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Mothercare Agrees Franchise Deal With Boots

The Mothercare brand looks set to maintain a presence on the UK high street following the news that the company has agreed a deal to supply its baby products to Boots.

Mothercare is currently in the process of closing its remaining 79 UK stores in order to focus on its profitable overseas franchise business and online activities.

The Boots franchise agreement will see the health & beauty retailer distribute Mothercare-branded products exclusively in the UK from July 2020. Larger Boots stores will stock Mothercare clothing, home and travel products, including pushchairs and car seats. Mothercare will have branded in store concessions in selected Boots stores, and the range will also be sold through Boots online operation.

Mark Newton-Jones, CEO of Mothercare commented: “In Boots, another much loved British heritage brand, we believe that Mothercare has found the right home in the UK. Boots is at the heart of one of the largest healthcare businesses in the world, and Mothercare will fit in as the specialist brand for parents and young children in both Boots stores and online.”

He added: “This partnership between Mothercare and Boots UK brings certainty and scale to our continuing group. These are exciting times as we enter into these new arrangements with a partner of the scale, scope and stature of Boots.”

Boots is currently in the process of trying to re-invigorate its offer to lift sales and fight off increased competition from value-oriented chains and online beauty retailers.

Commenting on the deal, Seb James, Managing Director of Boots UK, said: “This is great news and brings together two much-loved British brands on the UK high street. We are a great fit with more than 200 years of combined experience helping families to look after their children’s health and wellbeing.”

NAM Implications:
  • A no-brainer fit for each player…
  • Optimised use of space for Boots…
  • …and restoration of a bricks & mortar presence for Mothercare.
  • Time to reassess relative competitive appeal in the baby-care department?