Category: Fashion

Retail News Asia is committed to providing both local and global retailers with the latest Fashion news throughout the Asian market. This on a daily base.

  • Tapestry plans Network Expansion in Asia

    Tapestry plans Network Expansion in Asia

    Tapestry, the parent of Coach, Kate Spade and Stuart Weitzman, plans to open about 100 stores in Asia this year, most of them in China.

    The company is focusing its growth on regions where it believes it is underrepresented, namely Greater China, Southeast Asia and Europe.

    According to the company’s latest results filing, it plans to open between 60 and 70 new Kate Spade stores this year and another 30 for Stuart Weitzman.

    “China has emerged as the second-largest luxury market in the world according to Euromonitor, and we expect the country to continue to drive growth for Coach, and Tapestry, over the foreseeable future,” the company said.

    Coach’s comparable-store sales rose by 1 per cent during the third quarter, or by 2 per cent on a constant-currency basis, driven by strong international growth and increased online sales.

    Strong consumer demand has fuelled sustained growth for the business in China during recent years and that trend continued in the third quarter when sales growth there outperformed that of other geographical markets.

    Third-quarter revenue reached US$1.3 billion.

  • Goodbaby opens Chengdu Flagshop Store

    Goodbaby opens Chengdu Flagshop Store

    Goodbaby International has opened two flagship stores in Chengdu, China.

    One of the new stores is located at International Finance Square (IFS), the other at Chengdu Joy City. Both opened last Saturday.

    The stores represent the parenting-products retailer newest offline store model and were designed by an unnamed “well-known designer” who has previously cooperated with many globally renowned luxury concept stores.

    “The key to mom-and-child products lies in experience,” said Goodbaby China CEO Jiang Rongfen.

    “The new global flagship stores are designed with both the sensitive and sensible factors of the consumers’ shopping behaviors in mind.”

    The designer aimed to create an immersive, scenario-based smart lifestyle environment for parenting families, where consumers can experience and interact with the products to make better shopping decisions with the help of AI, VR and AR technologies, as well as making one-stop shopping convenient.

    “Our goal is to make every customer willing to share their satisfactory experience with their friends,” Jiang said.

    With Chengdu considered an up and coming fashion hub in China, Goodbaby decided to launch its new Hey Box smart products at the two flagship stores.

    “It is usually said that winning Chengdu’s consumers is a big step towards winning China’s consumers,” said Jiang.

    Goodbaby was set up in China 1989 as a global company with local operations in China, Germany and the US. At the core of its range are baby carriages and child car seats.

  • Shiseido launches art installation at Changi Airport

    Shiseido launches art installation at Changi Airport

    Shiseido Travel Retail has teamed up with Jewel Changi Airport and TeamLab to launch an art installation called Sense. Located at ‘Shiseido Forest Valley’ in the mall, the installation engages the senses through sound, smell, sight, and touch.

    “We know that consumers are now looking for stories and brands that can represent their mission in a manner that resonates with their individual narratives,” said Philippe Lesne, President and CEO of Shiseido Travel Retail.

    “Together with our partners, Jewel Changi Airport and TeamLab, we are excited to unveil this immersive experience to take our consumers and travelers from around the world beyond the realms of traditional retail.”

    The installation transforms as visitors progress further into the forest’s depths, honing their sense of sight as lights dance and flicker.

    Composer and musician Yota Morimoto have created a soundtrack especially for the feature, designed to “reignite visitors’ aural senses along with this sensory exploration” and recreate “the breathing sound” of a natural forest.

    A blend of natural elements, as well as Japanese and Western instruments,  create tones aimed at relieving stress and tension.

    As night falls and the resonating forest by TeamLab comes alive, another musical arrangement takes its place, aimed at creating a sense of balance and harmony.

    The ‘Ultimune’ scent, created by Shiseido’s Dr Tomonori Ueda for the installation is also aimed at relieving stress and creating a calming effect.

    To enhance the experience, visitors can interact with their surroundings, by downloading the Jewel Changi Airport app on iTunes or Google Play to access Shiseido’s Sense app.

