House of Fraser yesterday said a relaunched 1960s fashion label had established itself as the biggest womens wear brand within the business just two weeks after it hit the rails.
The department store chain said Biba, an in-house brand launched on September 9, helped drive a 10 per cent increase in like-for-like sales in the seven weeks since July 31.
The group, which has 61 stores in the UK and Ireland, has been rolling out a strategy to develop more profitable house brands, which currently represent 11 per cent of sales.
Due to the success of brands such as Dickins & Jones, Casa Couture and Label Lab, the company said it was well placed to achieve its target for a sales mix of house brands at around 30 per cent or 40 per cent.
The department store chain said like-for-like sales lifted by 8.4 per cent in the 26 weeks to July 31, building to a 10 per cent rise in the first seven weeks of the second half of the year.
Other groups, such as Debenhams, have also refocused on in-house ranges rather than concessions to shore up results amid tougher times for retailers.
House of Fraser’s strategy has seen the group not only develop its own lines, such as Linea and Episode, but also buy or hold the licence to sell established brands.
The group is also focusing on developing its website business, and hopes for sales of £200 million within three years. E-commerce sales over the last 12 months amount to £35 million, the group said.
House of Fraser said it planned to expand the products available online, and this month will introduce a feature that gives customers the option to buy online and collect in store.
It is also refurbishing stores and working on plans to open its first outlet in the Middle East under a partnership with Retail Arabia International. The first store is due to open in Abu Dhabi in 2012.
House of Fraser, which dates back to 1849 as a drapery business in Glasgow, was bought by a consortium led by the now defunct Icelandic retail investor Baugur in a £351 million deal in November 2006.
The group was part of an extensive portfolio of British businesses backed by Baugur before it collapsed, with Baugur’s 33 per cent stake reverting to fellow Icelandic bank Landsbanki.