{"id":217058,"date":"2024-03-26T09:26:44","date_gmt":"2024-03-26T09:26:44","guid":{"rendered":"https:\/\/michigandigitalnews.com\/index.php\/2024\/03\/26\/outdoor-voices-abruptly-closed-all-its-stores-and-laid-off-most-of-its-workforce-while-its-chairwoman-posted-cat-memes\/"},"modified":"2025-06-25T17:19:55","modified_gmt":"2025-06-25T17:19:55","slug":"outdoor-voices-abruptly-closed-all-its-stores-and-laid-off-most-of-its-workforce-while-its-chairwoman-posted-cat-memes","status":"publish","type":"post","link":"https:\/\/michigandigitalnews.com\/index.php\/2024\/03\/26\/outdoor-voices-abruptly-closed-all-its-stores-and-laid-off-most-of-its-workforce-while-its-chairwoman-posted-cat-memes\/","title":{"rendered":"Outdoor Voices abruptly closed all its stores and laid off most of its workforce\u2014while its chairwoman posted cat memes"},"content":{"rendered":"<p> [ad_1]<br \/>\n<\/p>\n<p><a href=\"https:\/\/fortune.com\/company\/outdoor-voices\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">Outdoor Voices<\/a> was a direct-to-consumer darling once valued at $110 million\u2014but the activewear brand has had a long fall from its\u00a0glory days. Years of executive reshuffles and acquisition <a href=\"https:\/\/www.businessoffashion.com\/news\/retail\/outdoor-voices-is-considering-putting-itself-up-for-sale-among-other-options\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">rumors<\/a> culminated in a very public meltdown earlier this month, when the company closed all its retail locations and abruptly laid off most of its workforce. Outdoor Voices is now <a href=\"https:\/\/sourcingjournal.com\/topics\/business-news\/outdoor-voices-bankruptcy-abc-law-store-closures-retail-business-500808\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">reportedly<\/a> on the verge of bankruptcy.<\/p>\n<div>\n<p>Former employees told <em>Fortune<\/em> they are furious over the company\u2019s lack of communication about the store closures, as well as chair Ashley Merrill\u2019s behavior, which included posting <a href=\"https:\/\/fortune.com\/company\/facebook\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">Instagram<\/a> memes shortly after laying off dozens of workers.<\/p>\n<p>The actions were \u201ca slap to the face,\u201d one former Outdoor Voices worker told <em>Fortune.<\/em><\/p>\n<p>On Monday, March 11, the company laid off an estimated 80% of its corporate workforce, including the entire HR, brand, and design teams, three former employees told <em>Fortune<\/em>. The following day, it told staff it would close all 16 of its stores and sell exclusively online, leaving all retail employees out of a job with five days\u2019 notice. The people estimate there are now fewer than 15 employees left at the company.<\/p>\n<p>The former staffers expressed anger over a lack of communication from management, particularly Merrill. They noted that O.V.\u2019s abrupt store closures echo those that happened at her previous venture. Prior to investing in and effectively taking over O.V., Merrill was the founder and CEO of sleepwear brand Lunya, which filed for bankruptcy and quietly shuttered most of its stores in June 2023.<\/p>\n<p>The laid-off employees said the only communication they had received from Outdoor Voices since March 12 were a group Slack message confirming the closures, and a \u201cstandard\u201d mass email with final pay dates and a PDF attachment about unemployment. The email was sent by Lunya\u2019s people and culture director, the sources said.\u00a0<\/p>\n<p>Outdoor Voices and Ashley Merrill did not respond to <em>Fortune<\/em>\u2019s requests for comment.<\/p>\n<h2 class=\"wp-block-heading\"><strong>\u201cA slap to the face\u201d<\/strong><\/h2>\n<p>Three former retail employees told <em>Fortune<\/em> they were notified of the store closures on March 12. Managers of O.V.\u2019s stores each received a phone call with the news from the company\u2019s vice president of retail\u2014who was later laid off as well, less than two months into the job.<\/p>\n<p>\u201cIt hit everyone by surprise,\u201d a former Houston-based sales associate told <em>Fortune<\/em>. \u201cIt was kind of like a slap to the face, honestly.