Business Daily is reporting the media-shy Oliver Samwer was upset at the slowdown affecting the company. The Iconic is understood to be struggling with rising overheads, such as Australia Post’s recent rise in delivery prices, cutting into its bottom line.

The fashion retailer has been symbolic of a new generation of pure-play online operations in Australia, promising three-hour delivery in some areas, free overnight shipping everywhere else and live-chat customer service. But the honeymoon period came to an end last week when it was announced the company had cut almost 10% of its workforce of more than 300 and is outsourcing some customer service jobs to India.

The Iconic also launched its own fashion magazine earlier this year.

Sources have also told the paper Samwer played a role in the decision to dump the company’s multi-million dollar ad campaign fronted by YouTube phenomenon Bondi Hipsters.