According to Russian business daily Kommersant, the business will take a step back in Russia and have a digital retail presence via its e-shop.
The Russian arm of Longchamp was created back in 2014, when it took over the business of two long-established franchisees in Moscow and St Petersburg. An additional store was opened in the Russian capital in 2017.
In 2019, the division reportedly generated revenues of €3.28M (RUB263.4M), but suffered losses for €260,000. The lockdown imposed in Russia in the spring, and the slow recovery that followed, put the company’s cash flow under severe pressure. A problem that isn’t felt in Russia alone, since Longchamp recently closed down its Madrid flagship, according to Spanish news site El Confidencial.