\u201d<\/p>\n<p>All retail employees were asked to keep working until Sunday, the sources said, on their regular pay scale, with no offer of severance or PTO payouts. One former store manager said she was offered a $500 incentive to keep working throughout the week, but hourly employees at her store were not offered the money.<\/p>\n<p>\u201cIt\u2019s honestly kind of an insulting amount of money,\u201d the former manager told <em>Fortune<\/em>. \u201cBut when you\u2019re about to be unemployed, $500 is $500.\u201d<\/p>\n<p>Between Wednesday and Sunday, all Outdoor Voices locations held \u201cblowout\u201d sales. Employees at multiple stores put handwritten notes on the storefront windows requesting donations to employees\u2019 Venmo accounts, and expressing discontent with Merrill\u2019s management. Merrill \u201chas not told anyone a reason why she chose to do this and was posting cat memes on her Instagram the day everyone was told,\u201d a <a href=\"https:\/\/www.google.com\/search?q=outdoor+voices+cat+memes&amp;rlz=1C5GCCM_en&amp;oq=outdoor+voices&amp;gs_lcrp=EgZjaHJvbWUqBggDEEUYOzIGCAAQRRg8MhMIARAuGIMBGMcBGLEDGNEDGIAEMgYIAhBFGDsyBggDEEUYOzIGCAQQRRg8MgYIBRBFGDwyBggGEEUYPDIGCAcQBRhA0gEIMjM0NWowajSoAgCwAgE&amp;sourceid=chrome&amp;ie=UTF-8#vhid=L-w6CMCgYbG19M&amp;vssid=l\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">note<\/a> at O.V.\u2019s Minneapolis store read.\u00a0<\/p>\n<p>Screenshots reviewed by <em>Fortune<\/em> show Merrill had reshared two videos featuring cats on her Instagram story on March 13\u2014the morning after the store closures were announced. In one <a href=\"https:\/\/www.instagram.com\/reel\/C1HbHPRBIfg\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">video<\/a>, an energetic kitten licks a sleepy-looking counterpart, alongside the caption \u201cThere are two types of people in the morning. Which one are you?\u201d The second <a href=\"https:\/\/www.instagram.com\/reel\/C2skZWCM8UU\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">video<\/a> shows a cat pushing a kitten into a cardboard box. \u201cWhen you\u2019re trying to be patient with your kid but also have f\u2014king limits,\u201d the caption read.<\/p>\n<p>Following the store closure announcement, former O.V. employees and customers flooded Merrill\u2019s Instagram with comments, seeking answers. Merrill then restricted comments on her account. The ex-employees then turned to Lunya\u2019s Instagram, where comments were soon disabled as well. As of March 24, comments on Outdoor Voices\u2019 Instagram are also disabled.<\/p>\n<p>\u201cI think that\u2019s kind of a sign of cowardice,\u201d the former sales associate said. \u201cYou should at least own up to what you did.\u201d<\/p>\n<div class=\"wp-block-image\" style=\"margin:auto;max-width:960px\"><span style=\"box-sizing:border-box;display:block;overflow:hidden;width:initial;height:initial;background:none;opacity:1;border:0;margin:0;padding:0;position:relative\"><span style=\"box-sizing:border-box;display:block;width:initial;height:initial;background:none;opacity:1;border:0;margin:0;padding:0;padding-top:66.66666666666666%\"\/><img alt=\"Former Outdoor Voices employees at the Houston store put up handwritten signs on the windows, addressing shoppers trying to get a piece of the closing sale.\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" decoding=\"async\" data-nimg=\"responsive\" style=\"position:absolute;top:0;left:0;bottom:0;right:0;box-sizing:border-box;padding:0;border:none;margin:auto;display:block;width:0;height:0;min-width:100%;max-width:100%;min-height:100%;max-height:100%;object-fit:cover;background-size:cover;background-position:0% 0%;filter:blur(20px);background-image:url(&quot;data:image\/png;base64,iVBORw0KGgoAAAANSUhEUgAAAAEAAAABCAYAAAAfFcSJAAAADUlEQVR42mO8fv1mPQAIHAMIsIR6agAAAABJRU5ErkJggg==&quot;)\"\/><noscript><img alt=\"Former Outdoor Voices employees at the Houston store put up handwritten signs on the windows, addressing shoppers trying to get a piece of the closing sale.