Penneys is refusing to sell online – here's why it is right to do so

Penneys is a good example of how an online offering is not always the right option for retailers

Customers queue outside Penneys on Cork's Patrick's Street. The retailer is one of the few high-street operators without a website. Picture Dan Linehan

Irish fast-fashion retailer Penneys has no plans to sell its clothes online. This is despite the company warning that lockdown store closures could cost it losses of more than €1.12bn. The retailer has shut 305 of its 389 global stores. Penneys trades as Primark outside Ireland and has announced a 30% sales fall to €2.25bn in the 16 weeks leading to January 2, adding that this loss could mean price rises.

While the retail giant has no online store to fall back on, the likes of online-only fashion retailers Asos and Boohoo, saw sales rise by 40% in the last four months of 2020. In fact, the Office for National Statistics says that online retail sales increased to 31.4% last November, compared with 28.6% reported in October - so it’s clearly unusual for Primark not to have a digital presence for shoppers.