Tailor Made
Published: 07 January, 2009
Opening in Westfield and Bluewater has given TM Lewin a new direction, Glynn Davis discovers
Since opening a store at Bluewater in 2005, shirt maker TM Lewin has expanded its shopping centre footprint to a total of 18 outlets with its latest unit at the Westfield London development highlighting more than ever the evolution of the company.
The Westfield store has a higher than usual share of space given over to womenswear highlighting how the company has in recent years successfully built on its Jermyn Street pedigree to push the TM Lewin brand out to a wider audience.
This move has been orchestrated by Geoff Quinn, managing director of TM Lewin, who took over the reins of the business in 1993 when it was opening its fourth store. It now runs a total of 66 shops plus eight concessions in House of Fraser stores. Sales have grown substantially with annual turnover now at the £63m mark, with ebitda (earnings before interest, tax, depreciation and amortisation) reaching over £9m.
Along with growing the store portfolio he has also taken the business from just selling men’s shirts to also offering men’s suits, accessories such as cufflinks and shoes, ties and women’s shirts.
The introduction of women’s clothing has helped make TM Lewin even more relevant to shopping centre sites, as women represent a high proportion of shoppers during week days. At Westfield the company is trialling a new look women’s offer with 40 per cent of the store dedicated to the range. “When we now open in shopping centres we put the ladies clothing near the door to catch their eye,” says Quinn.
What has also made the company relevant to the mall environment is its gradual shift to being a mid-market affordable offer. “People think it costs £50 for a shirt but with our ‘four-for-£100’ offer we’ve been able to change from Jermyn Street to mid-market and become more approachable.”
This pricing model has been made possible through the company’s
drive to handle most of its business in-house, in contrast to other operators that have outsourced many functions.
“I’ve made it my job to cut out every middleman and even though we don’t manufacture anymore we specify the construction of the fabric. We oversee all this. The best thing in business is to have knowledge because if you understand the products then you can understand the cost price,” explains Quinn.
The company’s “more approachable” positioning certainly gave it the confidence to expand around the country and into shopping centres over recent years. However, of its mall stores Quinn says the better performers are those closer to London where there is greater brand recognition. On this basis he says it has been a “no-brainer’ to open units in the likes of Bluewater, Lakeside, Brent Cross and Westfield.
Even with the current downturn Quinn says the business is performing very well and is still “growing at a fair lick”. He adds: “We’re having a good year, with like-for-likes up. We’re ahead of plan for the first six months to August.”
Indicative of the group’s performance is its most recent unit at Westfield, which he says is smashing anticipated figures. And things show no sign of slowing down with a unit planned in Cardiff’s St David’s 2 development and a potential roll out of its Express format stores, of which there are four in London including Waterloo station.
Although Quinn envisages a slowdown in the company’s expansion plans, it is clear the business is thriving in a tough market, with the audience’s appetite for its tailor made products growing daily.
Statistics
TM Lewin
Founded: 1898
Founder: Thomas Mayes Lewin
Managing director: Geoff Quinn
Number of UK stores: 66 company-owned + 8 concessions
Average store size: 1,300 sq ft
Property agent: CB Richard Ellis
Website: www.tmlewin.co.uk
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