the Insiders

Archives

Showing posts by Ross Tucker- Market Editor- Denim, Textiles and Trade
When WWD's editors met in mid-April to start brainstorming ideas for this year's Denim in Depth section, we thought one of our biggest challenges would be making sure every article wasn't about the recession. We've heard from more than a few readers over the past year who have had enough of the constant barrage of bad news in the media. While we report on and don't make the news, we can empathize.

The story of the women's denim industry has, for almost two years, centered on the overabundance of brands and the inevitable weeding out of those that failed to perform.

As writers from around the world began filing stories for our annual WWD Denim in Depth section that ran May 22, a new and perhaps more troubling theme emerged - lack of confidence in retailers. Brands up and down the price ladder have adopted a do-it-yourself mentality when it comes to retail. Signature stores are widely being regarded as the quick fix to slowing sales. The weakening global economy has taken a hit on consumers' pocket books in developed markets like the U.S., South Korea, Japan and Europe. In response, retailers have cut assortments, tightened inventories and started playing it safe when bringing in new styles.

"Retailers are scared," said one vendor. Retailers selling their own brands cut back drastically as well. One denim fabric supplier said he recognized a problem last August when fabric orders for holiday merchandise didn't come in. "I knew it was serious by October," he said. "People were canceling Christmas orders." Back inventory didn't clear out until well into March.

This has left few options for those looking to position themselves as global lifestyle brands - Seven For All Mankind, True Religion and Joe's Jeans to name a few - to introduce customers to their growing array of products. The push to open signature stores isn't limited to premium players, either.

Moderate brand Silver Jeans will be opening its first store in Denver this summer and believes it can open up to 75 over the next five years. While some brands rush to open up shop for themselves, others are abandoning the premium ranks in the hopes of enticing price-conscious consumers. Vendors are hoping the $65 to $125 price range will be the next sweet spot in the market.
News from WWD
Newsletters

Sign upSign up for WWD and FN newsletters to receive daily headlines, breaking news alerts and weekly industry wrap-ups.

LatestPublications
getIsArchiveOnly= hasAccess=false hasArchiveAccess=false