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True Religion, a Los Angeles based clothing brand known for their "premium denim," has filed for bankruptcy protection.

Over the last few years, the company has lost sales as consumers ditch brick-and-mortar stores for online shopping. The company took this action in an attempt to reduce their debt (by a projected $350 million) and reposition their brand for the current digital retail market.

Why it matters: True Religion is yet another example of a retail company that has struggled to adapt to the changes in the industry and increase their online presence.

Go deeper: Axios Expert Voices explores the death of brick-and-mortar stores and whether anything can stop it.

True Religion files for bankruptcy protection

It's another example of brick-and-mortars losing to e-commerce.

Business

True Religion, a Los Angeles based clothing brand known for their &quot;<a class="gtmContentClick" data-vars-link-text="premium denim" data-vars-click-url="http://fortune.com/2017/07/05/true-religion-has-filed-for-chapter-11-bankruptcy/" data-vars-content-id="10276564-cfa6-4844-a5bc-3531eabca3e2" data-vars-headline="True Religion files for bankruptcy protection" data-vars-event-category="story" data-vars-sub-category="story" data-vars-item="in_content_link" href="http://fortune.com/2017/07/05/true-religion-has-filed-for-chapter-11-bankruptcy/" target="_blank">premium denim</a>,&quot; has filed for bankruptcy protection.Over the last few years, the company has lost sales as consumers ditch brick-and-mortar stores for online shopping. The company took this action in an attempt to reduce their debt (by a projected $350 million) and reposition their brand for the current digital retail market.Why it matters: True Religion is yet another example of a retail company that has struggled to adapt to the changes in the industry and increase their online presence.Go deeper: <a class="gtmContentClick" data-vars-link-text="Axios Expert Voices explores the death of brick-and-mortar stores" data-vars-click-url="https://www.axios.com/the-death-of-brick-and-mortar-retail-1513302868-5577a4ba-f9f5-4544-997c-1022fc0790d5.html" data-vars-content-id="10276564-cfa6-4844-a5bc-3531eabca3e2" data-vars-headline="True Religion files for bankruptcy protection" data-vars-event-category="story" data-vars-sub-category="story" data-vars-item="in_content_link" href="https://www.axios.com/the-death-of-brick-and-mortar-retail-1513302868-5577a4ba-f9f5-4544-997c-1022fc0790d5.html" target="_self">Axios Expert Voices explores the death of brick-and-mortar stores</a> and whether anything can stop it.

Michael Kors is one of the leaders of the "accessible luxury market", but has recently struggled as customers have been drawn to more stylish, high-end brands, like Jimmy Choo. That's part of the reason Michael Kors Holdings is buying the luxury footwear brand for $1.2 billion — to tap into this market and expand their customer base.

In May, there was talk of a buy-out battle between Coach and Michael Kors for one of their competitors: Kate Spade. Coach ultimately bought the company for $2.4 billion. After this sale, MK was still looking for a way to boost sales and compete in the high-end, luxury market, and Jimmy Choo was the perfect fit. Michael Kors plans to expand both Jimmy Choo's online presence and retail stores.

As brick and mortar sales decline, it has become increasingly hard for luxury brands to maintain sales and grow their customer base.

Michael Kors Holdings to buy Jimmy Choo for $1.2 billion

They're hoping to expand their customer base.

Michael Kors is one of the leaders of the <a class="gtmContentClick" data-vars-link-text="&quot;accessible luxury market&quot;," data-vars-click-url="https://www.nytimes.com/2017/07/25/business/dealbook/jimmy-choo-michael-kors.html" data-vars-content-id="5626bc1a-0e7c-4d4e-8572-36f265961418" data-vars-headline="Michael Kors Holdings to buy Jimmy Choo for $1.2 billion" data-vars-event-category="story" data-vars-sub-category="story" data-vars-item="in_content_link" href="https://www.nytimes.com/2017/07/25/business/dealbook/jimmy-choo-michael-kors.html" target="_blank">&quot;accessible luxury market&quot;,</a> but has recently struggled as customers have been drawn to more stylish, high-end brands, like Jimmy Choo. That&#x27;s part of the reason Michael Kors Holdings is buying the luxury footwear brand for $1.2 billion — to tap into this market and expand their customer base.In May, there was talk of a <a class="gtmContentClick" data-vars-link-text="buy-out battle" data-vars-click-url="https://www.reuters.com/article/us-jimmy-choo-m-a-michael-kors-idUSKBN1AA0JL" data-vars-content-id="5626bc1a-0e7c-4d4e-8572-36f265961418" data-vars-headline="Michael Kors Holdings to buy Jimmy Choo for $1.2 billion" data-vars-event-category="story" data-vars-sub-category="story" data-vars-item="in_content_link" href="https://www.reuters.com/article/us-jimmy-choo-m-a-michael-kors-idUSKBN1AA0JL" target="_blank">buy-out battle</a> between Coach and Michael Kors for one of their competitors: Kate Spade. Coach ultimately bought the company for $2.4 billion. After this sale, MK was still looking for a way to boost sales and compete in the high-end, luxury market, and Jimmy Choo was the perfect fit. Michael Kors plans to expand both Jimmy Choo&#x27;s online presence and retail stores.Why it matters:As brick and mortar sales decline, it has become increasingly hard for luxury brands to maintain sales and grow their customer base.

Bridget Walsh

Stories

Michael Kors Holdings to buy Jimmy Choo for $1.2 billion

True Religion files for bankruptcy protection