Head of Frasers Group Outlines Plans for Harvey Nichols
During Paris Fashion Week, Frasers Group will host its first event dedicated to the company’s luxury division. At the evening event, Michael Murray intends to present the development strategy for Harvey Nichols, reports Vogue.
The Frasers Group Luxury division includes Flannels, the American retailer The Webster, and the British department store Harvey Nichols, acquired on 13 August. The portfolio also includes Boss: in August, Frasers increased its stake in the company to 47.89%, and Murray recently became the chairman of the brand’s board of directors.
According to the head of Frasers Group, the event will help explain how the company plans to develop different parts of the luxury business and leverage their shared infrastructure. Murray stated that the company has acquired the buildings of Harvey Nichols in Edinburgh and Manchester and plans to renovate them. The work in Manchester is scheduled for next year. In London, Frasers is negotiating with the building owner in Knightsbridge—the company Cadogan. The group is prepared to invest significant funds in updating the store if both parties agree on lease terms. The stores in Bristol and Leeds are planned to be converted into Flannels.
Harvey Nichols already has stores in Riyadh, Dubai, Doha, and Kuwait. The company is considering expansion through franchise partners; partners in Georgia and India are interested in opening large department stores. Murray also noted that Harvey Nichols differs from Flannels in its audience and assortment and has a 200-year history that could hold international value.
In response to a question about layoffs, Murray said that with integration of this scale, reviewing and optimizing operations is inevitable. Earlier reports indicated layoffs within Frasers Group, including among employees at the stores in Bristol and Leeds, which are planned to be converted into Flannels.
Murray compared the acquisition of Harvey Nichols to the purchase of the online retailer Matches, which Frasers later placed into bankruptcy proceedings. According to him, the Matches model, with free delivery and returns, low margins, and high expenses, was difficult to make profitable. This experience, Murray stated, reinforced Frasers’ decision to focus on traditional retail, supplemented by online sales.
In the 2026 financial year, Frasers Group’s revenue grew by 8.7%, reaching 5.3 billion pounds sterling, while adjusted pre-tax profit declined by 4%, to 538 million pounds. The company did not provide a forecast for the 2027 financial year, citing uncertainty around takeover proposals and future investments.
