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October 29, 2005
U.S. Posts Strong Q3 Growth
Blasting through the economic pitfalls of devastating hurricanes and high energy prices, the U.S. economy grew at a hearty 3.8% in the third-quarter of this year, up from 3.3% in the second quarter.
The strong numbers were driven by federal and consumer spending, the U.S. Commerce Department said. If the natural disasters had not occurred, growth could have gone as high as 4% in the third quarter, economists noted.
While continued consumer spending is music to retailers' ears, economists also warned that Christmas sales could still fall short in the face of high winter energy costs.
Posted by Blacks at 10:22 AM | Comments (0)
October 27, 2005
UN Douses Fears of Chinese Textile Flood
Despite fears that a flood of Chinese textiles would overwhelm the market, there has been little evidence so far that Chinese exports are crowding out other countries.
Job losses resulting from the lifting of global trade quotas on China have been far less than anticipated, according to a U.N. report out Wednesday. Although the value of China’s exports has risen some 20% since the quotas were lifted Jan.1, other countries have also managed to boost their shares and stay in the game, the U.N. said.
Posted by Blacks at 04:56 PM | Comments (0)
October 26, 2005
Stella Goes Mass Market
H&M shoppers will soon see Stella McCartney designs on the Swedish retailer's racks. The hot shot British designer has made a 40-piece collection of womenswear for H&M under a one-time collaboration. The collection, set to launch in November, follows a similar deal last Fall between H&M and Karl Lagerfeld.
Middle-market retailers are increasingly grabbing at high-end designer names in an effort to add cache to their shops. This is affecting some high-end merchants who are seeing the brands they carry swim downstream.
For mid-market players like H&M, the name game is working. As a mark of its success, the Swedish shop is opening a huge new location in Boston’s Back Bay.
Posted by Blacks at 03:24 PM | Comments (0)
October 25, 2005
Who's The Boss?
Hugo Boss raised its 2005 earnings outlook this week after reporting strong demand for its women’s line. The German fashion house predicted sales of €105 million, up from its previous forecast of €100 million.
Although traditionally known for its suits, Boss has gotten a boost through diversification into Boss Woman and its range of accessories. Boss Woman’s sophisticated and sexy silhouettes have become a hit because they are both stylish and wearable.
Posted by Blacks at 10:54 AM | Comments (0)
October 24, 2005
Luxury Levi's
Although there’s no dearth of high priced denim out there Levi’s has decided to introduce a new premium line that ranges from $140 to $350. The new line, called Capital E, will be introduced next year.
Each pair of Capital E jeans will take around 15 people to produce, therefore explaining the cost. The jeans will feature details like hand finishing and will be available only in luxury boutiques and high end department stores.
Levi’s might be the original jean king, but their high-ticket line may be coming a bit late. Although denim is still all over the streets, luxury designers are showing a lot less of it on the runways.
Posted by Blacks at 01:50 PM | Comments (0)
October 23, 2005
That's So SoHo
Our eagle-eyed fashion experts have been hitting the streets of SoHo to find the latest in hip New York wear. Perhaps it’s no surprise that amid the city’s urban diversity a Japanese export, Via Bus Stop, stood out as one of the hippest stores around. Featuring forward focused avant-garde presentations with a Japanese sensibility, this is one stop not to miss.
On the other hand, it would be hard to miss Victor & Rolf. Garments by these connoisseurs of cool are all over SoHo offering sophisticated lines with an edgy air.
Also on our radar: Orciani belts and Stella McCartney sneakers for Adidas. Sporty and stylish, these Stella sneaks are an absolute home run.
Posted by Blacks at 04:02 PM | Comments (0)
October 21, 2005
Future Is Bright ...
Tom Ford may have cast his glance away from luxury apparel for the moment but his future still appears to be made in the shade. There’s little surprise then that the former Gucci guru is unveiling a new line of sunglasses in Paris today.
The sunglass range, which will be manufactured by Marcolin, is just the latest Ford venture that plays around the edge of high fashion. Ford has also struck a deal with Estée Lauder to produce a beauty product and fragrance line.
How long Ford is happy to dabble outside of apparel remains to be seen. A Tom Ford clothing line is already being talked about.
