C&A to close all stores in Russia

By

Melanie Muller

Translated by
Barbara Santamaria

Published
Jul 18, 2017

C&A is leaving the Russian market, according to Russian news agency Rambler News Service. The Dutch clothing company has ended its partnership with Russian retailer Russia Trade Group.

 
“C&A Europe and its franchisee Russia Trade Group (RTG) decided by mutual agreement to discontinue our collaboration when the agreement expired at the end of February 2017. The step was the result of a strategic decision of C&A to discontinue the franchise model,” said Thorsten Rolfes, head of communications at C&A to FashionNetwork.com.

RTG has been C&A Europe’s only franchise partner since 2004, and operated eleven stores in Russia under the C&A brand. The last C&A store managed by RTG is planned to close shortly. “There are currently no plans about our future in Russia,” continued Rolfes.

C&A unveiled a new strategy in February, which focuses on transforming and modernising the retail business into an omnichannel powerhouse. The business has also undergone a restructuring, closed unprofitable stores and cut jobs to become more efficient and reduce costs.

C&A operates nearly 2,000 stores worldwide, including 1,500 in Europe. In 2017, 23 stores were opened with the new store concept and will be followed by three further openings in the autumn. The company does not release its trading numbers.