Canadian fashion retailer Kit and Ace is closing all its international stores and retreating to its Canadian home market.
Launched by Chip Wilson, who founded athleisure brand Lululemon, Kit and Ace was in February last year named one of the world’s 10 most innovative companies in retail by Fast Company. But by September, it was beginning to encounter trouble, and announced it would close a quarter of its 60-store network. Now it will close 35 more, exiting Australia, Japan, New Zealand, the US and the UK, leaving just 10 stores in Canada and an online presence.
No reason was given for the retreat, Wilson saying in a statement only that the company would focus on the digital side of the business. Many employees outside Canada learned of the news via social media.
Kit and Ace started with one shop in Vancouver, BC in July 2014 and its subsequent growth was fuelled by increased demand for its proprietary family of fabrics (Qemir), derived from noble fibres – including Technical Cashmere. Over the course of one year, Kit and Ace designed and developed 150 proprietary fabrics, 50 of which were commercialised.
“My background is in fabric development and design – it’s what I’m passionate about,” said Shannon Wilson, co-founder and creative director at Kit and Ace, last year. “My focus with Kit and Ace was to build technical, functional streetwear working with some of my favourite fibres, like silk and cashmere. We will continue to push ourselves to create proprietary fabrics that value people’s time and that function to keep up with a full-contact lifestyle.”
Announcing the closures to its customers on Facebook, Kit and Ace said: “From the start, Kit and Ace has been about innovation. As the retail landscape changes, we’re changing the way we transform your wardrobe.”
But the company drew derision on social media for failing to tell staff of the plans before posting on social media. Australian employees awaoke to find they had lost their jobs by reading it on Instagram.
“A real professional way of letting your Australian team they have NO JOBS today!,” wrote one staff member on Twitter. “Waking up to a post that says our store is closing! Zero care factor.”
‘The way you have presumably treated your employees is shameful. People deserve respect, not an Instagram post to say they are out of a job,’ wrote another social media user.