\" loading=\"lazy\" decoding=\"async\" data-nimg=\"responsive\" style=\"position:absolute;top:0;left:0;bottom:0;right:0;box-sizing:border-box;padding:0;border:none;margin:auto;display:block;width:0;height:0;min-width:100%;max-width:100%;min-height:100%;max-height:100%;object-fit:cover\" sizes=\"100vw\" srcset=\"https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=320&amp;q=75 320w, https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=480&amp;q=75 480w, https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=576&amp;q=75 576w, https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=768&amp;q=75 768w, https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=1024&amp;q=75 1024w, https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=1280&amp;q=75 1280w, https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=1440&amp;q=75 1440w\" src=\"https:\/\/fortune.com\/img-assets\/wp-content\/uploads\/2024\/03\/site-inline-2.png?w=1440&amp;q=75\"\/><\/noscript><\/span><\/div>\n<h2 class=\"wp-block-heading\"><strong>Double implosion<\/strong><\/h2>\n<p>Founded by Ty Haney in 2013, Outdoor Voices rode the wave of the 2010s direct-to-consumer boom, epitomized by such buzzy brands as <a href=\"https:\/\/fortune.com\/company\/warby-parker\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">Warby Parker<\/a> and Everlane. It cultivated a loyal following with its bold aesthetic and laid-back approach to fitness. By 2018, Outdoor Voices was valued at $110 million. But an \u201cimplosion\u201d came in 2020, <a href=\"https:\/\/www.nytimes.com\/2020\/03\/10\/business\/outdoor-voices-ty-haney-mickey-drexler.html\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">according<\/a> to the<em> New York Times<\/em>, when Haney was pushed out after clashing with executives, and a string of departures followed. The brand\u2019s valuation fell to $40 million that year.\u00a0<\/p>\n<p>In June 2020, Merrill joined Outdoor Voices as its board chair after her venture capital firm <a href=\"https:\/\/www.nahco3.com\/about\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">NaHCO3<\/a> made an investment of an undisclosed size in the company. Merrill serves as principal at the firm alongside her husband, Marc Merrill, the co-founder and former co-CEO of Riot Games.<\/p>\n<p>\u201cAs someone who has tried to run a business with an eye toward profitability, I\u2019m looking to help O.V. make that transition,\u201d Merrill <a href=\"https:\/\/fortune.com\/2020\/06\/28\/outdoor-voices-ty-haney-ashley-merrill\/\" target=\"_self\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">told<\/a> <em>Fortune<\/em> at the time. O.V. <a href=\"https:\/\/wwd.com\/feature\/outdoor-voices-urban-outfitters-gabrielle-conforti-ceo-1234749680\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">named<\/a> former <a href=\"https:\/\/fortune.com\/company\/urban-outfitters\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">Urban Outfitters<\/a> president Gabrielle Conforti CEO in 2021. In June 2023, Merrill\u2019s sleepwear business, Lunya, <a href=\"https:\/\/www.modernretail.co\/operations\/dtc-sleepwear-startup-lunya-has-filed-for-chapter-11-bankruptcy\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">filed<\/a> for bankruptcy. It had seven stores at one point\u2014its <a href=\"https:\/\/lunya.co\/blogs\/locations\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">website<\/a> now lists only two.<\/p>\n<p>O.V. kicked off another fundraising round in late 2023, and Merrill ended up putting more money in. She then fired Conforti in December 2023, <a href=\"https:\/\/puck.news\/voices-over\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">according<\/a> to <em>Puck<\/em>. Since then, Merrill has been \u201crunning the business,\u201d <a href=\"https:\/\/puck.news\/newsletter_content\/the-fashion-correction-gap-drama-an-arielle-charnas-epilogue-2\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">according<\/a> to <em>Puck<\/em>, and effectively serving as CEO, according to the former employees who spoke to <em>Fortune<\/em>. She brought in several Lunya executives to serve as consultants while ushering in a brand refresh.<\/p>\n<p>\u201c[Merrill] kept having meetings with us and telling us how great everything was,\u201d one former store manager said. \u201cSo for this to happen, especially so quickly out of nowhere, it just felt like she had kind of blindsided us.