INTEGRATED REPORT 2023

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OFFICE LEADING BRAND PORTFOLIO

OPERATIONAL REVIEW: TRUWORTHS

TRUWORTHS

MARKET-LEADING BRAND PORTFOLIO

TRUWORTHS OWNS A PORTFOLIO OF MARKET-LEADING FASHION CLOTHING AND FOOTWEAR BRANDS. THESE BRANDS ARE SOLD EXCLUSIVELY BY TRUWORTHS AND INCLUDE LADIESWEAR, MENSWEAR AND KIDSWEAR. TOGETHER, THEY TARGET THE MANY LIFESTYLE NEEDS OF TRUWORTHS' CUSTOMERS WHO ARE YOUTHFUL AND FASHIONABLE SOUTH AFRICANS.

Our brands are premium-quality, aspirational and authentic, and focus on a tasteful blend of colour, fabric and fashion styling in line with international trends but customised for the South African consumer.

An aspirational yet accessible range of beauty products from many of the world's leading international brands together with own‑brand fragrances, as well as a combination of branded and own‑brand fine jewellery, footwear, sunglasses and watches are offered, along with a range of mobile products.

A premium homeware brand complements the fashion offering

BRAND STRATEGY

Core to Truworths' brand strategy is the focus on continuing to grow and develop exclusive and highly sought‑after in‑house brands. These brands are complemented by a small collection of specialist third‑party licensed brands.

Each brand in the Truworths portfolio has its own clearly defined look and feel and a statement of its brand DNA, which ensures the merchandise has a distinctive signature, differentiated from the other brands in the portfolio. The portfolio of brands comes together across lifestyles to create a unique and compelling customer offering. These brand profiles guide the merchandise buying teams in their product design and development process, and also determine how the brands are visually presented in stores and windows, as well as in print and digital marketing.

Truworths constantly reviews its brand portfolio to identify new merchandise opportunities across the customer spectrum.

EXPANDING BRAND PORTFOLIO

Truworths and Truworths Man are the core brands. They are supported by a range of internally developed mainstream brands that make up the emporium:

  • Inwear (launched in 1986)
  • Truworths Jewellery (1989)
  • LTD (1992)
  • Truworths Elements (1999)
  • Ginger Mary (2004)
  • Hey Betty (2011)

Emporium stores include several other sub-brands that are essential to the variety of lifestyles that Truworths offers to satisfy customers' needs. These include well-established brands Outback Red, Hemisphere, Finnigans, Skiny, TRS, Trench and TRNY.

Daniel Hechter, the French designer brand, has been offered under an exclusive long-term licence agreement since 1984.

Identity, launched in 1999, offers a range of young, affordable and trendy merchandise for the fashion‑aware and value-conscious youth market. The chain operates from stand-alone stores. ID Kids was introduced in 2019 offering boys' and girls' collections.

Office London, the South African offering of the UK fashion footwear brand owned by the Group, was launched in 2017. The store offers a wide selection of sought after third-party branded athleisure footwear for the highly brand conscious sneaker customer.

Context was introduced in 2019 to offer a range of exclusive Truworths fashion, including Earthaddict, LTD, lingerie, beauty products and homeware for discerning female customers.

Apparel brands Fuel and Sync were launched in 2021. Fuel is a young masculine fashion brand with a streetwear edge targeting a cool urban aesthetic. Sync targets the value segment of the South African fashion market and offers well priced product for young men and women at excellent value.

EXPANSION THROUGH ACQUISITION

Organic expansion of the brand portfolio has been complemented by the acquisition of the following specialist brands:

  • Young Designers Emporium (YDE) (2003)
  • Italian-inspired menswear brand Uzzi (2006)
  • Ladieswear brand Earthaddict (2015)
  • Kidswear brands Earthchild and Naartjie (2015)
  • Office UK (2015)
  • Homeware and linen retailer Loads of Living (2017)

RETAIL SALES CONTRIBUTION

SPECIALIST BRAND EMPORIUM STORES

The Truworths Emporium store enables customers to shop for Truworths' multiple fashion brands in a single location, and is complemented by an advanced e-commerce site to complete the omni-channel experience. The emporium store concept has evolved with the expansion of the brand portfolio and customers have access to four specialist branded emporiums within the Truworths Emporium:

Identity recently launched its own Emporium concept, known as the Identity Megastore, which houses
Identity Ladies, Men and Kids together in a single store format.


