John Lewis, the clothing retailer from the UK, has come under fire from third-party brands for charging heavily to stock their products.
The third-party brands currently pay the fashion retailer up to 50 per cent of every sale in commissions and fees.’
Only last week John Lewis had announced that it would launch 100 new third-party fashion brands in the next year.
Also Read: John Lewis to unveil 100 new fashion brands
The brands seem to have now taken this whole issue of ‘high charges’ seriously as lifestyle retailer Seasalt has gone ahead and cut ties with John Lewis.
Seasalt has, reportedly, said that it plans to push its offerings in Next and Marks & Spencer. There are also reports that two more brands have asked for discounts.
Here it is important to mention that Next charges 38 per cent commission to sell products on its website.
Meanwhile, John Lewis has enlisted consultants at Alix Partners to review and renegotiate its contracts with brands. The retailer added that the review looks at a range of themes including marketing, shop space and fees.
Founded in 1864, John Lewis today has over 40 stores in Great Britain.