    After that, they can conclude the experience by a message on the virtual Shiseido Tree.

    “The collaboration with Shiseido and TeamLab will showcase another facet of the unique Jewel experience that is co-curated with our partnership to delight visitors,” said Hung Jean, CEO of Jewel Changi Airport Devt.

  • Danish fashion label Hummel Opening in India

    Danish fashion label Hummel Opening in India

    Hummel India has signed up a Bollywood actor to help promote its launch in the country.

    Kartik Aaryan, described by one local media outlet as “the nation’s heartthrob and nation’s crush” has been appointed Hummel’s chief ambassador in India for the Danish sportswear label.

    Founded in 1932, Hummel produces clothing ranging from swimwear to casual streetwear and sneakers. It has already opened five stores in India and plans another 10 by the end of the financial year.

    The first five stores are franchised and have opened in Bengaluru, Pune, Chennai, Surat and Amritsar.

    Aaryan made his debut for the brand at a recent launch event in Bangalore.

    “In Hummel, I see a perfect fit. Hummel appeals to my style sensibilities, it is bold, fashionable, creative and youthful,” the actor told the audience.

    “I am excited that Hummel has entered the retail space and I am sure that the Indian audience will love the designs that Hummel has brought to India.”

    Soumava Naskar, MD of Hummel India, says the brand’s merchandise was available on Jabong and Myntra in 2016 but the company stopped selling directly to both the platforms in 2017 because it had no pricing control.

    “Three months ago, we listed our merchandise on Amazon and Flipkart via our partner ND Commerce, which manages our online stores and handles pricing control too. Which means, if customers receive discounts on our end-of-season products on Amazon or Flipkart, they will receive the same discounts in our physical stores as well. This is our first promise to Indian customers.”

    Hummel, owned by Thornico Group, is currently sold in more than 35 countries. It has more than 250 mono-brand stores and expects to achieve US$1.5 billion in turnover this calendar year.

  • Prada to cull wholesale sales channels

    Prada to cull wholesale sales channels

    Italian luxury fashion label Prada is to cull its wholesale distributor list, in order to take more direct control of pricing.

    In a short filing with the Hong Kong stock exchange (where the company is listed), Prada said that its board has analyzed in detail the structure of its wholesale channels “and noted the growing complexity and fragmentation of the wholesale market”.

    Consequently, the board has resolved in favor of additional rationalization of its network of independent partners.

    “The Prada Group considers it essential to ensure greater consistency in pricing policies across retail and digital channels,” said chairman Carlo Mazzi in the filing.

    “This strategic review is intended to further strengthen the Prada Group brands with the aim of supporting sustainable long-term growth.”

    The statement offered no further details of how the rationalization would be undertaken or how many wholesalers would be culled, although it is apparent online distribution may be most affected.

    Like many luxury brands, Prada wants to maintain relative product pricing between wholesalers and its own stores, in much the same way Apple has succeeded globally.

  • Chemists are top choice for Aussie makeup purchases

    Chemists are top choice for Aussie makeup purchases

    Chemists have come out on top in the latest Australian beauty sales data, with 70 per cent of shoppers choosing to purchase makeup at this retailer.

    A report from Field Agent on Women and Makeup found that Priceline was the retailer of choice, with 32 per cent of women choosing it as their number one makeup retailer. Range, price and convenience were the top three reasons customers choose Priceline.

    Chemist Warehouse came in at number two in the top five makeup retailers, followed by Mecca, Myer and Sephora.

    Supermarkets are the fourth most popular retailer when it comes to makeup, with 26 per cent of women choosing to shop there, behind department stores at 29 per cent and specialty beauty stores at 27 percent.

    The figure for online makeup shopping is surprisingly low, with just 10 per cent of shoppers choosing this platform only. Shoppers revealed that having no color test (76 per cent) and being unable to feel the product (55 percent) were the main reasons they don’t buy more makeup online. Physical stores currently have the advantage here, as 61 per cent of shoppers said it is very important to be able test the product before buying. Shoppers also cited shipping costs and delivery times among the reasons they don’t shop makeup online more often.

