Department store David Jones has divulged more about its decision to “delete” iconic fashion designer Alex Perry from its fashion offering.
The company, which recruited Perry in 2007 after he defected from rival Myer, has confirmed that the iconic designer is no longer part of its fashion portfolio, following lacklustre sales.
Commenting on the decision, David Jones group executive of merchandise Donna Player said the decision to exit the Alex Perry brand was based on the declining sales of this brand over the past three years and the result of an ongoing productivity review by David Jones of each of the brands in its portfolio.
The company confirmed Perry's sales at the department store had declined by 10.3 per cent over the past three financial years.
Player added that this was in comparison to David Jones' overall Australian designer sales, which have increased by more than 27 per cent over this same period.
"Whilst we wish Alex all the best we are a publicly listed company and we have a responsibility to our shareholders to delete non performing brands and to replace them with new brands or high performing brands.
"Our decision to exit the Alex Perry brand from our business was based on the fact that the sales generated by his brand are a fraction of those generated by other Australian designers in our business and also due to the year on year declining sales of this brand over the past three years, at a time when our Australian designer business has grown by more than 27 per cent over this same period,” Player said.
David Jones will officially cut ties with Perry's brand from August 2014, when the existing supply contract expires.
Player also confirmed that the gap left by Perry's exit from the David Jones fashion floor will be replaced by a duo of “high-performing” brands in addition to new brand Martin Grant.
"The deletion of this brand means we can reallocate this valuable floorspace to new brand Martin Grant and to high performing brands Camilla World and Rachel Gilbert,” she said.