The vanishing middle: What three retail brand closures in a week tell us

The vanishing middle: What three retail brand closures in a week tell us

Over the past week alone, three legacy Australian retail brands announced permanent closures: Glue Store, Barbecues Galore, and Lincraft. An RMIT expert explains that these were not failing businesses that lost relevance overnight, but reflect a wider shift in the mid-market retail sector.

Associate Professor Carol Tan, School of Fashion and Textiles: 

"These brands span fashion, outdoor lifestyle, and craft, which tells us this is not a sector-specific crisis but a fundamental shift in the fortunes of physical, mid-market retail.

“These were not failing businesses that lost relevance overnight. What undid them was a combination of cost-of-living pressure, rising operational costs, and a fundamental shift in how Australians shop.

“It is telling that Glue’s own parent company, Accent Group, continues to operate specialty sneaker and streetwear formats successfully. They didn’t exit physical retail. They exited the undifferentiated middle of it.

“Australian brands which succeed build tight, loyal communities around a specific identity. They own their customer relationships directly rather than relying on third-party retail. They are digital-first but not digital-only, using physical presence strategically rather than as their primary distribution model. And they stand for something specific enough that customers seek them out.

“Physical retail isn’t dying, but what consumers have stopped doing is making trips for retailers that give them no compelling reason to be there.

“These three closures in a single week are not a story about the death of retail stores. They are a story about the death of the undifferentiated middle.

“Succeed at the value end, succeed at the experience and specialty end, and you will have customers. Exist somewhere vaguely in between with nothing distinctive to offer, and you won’t.”

Dr Carol Tan is an Associate Professor and Program Manager of the Master of Fashion (Entrepreneurship) specialising in entrepreneurship, sustainability, and the evolving fashion landscape.

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General media enquiries: RMIT External Affairs and Media, 0439 704 077 or news@rmit.edu.au

19 June 2026

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19 June 2026

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