\u201d<\/p>\n<p>Some employees and customers saw Merrill\u2019s rebrand as antithetical to the brand\u2019s founding ethos of inclusion. A former Houston-based store manager recalls a virtual meeting in early 2024 in which Merrill urged employees to cater the brand to older, wealthier customers, and suggested lowering the discounts O.V. offered to health care workers, fitness instructors, and students.<\/p>\n<p>According to the former manager\u2019s account of the same call, an employee asked Merrill if she had seen recent comments on O.V.\u2019s Instagram\u2014referring to comments that criticized a recent O.V. campaign over a lack of racial and size diversity. Merrill said the shoot was put together last-minute, and those were the only models they could find. Merrill also became \u201cdefensive\u201d and pointed out she didn\u2019t see any older women on the website, according to the former manager.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Blue tags, red flags<\/strong><\/h2>\n<p>The three former employees told <em>Fortune<\/em> they saw signs in the past year that made them question O.V.\u2019s stability as a business, including high staff turnover, late lease payments, and failed vendor payments. Two days prior to the store closure announcements, the Houston-based sales associate was told by a former contractor that Outdoor Voices was a \u201csinking ship.\u201d<\/p>\n<p>\u201cI knew something was gonna happen,\u201d one former store manager said. \u201cI didn\u2019t think it was going to be this year, but I had a feeling.\u201d<\/p>\n<p>Outdoor Voices plans to file for bankruptcy in the coming weeks via an Assignment for the Benefit of Creditors, several former employees <a href=\"https:\/\/sourcingjournal.com\/topics\/business-news\/outdoor-voices-bankruptcy-abc-law-store-closures-retail-business-500808\/\" target=\"_blank\" rel=\"noopener\" class=\"sc-47dba8f0-0 iRbseu styledLinkColor \">told<\/a> <em>Sourcing Journal<\/em>. O.V. is on the verge of joining the growing list of fallen DTC stars like SmileDirect Club, Blue Apron, and Casper. These once-booming brands, built on loyal online followings and quirky branding, have proven unable to sustain themselves on hype alone.<\/p>\n<p>Even if O.V. gets back on its feet financially, former employees say it will be hard for the brand to build back the cult following it once had. Retail employees said loyal customers were quick to sweep up O.V.\u2019s signature skorts for 75% off during the closing sales\u2014but many promised they would never purchase from the company again.<\/p>\n<p>\u201cA lot of them are also frustrated with the company,\u201d a former store manager said. \u201cYes, they were shopping with us because it was, like, $8 for a $90 jacket. But a lot of them said they would never shop with the brand again after hearing what they\u2019ve done.\u201d<\/p>\n<\/div>\n<p><script async defer src=\"https:\/\/platform.instagram.com\/en_US\/embeds.js\"><\/script><br \/>\n<br \/>[ad_2]<br \/>\n<br \/><a href=\"https:\/\/fortune.com\/2024\/03\/26\/outdoor-voices-bankruptcy-closure-layoffs-ashley-merrill\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] Outdoor Voices was a direct-to-consumer darling once valued at $110 million\u2014but the activewear brand has had a long fall from its\u00a0glory days. Years of<\/p>\n","protected":false},"author":1,"featured_media":217059,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[149],"tags":[],"_links":{"self":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts\/217058"}],"collection":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/comments?post=217058"}],"version-history":[{"count":1,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts\/217058\/revisions"}],"predecessor-version":[{"id":334062,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/posts\/217058\/revisions\/334062"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/media\/217059"}],"wp:attachment":[{"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/media?parent=217058"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/categories?post=217058"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/michigandigitalnews.com\/index.php\/wp-json\/wp\/v2\/tags?post=217058"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}