rector of Kitsuné Group, told The Business of Fashion.  At a time when consumers are becoming increasingly cost-conscious amid tariff-related concerns and the rising cost of living, it can be difficult for retailers, especially those based outside of the US market, to justify maintaining a strong physical retail presence.  Difficult, but not impossible. While some brands like Maison Kitsuné are pulling back on brick-and-mortar in the US, others, like Hoka, are experiencing better performance rates via their brick-and-mortar channels than with their digital ones. According to Stefano Caroti, CEO of Hoka’s parent company Deckers, Hoka’s retail channel performed significantly better than e-commerce in Q1. “Our observations indicate that while consumers often search for deals online, brick-and-mortar stores remain the primary venue for full-price sales, aligning with the feedback received from our retail partners,” Caroti reportedly told investors this week. “Our continued journey to thoughtfully expand wholesale doors plays well into this marketplace dynamic.” Despite the challenges of maintaining a physical retail presence in the US, industry experts say it’s worth the effort, though it requires a clear strategy.  Why is Maison Kitsune pulling back on brick-and-mortar in the US? This is the second time Maison Kitsuné has pulled back its physical presence in the US market. In 2012, Maison Kitsuné partnered with the luxury accessories brand Want Les Essentials to open a location in New York City’s NoMad Hotel, before opening a second location in NYC’s Lower East Side in 2015.  By 2016, the two partners had split up, and both locations were shut down. Maison Kitsuné took a hiatus from the American retail scene before returning with a new flagship location in NYC in 2017. It’s currently unclear whether the brand plans to reopen physical locations in the US in the future; however, Lellouche noted that North America will remain a priority for the company’s growth. “We are actively exploring new ways to reinvent our presence, while continuing to offer our collections through our e-commerce platform and a network of selected wholesale partners,” said Lellouche.  Retail Strategy Group’s Liza Amlani believes Maison Kitsuné‘s decision to close all US stores is “a huge mistake”. “It’s a drastic move when physical stores are important in customer acquisition and brand awareness,” Amlani pointed out.  This is especially important for a brand like Maison Kitsuné, which flows between the worlds of fashion, culture and hospitality, with its apparel-related offerings and standalone cafes. “You can’t win in this space without a physical space. But you need to have a clear point of view to pull off magic, which is directly connected to building the brand through a physical outlet,” Amlani said. Between the company’s wholesale retail efforts, music and hospitality projects, the launch of Kitsuné Ventures, a private equity firm, in 2021 and its investment in virtual try-on in 2024, Amlani commented that the brand may be “doing too much and trying too hard to do it all.” She also noted the “excessive markdowns of what looks like seasonless and basic silhouettes and colors on their website.” In her view, Maison Kitsuné should keep one store open in NYC and use customer feedback to help refine its product assortment and sizing.  “The brand needs to simplify what it stands for and clearly communicate their brand DNA,” said Amlani. “Their merchandising and marketing need to work together to make sure the product mix and store experience clearly reflect the brand ethos. This is the only way they will be successful as both a DTC and growing wholesale brand.” Why brick-and-mortar is still relevant for omnichannel growth For all the focus on digital shopping channels in recent years – from Roblox to live shopping platforms – there are still many untapped opportunities in brick-and-mortar retail.  According to market research firm eMarketer, brick-and-mortar stores accounted for 82.9 per cent of US retail sales in 2024. Additionally, while e-commerce giants like Amazon and TikTok Shop have made online shopping easier than ever, many customers are increasingly craving in-store experiences, including digital natives like Gen Z. According to a June 2025 report on Gen Z consumer behavior released by architecture and design firm MG2, two out of five Gen Z consumers are shopping mostly or entirely in-store in 2025, compared to just one in three in 2023.  In addition, 38 per cent of Gen Z shoppers remarked that feeling remembered or welcomed by staff is likely to make them feel more loyal to a brand.  CI&T’s global director of retail strategy Melissa Minkow said the key factors for a successful brick-and-mortar presence in today’s market are expertise in engaging with consumers, product knowledge and convenience.  “Sales associates need to be readily available to help shoppers through the purchase decision process in an informed way, and the whole shopping experience must be easy and fast,” she stated.  Minkow believes Hoka excels in brick-and-mortar spaces thanks to its knowledgeable sales associates, who are always available to shoppers, and an easy-to-view assortment of products on display.  “Their stores aren’t overly complicated, [they’re] just a great place to try on and shop the products. The brand has a clear understanding of what consumers want out of the process,” said Minkow.  Minkow added that it’s also important for brands to engage in bonus offerings such as fun, interactive activations in-store. Further reading: How Hoka stands out in a hypercompetitive sneaker market