    Just 5 per cent of those surveyed use online makeup subscriptions, with 8 per cent saying they have before but don’t use the service ongoing.

    The average monthly makeup spend for shoppers is $43. Mac shoppers have the highest average spend, coming in at $48 a month, followed by L’Oreal at $44 and Estee Lauder at $42. More affordable makeup lines Maybelline ($35), Revlon ($26) and Rimmel ($25)come in at below average monthly spends.

    Mac came out on top as the favoured makeup brand, followed by Maybelline, Revlon, L’Oreal and Rimmel.

  • Global footwear brands lobby Trump

    Global footwear brands lobby Trump

    A group of 173 footwear companies, including Adidas, Converse, Foot Locker, Hush Puppies, Nike, Puma, Reebok, Ugg and Under Armour, have requested US President Donald Trump immediately remove footwear from the list of imported products to be tariffed from China.

    According to a joint statement released by the businesses, Trump’s additional 25 per cent tariff on footwear would be “catastrophic” for consumers, companies in the industry and the American economy as a whole.

    “Any increase in the cost of importing shoes has a direct impact on the American footwear consumer,” the statement reads.

    “It is an unavoidable fact that as prices go up at the border due to transportation costs, labor rate increases, or additional duties, the consumer pays more for the product.”

    The Footwear Distributors and Retailers of America (FDRA) association estimated that the proposed change in import costs would add US$7 billion in additional costs to be picked up by the consumer per year.

    According to the statement, the proposed tariffs would be placed atop of tariffs that already affect the industry, in some cases causing some customers to pay nearly 100 per cent duty on their shoes.

    “This is unfathomable,” the statement reads.

    “On behalf of our hundreds of millions of footwear consumers and hundreds of thousands of employees, we ask that you immediately stop this action to increase tax burden… It is time to bring this trade war to an end.”

    Footwear retailers and brands are not the only ones making statements about the effect Trump’s tariffs are having on their businesses. Walmart last week warned the tariffs are already hurting its furniture segment, and will hit its clothing and accessories segment next.

    Macy’s also warned that its furniture category has been impacted by the trade war.

    Morgan Stanley analysts have warned that a collapse of the ongoing trade talks between China and the US, and longer lasting tariffs on trade between the two countries, would “mean that we might not be able to avert the tightening of financial conditions and a full-blown recession.”

  • 10 Corso Como Leaving Shanghai

    10 Corso Como Leaving Shanghai

    Italian fashion concept store 10 Corso Como is withdrawing from China.

    The firm’s Shanghai retail outlet, which has been open since 2013, will be shuttered late this month in the absence of interest in a license and lease renewal from its local partner Trendy Group.

    The Milanese brand launched its early version of the concept store format at the beginning of the 90s, leading to global popularity and continuing global expansion – its New York location opened just late last year.

    Trendy Group is a late 90s fashion conglomerate that operates more than 3000 retail locations in almost 300 cities worldwide, and holds brands such as Ochirly, Five Plus, Coven Garden, Trendiano and Miss Sixty.

  • Missguided First Vietnam’s Store Opening

    Missguided First Vietnam’s Store Opening

    UK-based fashion brand Missguided Vietnam has opened its first store.

    Located on Level 2 of Ho Chi Minh City’s Saigon Centre, the new store is a part of the brand’s expansion internationally, which follows rationalization in its home market. The label has also opened its first franchised store in Dubai Mall, under a partnership with retail group Azadea.

    More stores are poised to open in the UAE, Qatar, Saudi Arabia, Kuwait, Bahrain, Jordan, Lebanon, and Egypt.

    Early February, Missguided closed its flagship in London’s Westfield Stratford City, which was also its first brick-and-mortar store, after three years of operating.

    The loss-making 20,000sqft store reportedly had two years left on the lease but Missguided negotiated to exit early.

    The brand now has only one store in the UK, at Bluewater shopping center in Kent.

