Wourth Group’s strategic acquisition of Peter Hahn boosts turnover to £300m, despite global retail challenges.
- Wourth Group, former Woolovers, has strengthened its market position by acquiring Germany’s Peter Hahn.
- Post-acquisition, Wourth anticipates an annual turnover increase from £110m to £300m.
- Focused on a 50+ demographic, Wourth thrives using traditional and digital buying channels.
- Mike Lester’s leadership has seen a significant revenue growth with this strategic expansion.
Wourth Group, previously known as Woolovers, has made a significant business move by acquiring the German clothing brand Peter Hahn. This acquisition is expected to elevate the group’s annual turnover substantially from £110m to a remarkable £300m, marking a notable milestone in the group’s expansion strategy.
The acquisition of Peter Hahn is part of Wourth’s broader plan to revive brands through strategic buyouts of companies in administration, a tactic that has proven successful with previous purchases. Mike Lester, the Chief Executive of Wourth, highlighted that the acquisition aligns perfectly with the group’s focus on the 50+ customer demographic due to their brand loyalty and economic stability. This demographic alignment is crucial because it provides Wourth with a stable market base to ensure sustained growth.
To cater to the preferences of its mature clientele, Wourth Group has retained traditional marketing methods such as printed catalogues, complementing them with digital offerings. This ‘blended balance of digital, stores, catalogues, and direct communication’ is a strategic approach to reconnect with their customer base, as stated by Lester.
Following the acquisition, Wourth intends to expand its physical presence by opening eight new stores in the UK. This expansion includes locations in Salisbury, Cirencester, Northallerton, Taunton, Cambridge, Trentham, St Albans, and Bath. Moreover, in a move to meet customer preferences, Wourth has shifted Hotter Shoes’ production largely to the UK, with 75% now manufactured domestically, aiming to increase customer satisfaction with home-made products.
Peter Hahn continues to trade predominantly in Germany, Austria, Switzerland, and the Netherlands, despite the closure of its UK, French, and Nordic websites due to administrative challenges. The potential reopening of the UK website remains uncertain because of obstacles such as those posed by Brexit, but Wourth is exploring possibilities to reestablish their online presence if conditions allow.
The acquisition of Peter Hahn marks a strategic growth opportunity for Wourth Group, capitalising on a stable customer demographic and expanding its market footprint.
