Triumph comes out in Russia – Kommersant newspaper No. 154 (7355) of 08/24/2022

Foreign brands continue to leave the Russian clothing market against the background of the crisis in connection with military operations in Ukraine. Triumph, a German-based lingerie maker and retailer that has been in the country since 1995, has been unable to deliver under sanctions and is now planning to close local stores before the end of the year. In the price category of the brand, there are still a number of local and foreign players who can take a share of Triumph.

The European lingerie brand Triumph is leaving Russia, a Kommersant source in the retail market told Kommersant. The company has already started shutting down its stores and plans to close the last facility by Dec. 10, he said. Another interlocutor of Kommersant from among consultants in the real estate market clarified that Triumph was unable to arrange the supply of its products to Russia after the outbreak of hostilities in Ukraine and a new wave of sanctions by Western countries against the Russian Federation, and therefore was forced to close outlets.

Triumph International was founded in 1886 in Germany, since 1977 the company’s headquarters has been located in Bad Zurzach in Switzerland, and operates in 45 countries, including Russia. Owned by members of the Spieshofer and Braun families. In addition to the main brand, it manufactures and sells products under the Sloggi and AMO`s Style brands from Triumph.

Triumph has been operating on the Russian market since 1995. In 2021, the revenue of Triumph International LLC was at the level of 700 million rubles, net profit was 27.8 million rubles. According to Yandex.Maps, more than 40 stores operate under the brand name in Russian cities. The Russian division of Triumph did not answer the calls of “Kommersant”, the brand’s headquarters in Switzerland did not provide a comment.

In Russia, Triumph also opened partner stores and in recent years has focused on sales through marketplaces, says Marina Malakhatko, head of the CORE.XP retail department. According to the Moneyplace service, in January only Wildberries sold 6.8 million rubles worth of brand goods, in July – 7.6 million rubles. According to a Kommersant source in one of the marketplaces that works with Triumph, they did not receive information about the termination of supplies. Wildberries, Ozon and Yandex.Market declined to comment.

Evgenia Khakberdieva, regional director of retail real estate at Knight Frank Russia, does not expect an increase in vacancies or difficulties with leasing space if Triumph stores are closed. According to her, this brand operates in the middle price category, where Milavitsa, Palmetta and Stilpark brands are also present. Stockmann CEO Gennady Levkin also adds that the player’s departure from the market will be noticeable only to the brand’s loyal audience, while both Russian players specializing in the sale of lingerie and foreign ones remain on the market, for example, Intimissimi and Tezenis, members of the Calzedonia group.

Franshiza.ru portal expert Anna Rozhdestvenskaya believes that if the Russian division does not arrange deliveries, her partner stores will most likely have to close or move into the category of multi-brand outlets, since there are actually no alternatives to Triumph on the market for franchised entrepreneurs . As Ms. Rozhdestvenskaya notes, as a rule, in every shopping center of the “regional” class and above, where the chain’s stores were mainly opened, a standard set of major lingerie brands is already presented, and it is unlikely that holders of the Triumph franchise will be able to find an equivalent among those remaining in Russia. .

Triumph is not the only brand in the lingerie category that is leaving the Russian market due to the crisis due to the Russian military operation in Ukraine. In June, the American company Victoria`s Secret announced plans to curtail business in the country. And since spring, the work of outlets of the Oysho brand, which is part of the Inditex holding, as well as the Women’secret stores of the European Tendam group, has been suspended.

Nikita Shchurenkov