DTC’s Daily Digest brings you the latest news on the world’s fastest growing direct-to-consumer brands. In today’s edition: Express introduces UpWest; Purplebricks’ struggles continue; and Monzo trebles size of London HQ. 

Express introduces UpWest

Express has introduced a new direct-to-consumer brand, UpWest, according to a company press release. 

The brand will include casual apparel, loungewear and sleepwear for men and women, and will also have home goods and wellness items from third party vendors. The brand will also debut a mobile pop-up concept that will travel across the U.S. to major cities, including Chicago, Denver, Nashville, Austin, and Columbus.

UpWest, a "purpose-driven lifestyle brand," as Express refers to it, may be a way for the company to diversify its offerings as so many apparel retailers struggle. So far this year, 11 of the 17 major retail bankruptcies were filed by companies that mostly sell apparel or footwear. Morgan Stanley stated that the top dozen global apparel retailers, on average, have seen earnings downgrades of nearly 40% since 2016. 

Additionally, UpWest's focus on comfort may play to its favour as fashion continues to find success with athleisure brands (a rare area of growth in apparel retail) and as traditional workwear continues to evolve. 

Purplebricks’ struggles continue

Online estate agent Purplebricks has seen flat H1 revenue, as the UK’s property market remains weak, with falling home sales volumes in the South East causing the bulk of this disruption. 

As it turned its focus to the UK and Canada businesses after exiting its loss-making businesses in the United States and Australia this year, the online estate agent said it enjoyed profitable trading in the first half.

The company, which expects to be cash-positive across the UK and Canada this year, said its Canadian business has performed better than expected.

Purplebricks has had a rough year that saw the departure of co-founder and CEO Michael Bruce and change in ownership after the Bruce family disposed of its stake to Axel Springer, making the German media company its largest shareholder.

The company, which has used a low-fee model to win business from bigger, established estate agents, also said it maintained its 4% overall market share.

Embattled investor Neil Woodford sold his stake in the company earlier this year, and fund administrator Link Fund Solutions owns 13.24% of Purplebricks.

Monzo trebles size of London HQ

Fast-growing digital challenger bank Monzo has inked a deal to treble the size of its London HQ.

The four-year-old app-based bank, which is used by over 3 million people, will start to relocate next year to over 120000 square feet at Broadwalk House near Liverpool Street station. It will move from around 40,000 square feet nearby which it has outgrown.

Broadwalk House sits on the Broadgate offices and retail estate. It is owned by British Land and Singapore’s sovereign wealth fund GIC.

Property developer Derwent London yesterday said it had agreed £33.5 million of new lettings in the year to date, up from £23 million in the same period in 2018. 

Chief executive Paul Williams said firms have been flocking to sign deals for Derwent’s buildings above Elizabeth line stations. A number of landlords have seen high occupier demand in London, despite political and economic uncertainty.

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