As a part of this course of, the corporate will cease accepting and promoting present playing cards, refuse refunds, and declare all purchases, new and former, as ultimate gross sales. These measures have been detailed in a memo by Physique Store North America president Jordan Searle, despatched to Canadian employees.
The restructuring efforts come as the corporate, identified for its environmentally pleasant ethos and various vary of tub, physique, hair, and skincare merchandise, marks its forty fourth yr in Canada. The Physique Store has confronted elevated competitors from new entrants like Sephora, Tub & Physique Works, and Lush, difficult its distinctive market place.
In response, Physique Store Canada launched a “workshop” idea in some shops in 2022, specializing in sustainability practices and environmental and group activism. Moreover, it expanded its attain by promoting merchandise in Consumers Drug Mart shops, marking a shift in its retail technique.
The monetary turmoil follows the sale of The Physique Store Worldwide to the Aurelius Group for £207 million ($355m) within the earlier yr.
The US division’s memo revealed a centralized money administration system that led to a monetary crunch, considerably impacting operations and vendor funds.
