Online Retailer Takes Over Physical Locations
- Majestic Wines to close all stores and rebrand as Naked
- Company acquired Naked Wines for £70m in 2015
- Almost 45% of business comes through online channels
- International sales make up 20% of total sales
- CEO believes Naked Wines has potential for strong growth
- Company on track to hit £500m in sales this year with healthy profits
- Shares fell by 8% following the news
Majestic Wines has announced its decision to close all of its 200 retail stores and rebrand as Naked Wines, the online retailer it acquired for £70m in 2015. The company stated that almost 45% of its business comes through online channels, with international sales making up 20%. CEO Rowan Gormley believes Naked Wines has potential for strong sustainable growth and aims to minimize job losses during store closures. Majestic Wines is on track to hit £500m in sales this year with healthy profits. Shares fell by 8% following the announcement.
Factuality Level: 9
Factuality Justification: The article provides accurate and objective information about the rebranding of Majestic Wines to Naked Wines, the reason behind it, and the impact on its retail stores. It also includes relevant financial details such as sales and profits.
Noise Level: 3
Noise Justification: The article provides relevant information about a business decision made by Majestic Wines to rebrand and move its operations online, with some details on the company’s financial performance. However, it lacks in-depth analysis or exploration of long-term trends or consequences for stakeholders.
Financial Relevance: Yes
Financial Markets Impacted: Majestic Wines and Naked Wines stocks
Financial Rating Justification: The article discusses a company’s decision to close all its retail stores, move online, and rebrand, which will impact the stock prices of both Majestic Wines and Naked Wines, making it financially relevant.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the text.
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