The Body Shop, which is a pioneer in ethical beauty retail, has commenced the cessation of its U.S. operations as of March 1. This decision comes as part of a broader restructuring effort that also affects the brand’s presence in Canada and the U.K.
Founded in 1976 by Anita Roddick, The Body Shop was celebrated for its commitment to fair trade and cruelty-free products. The British brand’s ethos was part of the leading factors that resulted in its rapid expansion, since their stance was well-received by customers. At its peak, The Body Shop operated stores in around 80 countries, with many locations run through franchises.
However, the recent years have seen the company struggle financially. In a move to address these challenges, The Body Shop’s Canadian subsidiary began liquidation of 33 stores, while the U.K.-based retailer appointed insolvency administrators to explore all options for the business’s future.
In the U.K., the administrators have announced plans to close 82 of the 198 stores, with these closures expected to occur over the next five weeks according to The Associated Press. The Body Shop North America has not yet provided specifics regarding the timing of U.S. store closings and liquidation.
The beauty and cosmetic brand’s journey has seen several ownership changes over the years. After being sold to L’Oreal in 2006, the brand was later acquired by Natura in 2017. Most recently, in late 2023, Aurelius, a private equity firm purchased The Body Shop for $261 million.
Despite these efforts, The Body Shop has faced an “extended period of financial challenges,” coinciding with a difficult trading environment for the wider retail sector.
The brand’s commitment to ethical practices in business, once a unique selling point, has faced increasing competition in a market where such values have become more mainstream.
