Aurora Fashions to spin off Coast in restructure to target omni-channel growth

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Coast: spin off

Coast: spin off

Aurora Fashions is restructuring its business in a bid to create a more agile organisation and enable its brands to further embrace omni-channel.

Coast will emerge as a standalone business and Oasis and Warehouse will be established under a single parent company, Fresh Channel.
Liz Evans, managing director of Oasis, has been appointed as CEO of the new business.
 
The senior Aurora management team will continue to work together over the next 12 to 18 months to support the brands through the transition and once this process is complete, Aurora will cease to exist.
 
Aurora chairman, Derek Lovelock, said: “Retailing is no longer about gearing your operating model around bricks and mortar, something we have realised as a result of our omni-channel success. Instead, our businesses must adapt and utilise a number of distribution channels to ensure we continue to capitalise on the changing global retail environment.”
 
Aurora Fashions said this move will create a de-layered management structure with operations realigned around an omni-channel model rather than traditional bricks and mortar, which is their heritage. Combining the two young-fashion brands will enable the management team to exploit economies of scale and to move innovation at pace. The brands’ unique identities will be further developed and consistently delivered across all channels.
 
Mike Shearwood, Aurora CEO, said: “De-layering our businesses enables us to maximise the capabilities we have built through our channels over the last two years. This will allow us to create independent, agile organisations, where the management teams have full control and autonomy to deliver their strategies, so that they can provide their global customer base with more choice.”
 
Coast, as an independent company, will build upon its position as the occasionwear specialist, with more flagship openings, an innovative new website and continued international expansion.
 
The new structure equips Coast and Fresh Channel to capitalise on the changing dynamics of channel share, while achieving significant cost savings, said Aurora Fashions.
 
Evans, CEO Oasis and Warehouse, said: “Oasis and Warehouse are two iconic, high street British fashion brands that have gained international recognition for their innovative approach to omni-channel retailing. I am privileged to be working with two exceptional management teams. Together, I know we will drive strong performance and continue to surprise and delight our customers around the globe.”
 
Aurora Fashions has won eight awards in the last year and said it has made a reality of innovations including 90-minute deliveries, payment-enabled iPads, virtual fitting rooms and omni-channel retailing.