J.Crew cuts budget Mercantile and Nevereven lines

Just two weeks after the departure of its chief executive officer,
J.Crew is making changes. The brand is shutting down its two
budget-friendly lines, Mercantile and Nevereven.

When former chief executive officer James Brett stepped down, he
alluded to disagreements with J.Crew’s board of directors as his
reason for leaving. The abrupt closures of its two lines seems to be
closely related.

In a company memo, J.Crew outlined the cuts to Mercantile and
Nevereven in favor of a focus on the J.Crew Factory outlet name.
J.Crew Factory carries the same collection as J.Crew, sold in outlet
stores. “We believe that a ‘good’ price tier opportunity is better
served by the J.Crew label,” the memo, which had been leaked to the
Wall Street Journal, stated.

Mercantile launched on Amazon just three months ago. It was
originally instated in 2015 by previous chief executive officer Mickey
Drexler and holds 42 physical stores. The line will be phased out in
spring 2019.

Drexler’s original intention of the Mercantile line was to bring
well-priced items closer to shoppers, with stores in residential
areas, as opposed to outlet stores further away. Drexler never wanted
J.Crew products to be sold through Amazon.

The Nevereven line only launched 16 days ago. It carries clothing
and accessories with a simple aesthetic, with an average item price of
59 dollars.