SYDNEY: Sambag is dramatically scaling back its wholesale operations to focus on a retail and e-commerce model, ahead of international expansion.
The Sydney-based footwear and lifestyle brand opened its new 70 sqm Westfield Sydney flagship in late
October and is scheduled to open a permanent store in Chadstone Shopping Centre, Melbourne, later this month. It currently operates a pop-up store in the centre.
Sambag general manager Alex Connell said the brand built its national wholesale network to around 70 stores, but has reduced this number to a "special group" of around five accounts for winter 2011.
Connell said this was to consolidate operations in its own network of seven stores plus its e-commerce division and to control its presence in the market.
"We will be able to present the whole brand with our voice," she said. "We will encourage our regional customers to shop on our website."
Connell said the decision to go into the two major shopping centres was to show the brand amongst other Australian designer labels and major international luxury brands. It is also designed to reach new consumers and compete with established businesses such as Mimco, she said.
The two new stores feature the brand's signature blue colour tones, with contemporary clean lines, statement light fittings, plush ottomans, oak floors and luxury wallpaper. A full spectrum of product will be offered, from shoes through to accessories, bags, cashmere, swimwear and apparel items.
The 13-year-old business, owned by designer and director Sam Wagner, is also looking to launch internationally in 2011 with a wholesale focus. Connell and Wagner are due to travel to London, Milan, New York and Los Angeles to investigate the footwear market and agent opportunities.
Sambag also operates stores in Woollahra, The Strand Arcade and Chatswood Chase in Sydney, and Prahran East and Albert Park in Melbourne. It has around 55 staff.
The brand's signature product is ballet flats in numerous colours and styles, although Connell said it is pushing more into apparel, bags and accessories with each season. She said anoraks, trenches and leather jackets will be key for winter 2011.
Melinda Oliver