  • Sandro IFC store Opens with Fresh Feel

    Sandro IFC store Opens with Fresh Feel

    The Sandro IFC Mall store has been expanded and relocated, the design upgraded design to introduce the French affordable luxury brand’s newest retail design concept.

    The 139sqm store features both menswear and womenswear collections and is the first boutique in Asia to present the brand’s new interior style.

    Accented by a contemporary design and modern decor, the boutique showcases the most diverse range from the brand in an understated setting with Marimorino texture finish walls and Herringbone wooden floors, complete with wooden furniture and an LED video panel showcasing the latest digital content and materials from the brand.

    Sandro operates more than 600 points of sales worldwide, almost a third of which are located in Asia.

  • Replay opens first Denim store in India

    Replay opens first Denim store in India

    Italian denim brand Replay has opened its first store in India.

    The new store has been launched in the capital in a partnership with Reliance Brands. The large retail outlet in Ambience Mall, it focuses on the brand’s core elements using signature design features in store.

    “I am confident that our constant striving to deliver qualitative and innovative products will be in line with the consumers’ appetite for the highest standards in denim,” said Fashion Box Spa CEO Matteo Sinigaglia. “Furthermore, it is a real pleasure to join forces with Reliance Brands Limited, and I truly believe we are starting a wonderful journey together.”

    Replay is planning to launch three stores in Mumbai and New Delhi as well as a flagship store in Maker Maxity, Mumbai later this year.

    The store will offer denim wear, casual wear, footwear, and accessories.

  • Burberry’s new creative director already showing positive impact

    Burberry’s new creative director already showing positive impact

    New creative director already making a difference says analyst after stable sales reported. The high-profile appointment of Burberry’s new creative director Ricardo Tisci appears to be paying off after the company reported comparable revenue up by 2.3 percent for the last financial year.

    That figure excludes a decline in the wholesale beauty business which transferred to a licensing model last year with the inclusive sales figure down 1 percent. Total sales were £2.72 billion.

    “The buzz surrounding Ricardo’s appointment has paid off,” observed Chloe Collins, senior retail analyst at GlobalData.

    “With his first collections, which started dropping into stores in February, receiving widespread praise and achieving double-digit percentage growth on the year, it has given the brand a much-needed refresh as it ran the risk of becoming outdated and repetitive,” she said.

    “His dark grungy styles previously seen at Givenchy have provided a welcome update to Burberry’s classic tailoring and neutral tones, with the brand also given a new modernized monogram logo, however, it must be careful to not lose the traditional British heritage it is famous for.”

    In Asia, the Americas, Europe, the Middle East and Africa, sales rose in the low single digits, making the company’s UK home market the star performer in the mid-single digit percentage range, largely due to increased tourist spending.

    Burberry CEO Marco Gobbetti said sales would have been higher had the company had more product in stores at the end of the financial year.

    “We need to get the products in the stores to start to see the reaction of customers,” he said.

    In the year ahead, the company plans to refurbish about 80 of its flagship stores and close about 38 smaller boutiques in secondary locations.

    The company reported a 6 percent decline in operating profit to £438 million pounds, largely caused by foreign exchange movements and investment in new products.

    Meanwhile, the brand’s digital offer has improved through increased reach through social media, and greater use of influencers among other factors, said Collins.

    “Burberry must continue to invest in technology and marketing to build its online sales further, and find a way to import these innovations into its store portfolio,” she said.

  • Fendi Open Flagship Store in Queensland

    Fendi Open Flagship Store in Queensland

    Italian fashion house Fendi unveiled its first flagship store in Queensland on Thursday, becoming the latest in a series of global luxury brands to set up shop in the Sunshine State.

    The store, located in Vicinity Centres’ QueensPlaza shopping center in Brisbane, features high-end details such as stone walls, marble inlay and gold accents throughout. It is the brand’s 7th location in Australia.

