News, Culture & Society

Boohoo launches probe after same products were sold for different prices across its fashion labels 

Online fashion retailer Boohoo sold the same products for different prices across a number of its fashion brands, a probe revealed. 

Price disparities include selling a coat for £89 at Oasis with the same product listed as £65 at Dorothy Perkins.

Another product was being sold for £34 more via the Coast clothing website than it was listed as on the Dorothy Perkins website.

In pictures that will raise questions for the retailer, it appears the Dorothy Perkins branding was also cut off from the label of the product sold to Coast customers. 

The retailer is investigating the differences across the Boohoo-owned brands and say that the error was ‘not intentional’. 

A BBC investigation found that Boohoo were selling the same coat on Dorothy Perkins’ website and via the Coast brand – both owned by the fast fashion giant – for different prices

It also appears the Dorothy Perkins branding was cut off from the label of the product sold to Coast customers, according to the BBC

It also appears the Dorothy Perkins branding was cut off from the label of the product sold to Coast customers, according to the BBC

The fast fashion retailer carving up the High Street: Boohoo’s growing list of brand acquisitions

Retail giant Boohoo, which targets fashion for young twenty-somethings, was founded in 2006.

Boohoo owns several different brands after buying up businesses when their owners fell into administration.

Boohoo rescued MissPap, Karen Millen, Coast and the Warehouse and Oasis brands after all three entered administration at the height of the pandemic. 

In February they also announced a £25.2million deal to buy Dorothy Perkins, Wallis and Burton after Sir Philip Green’s Arcadia empire collapsed amid the pandemic.

The online retailer said they would be buying the brands and stock but would shut all 214 physical stores, concessions or franchises with 2,450 job losses.

The chain also rescued department store chain Debenhams in January.

Their £55 million deal involved taking the company online-only.   

Fashion giant Boohoo owns several different brands after buying up businesses when their owners fell into administration.

In February they announced a £25.2million deal to buy Dorothy Perkins, Wallis and Burton after Sir Philip Green’s Arcadia empire collapsed amid the pandemic.

The online retailer said they would be buying the brands and stock but would shut all 214 physical stores, concessions or franchises with 2,450 job losses.

Fast fashion giant Boohoo, which is owned by billionaire Mahmud Kamani, also owns PrettyLittleThing, Nasty Gal, MissPap, Karen Millen, Coast and the Warehouse and Oasis brands.

The price differences across some of their brands were discovered following a BBC investigation.

According to their findings, a ‘luxe’ padded coat was originally sold for £89 at Oasis but was retailing for £65 at Dorothy Perkins.

The same coat in a khaki colour, instead of mushroom, was in the sale for £30 in Warehouse and £66.75 in Coast.

The price of both products has now been changed to £18. 

Changes have also been made to the price of the coat selling on both Dorothy Perkins and Coast’s website, with customers now offered the product for £17. 

Boohoo told the BBC the ‘miscommunication was not intentional’ adding: ‘All Boohoo group brands work independently, and so this miscommunication was not intentional as teams are not privy to what’s being bought and sold across the other group brands.’

The BBC investigation found a 'luxe' padded coat was originally sold for £89 at Oasis but was retailing for £65 at Dorothy Perkins

The BBC investigation found a ‘luxe’ padded coat was originally sold for £89 at Oasis but was retailing for £65 at Dorothy Perkins

The same coat in a khaki colour, instead of mushroom, was in the sale for £30 in Warehouse and £66.75 in Coast

The same coat in a khaki colour, instead of mushroom, was in the sale for £30 in Warehouse and £66.75 in Coast

‘Our internal investigation continues and we will be re-pricing all the crossover stock to be aligned.’ 

Fast fashion giant Boohoo, which is owned by billionaire Mahmud Kamani, (pictured) also owns PrettyLittleThing, Nasty Gal, MissPap, Karen Millen, Coast and the Warehouse and Oasis brands

Fast fashion giant Boohoo, which is owned by billionaire Mahmud Kamani, (pictured) also owns PrettyLittleThing, Nasty Gal, MissPap, Karen Millen, Coast and the Warehouse and Oasis brands

The retailer is no stranger to controversy.

Investigations over the past five years revealed concerns over low pay and poor working conditions at their Leicester clothes factories.

The working conditions at the factories were further highligted when there was an outbreak of Covid amongst the workers at the start of the pandemic. 

A damning report released last year also indicated directors were aware of questions over its supply chain much earlier after reporters and politicians raised the issue. 

Boohoo was founded by Indian-born businessman Mahmud Kamani, 55, who before launching the company started his business selling handbags at a traders’ stall in Manchester. 

He spotted the potential of internet sales and set up his online retailer in 2006 with the aim of delivering their own-branded fashion at rock bottom prices.

It since became synonymous with the wildly popular, yet equally controversial, fast-fashion phenomenon. 

Its sales topped £850 million in 2019, propelling Mr Kamani to 131st place on The Sunday Times Rich List, with a family fortune of £1.16 billion. 

Boohoo was contacted by Mail Online for comment.  

Indian-born billionaire who launched fast fashion firm Boohoo from Manchester market stall and expanded online with his playboy children

Boohoo founder Mahmud Kamani, pictured right, alongside his son Umar, didn't want to spoil his children, but helped them set up Pretty Little Thing

Boohoo founder Mahmud Kamani, pictured right, alongside his son Umar, didn’t want to spoil his children, but helped them set up Pretty Little Thing

The Indian-born founder of fast-fashion company Boohoo grew his Manchester market stall into a £2.6billion business.

Before Boohoo shot onto the ever-growing fast fashion scene, its owner Mahmud Kamani, 55, sold handbags in traders’ stall.  

He spotted the potential of internet sales and set up his online retailer in 2006 with the aim of delivering their own-branded fashion at rock bottom prices.

It since became synonymous with the wildly popular, yet equally controversial, fast-fashion phenomenon. 

Its sales topped £850 million in 2019, propelling Mr Kamani to 131st place on The Sunday Times Rich List, with a family fortune of £1.16 billion.

Mr Kamani’s parents, who were originally from India, arrived in Manchester from Kenya in 1969 when his father was just two years old.

The Kamanis were forced to flee to Britain by increasing unrest and draconian employment laws that favoured native Kenyans.

Entrepreneurial Mahmud sold handbags on a market stall. He invested his money wisely in property and began a wholesale business, Pinstripe, sourcing garments from India.

By the early 2000s, the company was selling £50 million-worth a year to high street brands such as Topshop and Primark, which led to Mahmud setting up the Boohoo brand in 2006. 

The company’s growth quickly skyrocketed and is now believed to be worth £2billion or more and employing 2,352 people.  

Read more at DailyMail.co.uk