Sainsbury’s bets on style with plans for a new online fashion marketplace
Sainsbury’s is reportedly planning to launch a new online marketplace for high street fashion brands in a move which will pile pressure on department stores like John Lewis.
Looking to diversify its product range whilst capitalising on a strong web traffic presence – and vast distribution networks – Sainsbury’s is looking to stock a range of well-known fashion brands online, in addition to its current offering, according to a report in The Times.
Industry sources claim Sainbury’s has already approached brands such as Jigsaw and White Stuff with proposals of selling their products on its website and in certain stores. The supermarket already has deals with Fat Face and Sosandar.
Larger retail outfits across the UK have been looking for ways to capitalise on strong online traffic and their vast distribution networks by diversifying their product and brand offering. Next and Marks & Spencer are both benefiting from sales of third-party clothing brands on their sites.
The move puts Sainsbury’s further in line with the business models of outfits like John Lewis and House of Fraser.
The initiative is being led by former John Lewis boss Paula Nickolds, who now heads Sainsbury’s non-food business. Nickolds is being supported by Sainsbury’s director of clothing, home and furniture, Christine Kasoulis, who also joined from John Lewis last year.
The Times reports that Sainsbury’s will offer lower rates of commission than John Lewis, which charges at least 40 per cent.
Sainsbury’s was contacted for comment.