Amsterdam-based Fashion Imprint Daily Paper to Close NYC Flagship in Effort to Boost Profits
Amsterdam-based fashion brand Daily Paper is making some major changes in order to secure its financial future. According to the label’s latest financial report via FashionUnited, the company will be divesting its New York City flagship store.
Revenues Drop for Daily Paper, Leading to Closure of NYC Store
During the financial year 2023/24, Daily Paper saw a decrease in total revenues, with the company reporting just over €14 million EUR. This figure falls short of the “financial ratios required for the agreement with the bank,” according to the label.
Uncertainty Surrounding Daily Paper’s Future
Despite recording a slight increase in profit, Daily Paper expressed concern about the company’s ability to continue operating due to uncertainty in the market. In order to ensure future profitability, the brand has taken some drastic measures.
Closing Doors to First Overseas Retail Outpost
One of the major changes for Daily Paper is the closure of its downtown NYC store, which was the brand’s first retail location outside of Amsterdam. The two-floor store, located in the Lower East Side neighborhood, was known for its unique design and features, including statues, mosaics, and murals.
Restructuring Team and Allocating E-commerce Sales
In addition to closing its NYC store, Daily Paper has also restructured its team in order to cut costs. The brand has also decided to allocate all of its e-commerce sales to its European distribution center, which will help reduce further expenses.
Positive Outlook for Daily Paper’s Future
Despite these changes, Daily Paper remains optimistic about its future. The brand believes that its realignment will lead to increased profitability and a “healthy gross margin.” Only time will tell if these measures will be successful in securing the company’s financial stability.
