The plus-sized market has indicated great profitability potential for brands, as a leading Australian label has been making strides in the industry.
City Chic has seen a dramatic increase in revenue over the last six months, increasing by 7.1 percent to $75.4million, demonstrating the immense consumer demand for apparel in this sector. This revenue has translated to a rise in profitability of 35 percent for the six months leading up to 30th December 2018.
This rise in profitability came when the company split from Specialty Fashion Group stable and were instead bought by womenswear label Noni B in July of last year. The previous group was a host to brands including Crossroads and Millers which recorded steadily declining profitability rates and have been dubbed ‘loss leaders’ for the group.
Following Chic City’s profitability increase, the brand is looking to improve its e-commerce sector and expand its bricks-and-mortar holdings which currently consist of 104 stores across Australia and New Zealand.