Posted by Blacks at 12:26 PM | Comments (0)
October 20, 2005
Haute Chinese?
U.S. and European apparel makers who are already perturbed over the increasing flow of Chinese textiles into their markets may have another China threat on the horizon: luxury goods. That’s right, the up-and-coming Asian giant is now showing an interest in high fashion.
Shanghai Fashion Week opens next week and for the first time the show will host a forum on the management of luxury brands. While a high-profile luxury market may be a bit far off for Chinese makers, the country’s strong cultural influence and lower production costs could make for some interesting competition.
Posted by Blacks at 10:16 PM | Comments (0)
October 18, 2005
Dior Sales Rise On Couture
Christian Dior reported a sales spike of almost 10% for the first nine months of this year thanks to a strong performance from its couture line and the popularity of its Fall/Winter collection.
France’s Dior, part of the LVMH holding company, said that sales rose to €10 billion in the first three quarters if this year. Sales of couture alone jumped 11 percent to €479 million.
Dior designer John Galliano looks set to continue the house’s success after receiving ample praise for his ‘nude’ theme Spring line which he showed off in Paris’ Grand Palais earlier this month.
Posted by Blacks at 11:58 AM | Comments (0)
October 17, 2005
Coach Makes Bicoastal Investment
Coach is lapping its luxury handbags and accessories against both shores with the opening of a flagship location in Beverly Hills and a redesigned store in New York. Both stores are due to open next month, right in time for the Christmas shopping season.
The investments underscore the American brand's continued success. The company announced in August that its first quarter results are tracking ahead of plan and that it expects earnings for the period ended Oct.1 to come in at around $445 million, compared to $344 million a year earlier.
Although fashionable ladies are clutching hot bags by apparel designers this season, such as Lanvin’s velvet prize, Coach is still a stalwart brand and its handbags are often considered fashion staples.
Posted by Blacks at 12:51 PM | Comments (0)
October 14, 2005
Oil Prices Prop Up Retail Sales
Retail sales were up 0.2% in September after slipping 1.9% in August, according to the U.S. Commerce Department. The gain was pinned primarily on high oil prices.
Stripping away gas stations, retail sales slipped 0.2% during the month. The slower spending came amid a 1.2% increase in consumer prices.
Although the poor results could in great part have been affected by Hurricanes Katrina and Rita, the Commerce Department was loath to pin all the blame on the storms.
Posted by Blacks at 02:56 PM | Comments (0)
October 13, 2005
Burberry Predicts Slow Second Half
It’s not easy being plaid these days – Burberry plaid that is. First the company's trademark plaid pattern gets adopted as the uniform of choice by restless and occasionally violent British youth (also known as chavs), then it loses its supermodel face to cocaine rumors (and some pretty damning tabloid pictures).
Now the British fashion house is warning of a possible slump in its second half wholesale sales as recent collections have failed to excite consumers. The forecast comes after a disappointing first half, and the same week the company announced that Liz Claiborne exec Angela Ahrendts will be taking over as Burberry’s new chief executive in July.
It will be interesting to see if Ahrendts can reinvigorate the brand once it falls in her hands, or if it will go from plaid to just bad.
Posted by Blacks at 05:05 PM | Comments (0)
October 12, 2005
China, US Talk Textiles
The U.S and China have begun yet another round of talks aimed at settling the dispute over soaring Chinese textile exports. The talks, currently being held in Beijing, represent the sixth round of negotiations the two countries have entered into in recent months over the level and duration of quotas to be imposed on Chinese textile imports to the U.S.
Exports of Chinese textiles have skyrocketed since global quotas were abandoned on January 1. Both U.S. and European textile manufacturers claim that the influx of Chinese goods could obliterate their markets, leading representatives from both regions to scramble to the negotiating tables. China and the EU reached a deal in June to limit the export of 10 Chinese textiles but the U.S. has so far failed to reach a settlement.
Posted by Blacks at 02:42 PM | Comments (0)
October 11, 2005
Liz Claiborne VP To Be New Burberry Chief
Liz Claiborne executive Angela Ahrendts will replace Burberry head Rose Marie Bravo when she resigns from her post next year, the British fashion house announced this week.
