets" by spring next year. It will be self-funded from the company's existing cash resources.

Sosandar believes that being a truly omnichannel retailer, "diversifying its routes to market and increasing brand awareness across its target demographic", marks a key step in its growth journey.

The move hopes to push the business further towards reaching its goal of becoming one of the world's largest womenswear brands globally.

Ali Hall and Julie Lavington, Co-CEOs at Sosandar, said: "Our decision to open our own stores is the logical next step as we look to offer our customers more ways to engage and shop with Sosandar.

"We know that the added value of being able to touch and feel our clothes will appeal to our target customers.

"With a clear rollout plan in place and strict criteria around the location of potential stores, we are confident that our stores will enable us to accelerate our market share and increase the awareness of our brand."

In addition, the company will be investing in technology to ensure that its customer journey, both online and offline, is "seamless".

As it looks to become an omnichannel retailer and grow its margins, Sosandar will also be moving away from price-led promotions by transitioning customer behaviour to the non-promotional led proposition it already operates across all its third-party channels.

Trading Update

Sosandar has reported a 6% increase in net revenue to £22.3 million for the six months ending 30 September, but saw a loss before tax of £1.3 million.

The company said autumn trading started "very well", despite the unseasonably warm weather in September. It has also seen "very strong" third-party sales, particularly at NEXT and Marks & Spencer.

Over the first two weeks of October, Sosandar landed in-store at Sainsbury's for the first time - selling "well" in all nine stores. The brand's new partnership with Freemans has also had a good start to trading.

The company expects revenue to grow 10% to £46.8 million in FY24.