Yahoo Finance Dr Martens to add £10 to price of its footwear because of rising costs
Dr Martens will raise the price of its famous footwear by £10 a pair next summer, after the shoemaker said increases in the price of raw materials and transport had added to its costs.
The British brand said prices would rise in both Europe and the US as the cost of almost every aspect of its footwear had gone up – including the leather, metal eyelets, soles and shipping costs – because of demand for commodities and wage inflation.
“It is not one factor. We are just seeing general inflation in everything in every market,” said Kenny Wilson, the chief executive of Dr Martens, adding that the price rise was the first in two years. “We have been holding off on price increases, but we will need to [change that] as of autumn/winter next year.”
Wilson said the price rises, which will add £10 to the classic 1460 eight-holed boots in the UK, taking it to £159 a pair, were likely to be implemented in July.
Dr Martens revealed its plans as it reported a 16% rise in sales to £370m in the six months to 30 September. Pretax profits increased by 46% to £61.3m.
The company, which listed on the London stock market in January valued at £3.7bn, said business had bounced back as stores reopened around the world and shoppers continued to buy from its website. It said problems with factory stoppages in Vietnam because of the pandemic had been overcome by building up stocks last year and switching to alternative factories in China and elsewhere.
Wilson said the fashion for Dr Martens, and other hefty boots, in the UK was only a small part of the company’s growth story. “There is a long-term structural shift in the market. Women [going to work or for a night out] used to be wearing lots of heels. Now they are wearing trainers, Dr Martens and all kinds of footwear,” he said.
