Archive for the 'Industry Insider' Category

Last chance for this season (retail cycle reminder)

Thursday, January 4th, 2007

The apparent absurdity of the retail cycle holds true in both Northern and Southern hemispheres. Those of you in the middle of a freezing winter will soon see flimsy Spring dresses displayed in store windows. If you are experiencing a sweltering Summer, Autumn knitwear and lightweight coats are about to appear in your favourite stores.

The next few weeks are your last chance to buy for your current season. Don’t expect to find cashmere pullovers, knee high boots and scarves when the weather is at its coldest. And don’t expect to find shorts and swimwear when Summer is at its peak.

Additionally, store stocks are purposefully low in January as retailers put their entire season’s collection on markdown. With a good few months of Winter or Summer left, now is the time to buy up the items you still need for this season.

Gap’s Forth & Towne

Thursday, November 2nd, 2006

Gap Inc. recently started it’s forth chain store – “Forth & Towne”. It’s been open for about a year in San Francisco, Santa Barbara, New York and Chicago, and has recently opened its doors in Atlanta and Seattle. I went to have a look.

Forth & Towne was created to capture a slice of the market that Gap Inc wasn’t reaching – women over the age of 35. Old Navy, Gap and Banana Republic (Gap Inc.’s first 3 chain stores) capture a substantial amount of the younger market, while the so called “older women” (who generally have more disposable income) were left untapped. And so, Forth & Towne was created with the intent of luring this demographic.

Staff were friendly and informative. They explained to me that the name of the new chain store has a story: “Forth” to denote that it’s Gap’s fourth chain store (with an intentional play on the spelling of the word); and “Towne” to denote the notion that shopping is a social and urban phenomenon. The name actually sounds like a meeting destination – “I’ll meet you at “Forth & Towne”, rather like saying “I’ll meet you at 6th and Pine”.

The store offers chic apparel collections for 4 lifestyles: casual, smart casual, business casual and formal.  Sizes are based on the curvier women and run from 2-20 (with shorter lengths available in pants). Prices are set between Gap and Banana Republic, and the quality is lovely.  The store was designed with the notion that shopping can be transformed into a pleasurable communal experience. Comfy chairs and a style table laid out with fashion magazines, flowers and bottled water occupy the heart of the dressing room area. Forth & Towne will give chain stores like Coldwater Creek, J Jill, Eileen Fisher and Chico’s a run for their money. The clothing is generally more sophisticated, tailored, flattering and less expensive.

The concept of the new store is interesting. The over 35 year age group is diverse – from people like Sarah Jessica Parker and Nicole Kidman, to Meryl Streep and Oprah Winfrey. And whether this target market actually chooses to linger on in the store remains to be seen. However, it’s always worth taking a look at something new – if you feel that you fit the demographic, have a peek.

The first Forth & Towne store in New York state.

A good time to buy jeans

Friday, July 28th, 2006

If you live in the Northern hemisphere, you may have noticed that retail stores are full of autumn merchandise. The first item that retailers tend to replenish going into the winter season is jeans. The best assortment of size, length, wash and style is available right now. This does not only hold true for women, but for men and children as well.

Some stores will offer denim specials at this time of year, to help move huge volumes that have been bought in. If jeans for the family is on your shopping list – now is a good time to buy them.

H&M: catwalk fashion at budget prices

Monday, July 17th, 2006

Hennes & Mauritz (H&M) is one of Europe’s most successful fashion chain stores. This Swedish based company operates in more than 22 countries and has started successfully tapping the US market on the East Coast and California. It targets the ultra-hip consumer by offering cheap, cutting edge fashion for men, women and children. They have recently branched out their merchandise mix to include maternity and plus sizes. Germany is currently their biggest market (30% of sales), Sweden is a close second and the UK third.

Their philosophy: “to offer unbeatable value by providing fashion forward clothing at the best possible price” 

H&M markets their desirable brand to high-end fashion consumers despite their discount fashion price points. You will often find an H&M located right next to a designer brand. In 2004, H&M stores offered an exclusive collection by Karl Lagerfeld (Chanel) which sold out worldwide within one hour.  In 2005, the success was repeated by Stella McCartney (Chloe). This year, stores will offer exclusive ranges designed and marketed by Madonna. 

Most of the merchandise offered at H&M is very young, but there always seems to be a super selection of basics and classics that defy age. Unlike Zara, elegance and sophistication are not their goals. Their aim is to offer the funky urbanite limitless creative options.  Don’t expect to hold onto your H&M  purchase for years – at budget prices, their clothes are not made to last.

