Discount retailer TK Maxx has announced plans to open several stores in Australia.
Owned by US-based parent company TJX Companies Inc, TK Maxx — a staple on the UK high street and shopping centres — is believed to become the first major “off-price” retailer down under.
While TJX Companies has not yet revealed the exact location and date of the opening of its first Australian TK Maxx store, there are plans to open 35 of them by April.
The stores will take over the former Trade Secret stores, an Australian retailer that TJX Companies acquired from Gazal Corporation for more than $80 million AUD (£49 million).
TJX Companies said there was a potential market for discount retailers in Australia.
“Our off-price model is unique to the market,” TJX spokesperson Tessa Buenen told Inside Retail.
“Australian shoppers are extremely savvy and value-orientated, so we think our offer is going to be a winning formula here and we‘re very excited about our growth opportunities for this market.”
TK Maxx is known for offering customers new fashion items each week at the fraction of the normal retail price, hence encouraging them to buy more before the item disappears the next week.
The brand is expected to face competition wither from local mid-range retailers Kmart and Target or department store chains Myer and David Jones.
“We expect Australian shoppers will love TK Maxx, just as we have experienced across the UK and Europe,” Buenen said.
“There‘s certainly lots of expats and Australians here who are already familiar with the brand so we‘re excited to bring TK Maxx to Australian shores.”
Buenen did not reveal further details on the TK Maxx strategy for Australia or what brands the stores would stock.