Best&Less has announced it has dropped prices on two million items of clothing.
It claims the items of baby, kids, women’s and men’s clothing are now 19 per cent cheaper on average.
As inflation soars, the company, which has about 180 stores across Australia, said it was able to make the surprising move to lower prices because it is a volume retailer with “longstanding relationships with local and international suppliers”.
“We work incredibly hard to deliver outstanding value in our products and continued efficiency in our cost of doing business,” chief merchandising officer Linda Leonard said in a statement.
She added: “We understand that babies and children grow, and that replacing clothing is a cost that can’t be curbed.”
Best&Less promises 90 per cent of its products are $20 or less.
According to the latest monthly inflation data from the Australian Bureau of Statistics, the cost of clothing and footwear increased 5.7 per cent in the year to October.
Stream more business news live & on demand with Flash. 25+ news channels in 1 place. New to Flash? Try 1 month free. Offer available for a limited time only >
Inflation hit 7.3 per cent in September and slowed to 6.9 per cent in October.
The September data showed women’s clothing in particular was the main contributor to the increased cost of clothing and footwear of the previous 12 months.
In August, Best&Less revealed its net profit slumped 55.5 per cent to $36.11 million in FY22 – a year which included Covid store closures. The retailer posted an 8 per cent rise in revenue to $622.181 million.
At the time, Best&Less chief executive Rodney Orrock was positive looking forward, saying the company would benefit from parents looking for lower-cost clothing as cost of living pressures increase.
He said the retailer would selectively lift prices between 3 and 5 per cent to counter inflation, excluding children’s clothing, according to The Australian.
In September, it was announced Mr Orrock would be taking extended leave for medical reasons.