Brand description

Truworths Ladieswear Emporium offers a range of aspirational and fashionable leisurewear, denim, formalwear, dresses and lingerie, as well as Truworths and well-known third-party branded footwear and accessories designed for the youthful, modern, fashion-conscious woman.

Brand profile

Targets all lifestyles of youthful, fashionable women who desire good quality, aspirational brands

Supporting brands and ranges

Truworths, Outback Red, OBR Sport, TRS, TRNY, Hey Betty, Inwear, Basix, Finnigans, Zeta, Truworths Maternity, Intrigue, Skiny and Peep

Retail sales for 2023

R3.9 billion

Retail sales growth on prior period

7.6% increase (52 weeks: 9.5% increase)

Retail sales contribution

26% (2022: 27%)

Number of emporium stores, departments within emporium stores or stand‑alone stores

350 Truworths Emporium stores

Brand description

Truworths Menswear Emporium caters for the wardrobe requirements of modern, fashion-conscious, youthful men by offering a range of exclusive aspirational brands that encompass formalwear, leisurewear and athleisurewear, in addition to a range of Truworths and well-known third-party branded footwear, underwear and accessories.

Brand profile

Targets all lifestyle needs of youthful, fashionable men who desire good quality, aspirational brands

Supporting brands and ranges

Truworths Man, Uzzi, Daniel Hechter Mens, Hemisphere, Hemisphere Sport, Rosati Uomo, Trench, Moskow, Exstream, Fuel and LTD Men

Retail sales for 2023

R3.7 billion

Retail sales growth on prior period

2.4% increase (52 weeks: 4.2% increase)

Retail sales contribution

25% (2022: 26%)

Number of emporium stores, departments within emporium stores or stand‑alone stores

354 Truworths Man departments

348 Daniel Hechter Mens departments

326 Uzzi departments

42 Fuel departments

36 Uzzi stand-alone stores

34 Truworths Man stand-alone stores

7 Fuel stand-alone stores

Brand description

The Truworths Ladieswear Designer Emporium offers a unique range of exclusive apparel, footwear and accessory brands that appeal to the discerning South African woman. The ranges are complementary, with each having a clearly defined look and feel and lifestyle relevance. This combination of ranges in a single space makes for an exciting better-end shopping experience.

Brand profile

Targets the specialised lifestyle needs of youthful, fashionable women who are attracted to good quality designer brands

Supporting brands and ranges

Daniel Hechter Ladies, Ginger Mary, Truworths Glamour, Emily Moon, Essence, LTD Ladies and Earthaddict

Retail sales for 2023

R1.5 billion

Retail sales growth on prior period

9.9% increase (52 weeks: 11.5% increase)

Retail sales contribution

10% (2022: 9%)

Number of emporium stores, departments within emporium stores or stand‑alone stores

305 Daniel Hechter Ladies departments

303 Ginger Mary departments

125 Earthaddict departments

108 LTD departments

10 Context stores within Truworths Emporium stores

2 Earthaddict stand-alone stores

1 Daniel Hechter stand-alone store

1 Ginger Mary stand-alone store

1 LTD stand-alone store

1 Context stand-alone store

Brand description

Truworths Kids Emporium offers a range of exclusive, aspirational childrenswear clothing and footwear brands that are of exceptional quality for the fashion and brand-conscious parent and child. Each brand offers a range of boys and girlswear that has its own DNA. When placed together the unique handwriting of each brand creates an enticing offering that covers age, gender and lifestyle needs. The brands cater for babies and children from newborns to 14 years old.

