NZ only the start for Witchery
The retailer was purchased by Gresham Private Equity from business tycoon Solomon Lew for $120 million around nine months ago and has since ploughed an estimated $4 million into new store rollouts.
However, CEO Ian Nairn said its most dramatic move to date will be to set up shop in New Zealand, having identified 16 sites across the main centres of Auckland, Wellington and Christchurch.
"New Zealand was always on the horizon for us. Our online presence has allowed us to monitor shopping patterns globally and we believe there is certainly a gap in the New Zealand market for a brand with Witchery's positioning and price points," he said.
"Clearly Witchery would have to compete in New Zealand with other Aussie brands that already have a presence there including Country Road and Cue as well as local brand Max, but certainly there is a great infrastructure in New Zealand, with [shopping centre giant] Westfield's presence as well as department stores."
Nairn said the chain store was not threatened by rival retailer Country Road's recent moves to capture greater market share.
"Country Road is doing a very good job now with its pricing and fashionability but we regard it as healthy competition which can only be a good thing."
Expansion into New Zealand did not automatically signal world domination, he added.
"We've done analysis on overseas markets, but Europe is only a second or third horizon plan. Expansion into Asia or other southern hemisphere territories such as South Africa would be a more logical step, but it's not on our immediate agenda."
Witchery has also unveiled plans to open 50 further stores in Australia and is currently piloting a new accessories-only concept.
"Woollhara, Sydney already has a Witchery accessories store which opened three months ago and we're very encouraged by the reaction from customers," Nairn said, adding that another accessories concept would open in Toorak, Melbourne in coming weeks.
"Accessories are a key part of Witchery so we decided we shouldn't hide them away at the back of the stores. Now we've got them in dedicated retail spaces averaging about 80 square metres and offering shoes, handbags, leather goods, intimates and our 'at home' loungewear range," he said, adding it was hoped the accessories concepts would also cross the Tasman before long.