My wardrobe is not complete without my playful H&M pieces. If its cutting edge trends at budget prices that you are after – H&M is the shop for you.

Zara: affordable exclusivity

Wednesday, July 5th, 2006

French, Italian, British and American designers dominate the catwalk scene; but it’s the Spanish that are best at interpreting these trends and turning them into commercial fashion for retail. Let me introduce you to one of the most successful retail chains in the world – Zara. This Spanish chain store is part of the Inditex group - one of the largest fashion retail groups worldwide. Almost 86% of their staff are women with women occupying 54% of the executive, technical and managerial positions.

“Zara offers the latest trends in international fashion in an environment of thought-out design”.  You’ll find these stores in the main commercial areas of cities across Europe, America and Asia. Zara offers women’s, men’s and children’s clothing and accessories at affordable prices. Their clothing is not meant to last forever and some describe it as “throw-away fashion”, but who wants to pay the earth for a fashion fad? That said, I have classics in my closet from Zara that are at least 3 years old and going strong.

Their enormous success can be attributed to many factors. What stands out for the consumer is the exclusivity of their product. They never offer more then 10 items in the same style, which can drive you crazy if they don’t have your size, but will prevent you from looking like someone else when you walk down the street. There isn’t another retailer that offers the same level of trendy fashion with the elegance and sophistication that Zara does. Their designs and colour direction are always a cut above the rest, but without burning a hole in your wallet. If you are a regular size and passionate about fashion – you need to shop here. It’s one of my very favourite places to buy up a storm.

Zara stores are predominantly located in Europe, Asia and South America. There are Zara stores in many American cities, but for those of you in the Pacific Northwest – Vancouver, Canada is your best bet.

The trend cycle

Monday, June 19th, 2006

What is a trend really?

  • Trend: Current style; vogue
  • Trendy: Of or in accord with the latest fad or fashion
  • Trendsetter: Someone who popularizes a new fashion

A fashion season is always influenced by trends. Trends are sometimes a one-season phenomena, but more often evolve through the seasons over a period of 2-3 years. They then either disappear, or become their own fashion category. The longevity of a trend is inextricably linked to consumer acceptance. Trends can start out as “the look of a season”, continue to reappear because of abundant consumer demand, and then ultimately become a long term force that we call a new classic. “New” because the look is kept current by changes to silhouette, color or fabrication, despite being based on a traditional, or “classic”, concept.

Good examples of new classics: heeled pointy toe shoes, low slung boot leg pants and jeans, collared stretch shirts, trench coats, animal printed accessories and trims.

You do not need to follow the latest fashion trend to be stylish. Filter through new trends and select only the ones that work best for your body type, age and lifestyle.

The retail cycle - when to buy what

Tuesday, April 11th, 2006

The seasonal retail cycle is absurd. I would never have been able to grasp it if I hadn’t been a buyer for years. Why is it that when the weather is hot, you can’t find a pair of shorts to buy; and that when it’s cold, turtle necks and coats aren’t available in stores? At the height of ski season, sports shops are filled with summer camping and cycling gear. Absolutely bizarre! The explanation is simple – retailers worldwide assume that people plan their wardrobes in advance for that first chilly Autumn or warm Spring day, and therefore buy ahead of time. For this reason, merchandise needs to be in store promptly for this “planned” pattern of purchasing. Any diversion from this rigid cycle would be detrimental to business. Despite the fact that there are 4 official seasons, clothing collections refer only to 2, namely Spring and Autumn. Summer is merely an extension of Spring and Winter an extension of Autumn.

The retail cycle in the northern hemisphere (when July is hot and December is cold) is as follows:

  • January to July – when Spring/Summer collections are available
  • July to December – when Autumn/Winter collections are available

Sales in the fashion industry are generally planned as well:

  • January – Winter sale
  • March – Spring sale
  • July – Summer sale
  • October – Autumn sale

Hitting March and October mid season sales are the closest that you’ll get to buying clothing for an urgent seasonal need. The retail cycle for the southern hemisphere (when July is cold and December is hot) would be the exact opposite of the above.

In the northern hemisphere, the best time to buy bathing suits is usually in March when there’s still frost outside. While winter coats are typically best bought in September when the air conditioner is still on. Knowing how the retail cycle works is especially useful when planning for a trip. If you are off for a beach holiday in October – you’ll now know that you’ll need to have bought your tank tops, shorts and speedo somewhere between Feb and July. By the same token, if you’re off to ski in March, you’ll have needed to buy winter woolies between August and December. Here’s hoping that you won’t be caught unaware of what is and isn’t available in stores at a particular time from now on!

 
 

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