Brand profile

Newborns, toddlers, kids and tweens

Supporting brands and ranges

LTD Kids, Earthchild, Naartjie, Max and Mia and Zigi

Retail sales for 2023

R1.5 billion

Retail sales growth on prior period

8.0% (52 weeks: 9.3% increase)

Retail sales contribution

10% (2022: 10%)

Number of emporium stores, departments within emporium stores or stand‑alone stores

302 LTD Kids departments

112 Truworths Kids Emporium within Truworths Emporium stores

16 Earthchild stand-alone stores

10 Naartjie stand-alone stores

7 Truworths Kids Emporium stand-alone stores

6 Naartjie and Earthchild stand-alone stores

5 Earthchild and Earthaddict stand-alone stores

Brand description

Truworths Elements, Truworths Jewellery, Truworths Cellular, Office London, Loads of Living and Sync.

Truworths Elements offers a range of premium international skincare, cosmetics and fragrance brands. Truworths Elements is a fresh and uncluttered beauty destination, focusing on highly sought-after prestigious brands for fashion-conscious customers, where they can enjoy the expertise of trained specialist cosmetic consultants.

Truworths Jewellery offers a selection of quality fine jewellery, trendy fashion jewellery and leading international watch and sunglass brands. The merchandise appeals to youthful women and men, across broad lifestyle spectrums, who view jewellery and accessories as an integral part of fashion. The range includes gold, silver and faux jewellery collections, as well as a broad assortment of fashionable watch and sunglass brands.

Office London is inspired and guided by Office UK. It offers a wide selection of in-demand third-party branded fashion sneakers and apparel. The target market is primarily the female customer and this is complemented by a good range of footwear for the trend-informed male customer. The range is complemented by a limited selection of in-house designed own-brand fashion footwear, for women, men and kids.

Loads of Living offers a collection of sophisticated, high-quality linen and homeware for the discerning customer.

Sync is a youthful, fashionable and commercial value brand. It is a well priced range with an aspirational feel due to its quality and unique design. Sync offers fashion clothing, footwear and accessories for value-conscious fashionable women and men.

Brand profile

Youthful ladies and men

Supporting brands and ranges

MAC, Est'e Lauder, Clinique, Clarins, Revlon, Kangol, Elizabeth Arden, Coty, Gatineau and Aramis, as well as niche fashion and salon brands, international fragrance brands, third-party footwear as well as own-brand fashion.

Retail sales for 2023

R1.9 billion

Retail sales growth on prior period

16.5% increase (52 weeks: 18.6% increase)

Retail sales contribution

13% (2022: 12%)

Number of emporium stores, departments within emporium stores or stand‑alone stores

184 Truworths Jewellery departments

137 Truworths Cellular departments

86 Truworths Elements departments

23 Loads of Living departments within Truworths Emporiums

19 Office London stand-alone stores

19 Sync stand-alone stores

9 Loads of Living stand-alone stores

Brand description

Identity offers a range of affordable and trendy fashion clothing, underwear, footwear and accessories for women, men and kids. Identity caters for the fashionaware and value-conscious youth market. Identity operates from independent stand-alone stores.

Brand profile

Young ladies, men and kids

Supporting brands and ranges

Identity Woman, Identity Man, Identity shoes, bags, lingerie and accessories and ID Kids

Retail sales for 2023

R2.4 billion

Retail sales growth on prior period

5.8% increase (52 weeks: 7.7% increase)

Retail sales contribution

16% (2022: 16%)

Number of emporium stores, departments within emporium stores or stand‑alone stores

251 Identity stand-alone stores

199 ID Kids departments within Identity stores

Brand description

The Young Designers Emporium (YDE) showcases South Africa's young, cutting-edge fashion talent. As an agent, YDE markets the clothing and lifestyle products of both emerging and well-established local designers. The unique trading formula of YDE provides an exciting platform for young designers to present their exclusive own-label ranges in a branded space. The emporiums are aimed at fashion-forward customers aged 16 to 35 and offer clothing, shoes, bags and accessories. YDE operates from independent stand-alone stores.

Brand profile

Young women and men in the 16 ' 35 age group

Supporting brands and ranges

Brands of various designers

Retail sales for 2023

R233 million

Retail sales growth on prior period

1.3% increase (52 weeks: 2.2% increase)

Retail sales contribution

Agency sales, so therefore not included in retail sales

Number of emporium stores, departments within emporium stores or stand‑alone stores

20 YDE stand-alone stores

INTEGRATED REPORT 2023