J.Crew is preparing to open a new retail chain, called J.Crew Mercantile, that will focus on being budget friendly.
J.Crew filed a trademark for a new store name on November 25. According to the filing, the company will use this to open a new chain of retail stores. The retail chain is currently looking for locations to open its new Mercantile stores. The new Mercantile stores are expected to have prices similar to the company’s Factory outlets, reports Bloomberg.
J.Crew Mercantile could be what the company needs to make more sales, but it could also harm the company’s main retail locations.
“Retailers would rather cannibalize themselves than have someone else do it,” Liz Dunn, an analyst with Macquarie Securities, told Fox News.