View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
January 18, 2019

Clarks to close cutting-edge UK footwear factory

By Beth Wright

Less than two years after setting up a new facility to restart its UK footwear production, Clarks is to close the unit after failing to meet production and cost targets.

Free Whitepaper
img

What is the impact of historically high inflation on the UK consumer landscape?

The average UK consumer is experiencing a severe cost-of living crisis as inflation surges to a forty-year high and the price of goods continues to rise. This shock is the result of the sharply increasing costs of commodities, energy, and the ongoing conflict in Ukraine, and is threatening FMCG manufacturers, retailers, and foodservice operators’ ability to survive and grow. Inflation will have a profound effect on many consumer-facing industries in 2022 and beyond. Consult GlobalData’s new whitepaper, Inflation in the UK: The Impact of Historically High Inflation on the UK Consumer Landscape, to better understand shifts in consumer behavior and their impact on spending patterns, as well as the implications for UK businesses. This whitepaper covers:  
  • Why has global inflation returned with a vengeance?
  • What is the current inflation situation in the UK?
  • What impact is inflation having on UK retail sales?
  • What tactics are businesses relying on to tackle the effects of high inflation?
  • How are consumers changing their behaviors to cope with the higher cost of living?
  • Which industry sectors are most vulnerable to reduced consumer demand?
  • How is the government responding to high inflation?
  • How long will high inflation last in the UK?
  • How can your company survive and thrive in a high inflation environment?
Enter your details here to receive your free whitepaper and ready your business for these increasingly uncertain times.
by GD50 Custom
Enter your details here to receive your free Whitepaper.

The company first announced plans for the ‘Morelight’ pilot manufacturing concept at its headquarters in Street, Somerset, in 2017 – saying it would focus on the use of “cutting-edge technology” for greater speed to market and greater flexibility and innovation in design.

The manufacturing unit was expected to create up to 80 jobs and was tipped to produce up to 300,000 pairs of desert boots a year – around half of the annual capacity of desert boots produced for the company globally. At the time, Clarks said the facility would mark the first time it has manufactured in the UK for over a decade, since closing its factory in 2006.

It had also planned to roll out up to ten similar production units at other locations across the US, Europe and Asia over the next 3-5 years to produce not only boots, but a range of women’s, children’s and men’s footwear.

Now, the footwear group is to cease production at Morelight and close the facility. 

“At Clarks, we are constantly evaluating the way we do business, keeping the ever-changing retail landscape and our customers’ needs front of mind,” the company said in a statement to just-style.

“In 2017 we announced Morelight, a pilot of our manufacturing concept in Street. Despite best efforts, we have determined that the levels of production and cost targets we hoped for will not be reached in the short to medium term. We are therefore proposing to cease production and close the facility and will now enter a period of consultation into the viability of Morelight.”

Clarks sources its footwear from Vietnam, primarily, but also from Cambodia, India, and Europe – mostly Italy and Romania – with some production also coming from the UK, although very small amounts. 

Related Companies

Free Whitepaper
img

What is the impact of historically high inflation on the UK consumer landscape?

The average UK consumer is experiencing a severe cost-of living crisis as inflation surges to a forty-year high and the price of goods continues to rise. This shock is the result of the sharply increasing costs of commodities, energy, and the ongoing conflict in Ukraine, and is threatening FMCG manufacturers, retailers, and foodservice operators’ ability to survive and grow. Inflation will have a profound effect on many consumer-facing industries in 2022 and beyond. Consult GlobalData’s new whitepaper, Inflation in the UK: The Impact of Historically High Inflation on the UK Consumer Landscape, to better understand shifts in consumer behavior and their impact on spending patterns, as well as the implications for UK businesses. This whitepaper covers:  
  • Why has global inflation returned with a vengeance?
  • What is the current inflation situation in the UK?
  • What impact is inflation having on UK retail sales?
  • What tactics are businesses relying on to tackle the effects of high inflation?
  • How are consumers changing their behaviors to cope with the higher cost of living?
  • Which industry sectors are most vulnerable to reduced consumer demand?
  • How is the government responding to high inflation?
  • How long will high inflation last in the UK?
  • How can your company survive and thrive in a high inflation environment?
Enter your details here to receive your free whitepaper and ready your business for these increasingly uncertain times.
by GD50 Custom
Enter your details here to receive your free Whitepaper.

Topics in this article:
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Style