Flash Sale site SecretSales has made redundancies at its head office and other business functions as it repositions to a marketplace model, Drapers can reveal.
Last week the company axed 11 roles across its headquarters in London’s and its two remote offices, while a further seven employees were let go today. The roles are across the buying, digital and logistics teams.
The redundancies are thought to account for more than 20% of the company’s total head count.
It comes after the company was sold to platform business Lifestyle Retail Group (LRG) in August last year, for an undisclosed amount. LRG said it would transform SecretSales from a “campaign-led flash Sale company” to a multichannel off-price retailer, comprising a new marketplace, individual brand digital storefronts, consignment, wholesale, and physical pop-up shops across the European Union.
SecretSales is now led by LRG CEO Chris Griffin, former director of ecommerce at Superdry, and co-founder Matt Purt, former head of new business partnerships at Ebay.
Purt told Drapers: “We have now pivoted and moved to a pure marketplace only model. Consequently we have made some small adjustments to the teams and structures.”
Griffin added: “Since joining we have always said that the flash Sales model of trading is not a good model to operate for businesses and customers alike. We have always believed that the future is marketplace.
“As such, has gone marketplace-only showcasing hundreds of the world’s best brands. As we now no longer need to have a large logistics and buying function to support flash Sales we have made a small number of redundancies.
“We have 30 heads left out of 48 in total, and these roles lost were from the buying and logistics teams as we have moved to a marketplace only operation.”