Loyalty to rescue for Roger David

CUSTOMER loyalty may save struggling menswear chain Roger David from collapse — giving hope to the two Tasmanian stores and their 15 workers.

Surging sales have reinvigorated the retailer just a week after Roger David announced it had gone into voluntary administration and was closing.

Sales have soared so much around the country — including in Hobart and Launceston — that a potential buyer is now on the horizon.

Administrator KordaMentha said sales had more than doubled in the past week as a result of a nationwide 50 per cent off sale.

“There is now a possibility that there may be a buyer,” administrator Craig Shepard said. “Expressions of interest have been coming from interested parties, who were shying away a few weeks ago,” he said.

“They have seen the outpouring of support for the brand on social media and in the stores. They are having a second look.

“We will assess all the options and have an update for creditors at their first meeting next week.”

Customers have been flooding in to the Hobart store, which has eight employees, in the past week. Sales are also up in Launceston, where there are seven employees.

The Australian fashion chain, which has 57 stores across Australia, went into voluntary administration last Thursday after 76 years in the business.

The news prompted a flood of love for #rogerdavid on social media, which translated into actual sales.

The closing down sale was intended to raise as much cash as soon as possible to help pay employee entitlements.

“But it has turned into something much bigger than that. It has brought out an amazing wave of support and loyalty for a household Aussie brand,” Mr Shepard said.

“Employees who were staring unemployment in the face have shown amazing loyalty and helping to push sales.

“The response has encouraged us to roll out large volumes of summer stock into the stores.”

When Roger David announced its decision to close last week, the chain said it had been unable to compete in the current tough retail environment, citing new international competitors and the rapid evolution of online shopping.

The company had been seeking other options but there was little interest.