Morphe Cosmetics, a well-known US beauty brand, has recently closed its seven UK stores.
The company is now directing its efforts towards online sales and wholesale operations.
Closure of UK Stores
Morphe Cosmetics has decided to close its seven UK brick-and-mortar stores. Locations in Birmingham, Nottingham, Manchester, Liverpool, Newcastle, Cardiff, and Stratford have shut down, resulting in the redundancy of 73 employees.
Despite the closures, Morphe products will still be available at various retailers such as Boots, Selfridges, Flannels, and H Beauty. Customers can also purchase items through online platforms.
Shift to Wholesale and Online Operations
Forma Brands, Morphe’s parent firm, is focusing on growing its business through wholesale and e-commerce channels. A spokesperson stated that significant progress has been made in these areas over the past year.
The decision to close the European stores was influenced by the high rent costs associated with operating physical locations. By focusing on wholesale and online sales, the company aims to replicate its successful business model from the US.
Additionally, the company has transitioned the ownership of its UK wholesale and online businesses to operate as FORMA BRANDS UK LTD. This change took effect immediately.
Support for Staff
Forma Brands has taken measures to support the staff affected by the store closures.
All impacted employees received goodwill payments, equivalent to an enhanced redundancy package. This move recognises their dedication and passion.
Strategic Business Decisions
The move to close the physical stores aligns with Forma Brands’ strategy to prioritise and expand its wholesale and e-commerce operations.
The company’s long-term vision is to strengthen its position in the competitive beauty industry through these channels.
These steps are expected to streamline the business and improve profitability.
The closure of Morphe’s UK stores marks a significant shift in the company’s strategy. By focusing on wholesale and online operations, Forma Brands aims to streamline its business and improve profitability, ensuring long-term growth.