Ahrendts has been in charge of both men’s and womenwear brands as executive vice president at Liz Claiborne. She is due to take over at Burberry in July of 2006, while Bravo will move into the newly-created role of vice chairman.
The appointment of Ahrendts squelches rumors circulating last week that former Gucci COO Brian Blake was poised for the role.
Posted by Blacks at 12:29 PM | Comments (0)
October 10, 2005
New York Report
Our roving style correspondents are sending flash news from the streets of New York, and for all of you not in the Big Apple the story is skirts with boots, trenches, and (gulp) gauchos.
Fittingly, New Yorkers are elated that black is back, and are wearing lots of black leather with stilettos. But the other fashion color of the season, chocolate, has hit a sweet spot with fashion mavens.
Trenches are making a showing, both long and mid-length. Beige and charcoal appear to be favorite colors for this key piece of Fall outerwear.
As we noted previously, gauchos are digging their spurs in, with loose and tight styles in a variety of fabrics. Paired with stilettos, gauchos could be this season’s poncho, with a very sharp kick.
Posted by Blacks at 12:08 PM | Comments (0)
October 07, 2005
Ford: Fashion Is Too Fast
Fashion guru Tom Ford recently declared that trends are now moving so quickly consumers can’t keep up. The former Gucci designer, famed for almost single-handedly bringing the luxury brand to prominence, took a swipe at the industry that adores him by claiming that the demand for newness is forcing artificial style changes.
None except the most dedicated fashionistas can keep up, leaving most consumers to resign themselves to T-shirts and comfortable pants, Ford said.
Although still revered as a fashion icon, Ford has moved away from the industry since leaving Gucci last year and recently signed a fragrance and cosmetics deal with Estée Lauder.
Posted by Blacks at 01:46 PM | Comments (0)
October 06, 2005
Ex-Gucci Man Could Head Burberry
Rumor has it that former Gucci COO Brian Blake could be tapped to take the top spot at Burberry after the British fashion house spins off from majority shareholder GUS later this year.
Current Burberry Chief Executive Rose Marie Bravo is expected to step down next year, following completion of the spinoff, but may still retain a top position at the company.
When Blake joined Burberry as COO in July of last year cognoscenti speculated that it was part of early planning for a change at the top. Blake was with Gucci for 17 years, but despite the success of the Italian brand, some wonder if he will be able to maintain Burberry’s current momentum.
Posted by Blacks at 05:14 PM | Comments (0)
October 05, 2005
Armani Profits from Fall Line
Giorgio Armani reported a 10% profit jump on wholesale sales for the first half of this year, due in part to strong demand in China.
The Milan-based fashion house reported earnings of around 97 million euros for the six months ending June 30.
Armani said that its Spring-Summer ’06 orders were also up, boding well for the quarters ahead. In addition to its iconic clothing line, the company has branched into accessories and home furnishing, and last January launched its Privé couture collection to rave reviews.
Posted by Blacks at 04:12 PM | Comments (0)
October 04, 2005
Camouflage Couture
You know you’re hot when you can take camouflage to couture and receive accolades from every corner. Such is the case of Yohji Yamamoto whose ruffled camouflage dresses received high praise in Paris earlier this week.
Yamamoto’s collection wasn’t entirely war-torn, however. He also showed his avant-garde edge with stiff white blouses, bondage themed dresses and ‘crocodile’ cut coats.
In a runway season marked by toned down styles, Yamamoto demonstrated that fashion sometimes means war.
Posted by Blacks at 11:52 AM | Comments (0)
October 03, 2005
FCUK To Take a H-I-K-E
French Connection is planning to "tone down" use of its FCUK slogan for its Autumn/Winter collection, following a drop-off in sales over the last 6 months.
The London-based fashion house, also known as French Connection U.K. (FCUK), reported a 9 percent decline in sales this week for the six months ending July 31.
Although the company’s FCUK slogan has brought it shocked attention in the past, it says that logo-clad collections are no longer popular so it plans to use the acronym in a more subtle way.
Posted by Blacks at 01:44 PM | Comments (0)