Supermarkets giant Sainsbury’s may see its grocery offer as its core business but it remains a big force in UK fashion via its Tu line and it wants to grab a bigger chunk of premium sales, as well as the menswear market.
Sainsbury’s Tu
It’s planning to roll out more premium ranges using natural materials such as 100% merino wool, cashmere, linen and leather.
The brand has seen a more than 300% rise in premium styles in the past year despite being best known for the more budget-focused styles in which supermarkets tend to specialise.
It follows the launch last November of a 100% cashmere womenswear collection that was the brand’s biggest premium knitwear launch to date. Prices stared at £65 for the seven pure cashmere pieces with blended merino wool and cashmere styles starting from £40.
The retailer said at the time that it was “a significant milestone in the brand’s fashion direction, introducing elevated fabrics and timeless designs crafted for lasting appeal. Building on the momentum of recent successful launches, such as its summer sell-out suede bag, these garments demonstrate Tu’s commitment to bringing premium quality to more customers”.
Of the more ambitious plan to ramp up the premium offer, still-new clothing MD Ben Smith told The Telegraph this week that the retailer had “stretched up” its fashion ranges.
Importantly, he also said it was focusing on menswear with hopes it can double sales in that category and sees no reason why it shouldn’t be able to achieve that target.
Smith said it has already put initiatives in place and moves such as recently “updating the fits in our chinos” were starting to attract more male customers.
That’s key as it currently has only a 3% share of the menswear category.
Smith added that the company has been adding a stronger fashion element to its menswear too and is seeing “green shoots” from that.
Tu has been a key success story for Sainsbury’s, just as other supermarkets such as Asda have seen growth in their clothing ops outpacing that in foods.
But the retailer’s ambitions will put it in close competition with some big names such as M&S and Next with both already big in menswear and the former also a key player in the premium sector Sainsbury’s is targeting.
Italy’s antitrust authority said on Monday it had reduced a record fine imposed on U.S e-commerce giant Amazon to 752.4 million euros ($878.20 million) from an original amount of 1.128 billion euros.
DR
The authority, which fined Amazon in 2021 for abusing its dominant position in logistics services, recalculated the penalty following a regional administrative court ruling last September.
Urban Outfitters Inc. announced on Monday a 9% uptick in holiday sales for the two months ending December 31, on the back of FP Movement and Nuuly growth.
The Philadelphia-based apparel retailer said retail segment sales rose 7%, with comparable retail sales up 5%, reflecting mid single-digit growth across both digital and physical store channels.
By brand, comparable retail sales increased 9% at Urban Outfitters, 5% at Free People and 3% at Anthropologie. FP Movement continued to outperform, delivering an 18% increase in comparable sales, while the broader Free People brand recorded a 1% gain.
The company’s subscription segment, led by rental platform Nuuly, saw net sales jump 43%, fueled by a 41% rise in average active subscribers. Wholesale net sales increased 13%, largely driven by stronger Free People sales to department stores.
For the eleven months ended December 31, total company sales were up 11% year over year. Retail segment sales rose 8%, with comparable retail sales increasing 6%, again supported by balanced growth across online and store channels. Subscription segment net sales climbed 51%, reflecting a 46% increase in average active subscribers, while wholesale net sales grew 15%.
During the eleven-month period, Urban Outfitters Inc. continued to expand its physical footprint, opening 58 new stores, including 36 Free People locations—21 of which were FP Movement stores—13 Anthropologie stores and nine Urban Outfitters stores. The company closed seven locations, including five Urban Outfitters stores and two Free People stores.
Apparel retailer Lululemon Athletica said on Monday it expects fourth-quarter revenue and profit to be toward the high end of its previous forecast range on the back of strong demand during the holiday season.
Lululemon
Shares of the company were up about 1% in premarket trading. They had fallen nearly 46% in 2025.
The positive forecast comes as Lululemon contends with challenges, including a proxy fight launched by its founder Chip Wilson, while striving to reignite demand from young and affluent shoppers amid stiff competition and pressure from activist investor Elliott Management.
The athleisure maker had previously projected fourth-quarter revenue to be between $3.50 billion and $3.59 billion, and earnings per share in the range of $4.66 to $4.76.