J. Crew is quietly opening a new kind of store
Now the retailer is answering some of its critics by opening a new kind of store with discount prices.
The store, called, J. Crew Mercantile, features clothing "once only available in J. Crew Factory stores," according to a statement from the company.
J. Crew Factory is the name of the company's chain of outlet stores.
The first Mercantile store will open later this month at The Shops at Park Lane in Dallas, Texas.
J. Crew Factory's website mentions that more locations will open soon.
J. Crew acquired the name J. Crew Mercantile in spring 2014, according to the Wall Street Journal (via The Cut).
Expanding its discount line could be a wise idea, considering Gap's recent downturn compared to it's more affordable sibling, Old Navy, which has been performing well.
The new Mercantile chain comes at a tough time for J. Crew.
The company recently fired 10% of its corporate employees. An executive (now former) embarrassed himself on social media. The retailer also alienated its core customer base with gaudy designs.
Even J. Crew's basics are being criticized - in particular, one maligned sweater. But it wasn't just outrageous designs and ill-fitting sweaters, as women also felt alienated by the delineation of quality. With high prices, people want equally high quality.
With its new chain, J. Crew might win back those who balk at its lofty price tags.