Spanish fashion retailer Mango will end the store-within-a-store deal with JCPenney that began in 2010, shuttering 450 sales outlets by Q1 2016. Mango will maintain seven stand-alone stores in U.S. cities including New York and Miami, with plans to expand in key geographic locations, according to Reuters.
The “MNG By Mango” lines displayed at JCPenney were aimed at women aged 20 to 35 and designed specifically for the department store. Mango positioned this line as a more casual version of its classical designs, which it sells in its own 2,700 stores around the world.
Mango’s move comes amid plans by JCPenney to launch a new private label fast fashion brand called Belle + Sky, as the department store seeks to compete with retailers such as H&M, Zara and Forever 21, according to a report in just-style.
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The closures should have minimal impact on Mango’s revenue since the JCPenney outlets only accounted for 0.5% of its global sales.
