Claire’s files for bankruptcy as online competition bites

Claire’s chain of fashion accessories, has applied for the second time in the United States, as it has made a profit from less people and online competition.

He confirmed that he had discussed “other partners” about his future. BBC understands that the company will not have an emergency effect on the UK stores.

The US -based company said that it was in the debate about North America stores with our “sellers and landlords”, but the shops there would remain open while discovering “alternatives”.

The US -based company first applied for bankruptcy in 2018. He is currently running 2,750 stores in 17 countries in North America and Europe.

In the United Kingdom, it has approximately 280 stores for applying for bankruptcy from 370 in 2018.

Claire’s is known for selling colorful accessories such as jewelery, necklaces and bracelets, and is part of millions of young people’s memories for ear piercing services.

The company operates under two brand names, Claire’s and Icing, and is the last injured of consumers who move away from physical stores.

Claire’s belongs to a group of companies, including investment giant Elliott Management.

“This decision is hard,” Claire’s General Manager Chris Cramer wrote, “But what’s necessary”.

For the bankruptcy declaration, “increasing competition, consumer expenditure tendencies and brick and mortar retail sales”, “debt obligations” and wider economic turmoil accused.

The company’s global supply chain means that US President Trump may suffer as a result of tariffs applied to goods, which are part of the increasing trade war with various countries, including China and Canada.

Retail Analyst Catherine Shuttleworth said: “It is fair to assume that many accessories retailers have been subjected to the same pressures.

“Most of this category stems from Asia, and when your price points are low and your margins are strict, any increase in import costs becomes difficult.” He said.

Mr. Cramer, the company’s potential “strategic and financial partners” active discussions, and this is still looking for a buyer’s possibility, he said.

Claire’s bankruptcy, some of the worldwide retail some of the “people can not keep up with how people want to shop at the moment,” he said.

Young people, as before for cheap accessories for the High Street, and online competitors such as Shein young shoppers such as “super cheap” accessories targeted, he said.

Young people were now the possibility of discovering new brands through Tiktok than a shopping center, “more likely” – and still under the foreplay, Claire’s very harshly hit.

Apart from Europe and American stores, Claire’s says that there are 300 more franchise stores in the Middle East and South Africa. It also sells its products in thousands of concession stores in Europe and the United States.

Lavender colored showcases attracted young people, especially in the 1990s and in the early 2000s, and pulled the neon and glittering accessory shelves for good purchases. It was usually a usual stop for a Saturday shopping trip by families and intervals in shopping centers around the world.

It also makes a raid from time to time to sell toys, including slime, headphones or fluffy toys.