    Fendi is the latest international luxury brand to arrive at QueensPlaza in recent months, following the addition of Saint Laurent earlier this year and Dior at the end of 2018. The shopping center now offers 10 luxury brands, including Chanel, Zimmermann, Scanlan Theodore and Camilla, capping off a $36 million development by Vicinity.

    Earlier in the week, QueensPlaza also welcomed the new luxury dining venue Stanton Cafe and Bar. Seating 180 and offering breakfast, lunch and dinner, the restaurant is an Instagram-worthy hot spot overlooking Queen Street Mall and with views of the CBD.

    Designed by award-winning interior designer Melissa Collison, the restaurant features an eclectic style with 1940s chandeliers, antique furniture, hand-woven Persian rugs, and bespoke wallpaper. Hatted head chef Daniel Jones and Dean Blanchard and their team oversee the menu.

    In addition to offering shoppers a place to relax, Stanton Cafe and Bar will also be hosting a range of masterclasses to educate and entertain, with topics ranging from champagne tasting to Napoli pizza making and barista classes.

    Customers can also download an app that they can use to place their food or coffee order before they arrive and pay for their order.

  • Zara’s local profit after E-commerce Launch

    Zara’s local profit after E-commerce Launch

    Inditex Group’s Australian business, Group Zara Australia, posted a 35 percent increase in net profit for the year ending January 31, 2019, lifting the figure from $8.9 million to $12 million, according to documents lodged with the Australian Securities & Investments Commission.

    This came off the back of strong sales growth, with Zara’s full-year revenue in Australia grew 10.5 percent to $311.7 million, up from $282 million in the previous corresponding period.

    This is due in part to the launch of Zara’s local e-commerce site in Australia and New Zealand in 2018, which opened up a new sales channel for the business and gave more customers the ability to shop with the fashion brand.

    Zara’s parent company Inditex launched online stores in a further 106 markets in November last year, which led to a group-wide online sales increase of 27 percent to $5.19 billion (€3.2 billion) – contributing 12 percent of group net sales for the year.

    Zara had 21 stores in Australia on January 31, 2019, including 19 Zara and two Zara Home stores.

    In a statement about its full-year earnings, Inditex highlighted the growing risk fast fashion brands face of being perceived by stakeholders, including customers, employees, shareholders, suppliers and society in general, as unsustainable.

    The retail giant noted that it was ranked as the ‘most sustainable company in the global retailing industry’ by the Dow Jones Sustainability Index for the third straight year based on the progress it has made in its environmental strategic plan and laid out various initiatives it is undertaking to lessen its impact on the planet.

    These include gaining greater control over the materials used in the creation of its products, reducing the amount of water used in its supply chain and using energy efficiently.

    Additionally, in September of last year, Inditex piloted an at-home pick-up service for recycled garments in China, an initiative that is already operating in Spain, though has yet to make it to Australian shores.

    Inditex is far from the only fashion retailer tackling the issue of sustainability. The Iconic recently launching Considered, an initiative that allows customers to more easily filter products based on their own personal values, such as sustainable materials, eco-production, fair production, animal-friendly, and community engagement.

    Swedish fashion retailer H&M has also committed to add more information to its website to allow customers to understand where its products come from – a move to create greater product transparency.

  • Google to measure Fashion Industrie’s environmental impact

    Google to measure Fashion Industrie’s environmental impact

    Google has announced a new pilot project to help fashion brands measure the environmental impact associated with the production of their raw materials, including water and pesticide usage in the production of cotton, and deforestation to make viscose.

    The pilot project, announced at Copenhagen Fashion Summit on Wednesday, will see the tech giant partner with leading sustainable fashion brand, Stella McCartney.

    “At Stella McCartney we have been continuously focusing on looking at responsible and sustainable ways to conduct ourselves in fashion, it is at the heart of what we do,” Stella McCartney said in a statement about the pilot project.

    “We are trying our best – we aren’t perfect, but we are opening a conversation that hasn’t really been had in the history of fashion.”

    The fashion industry is considered to be one of the most polluting industries on the planet, accounting for 20 percent of wastewater and 10 percent of carbon emissions globally, according to a 2018 report by the United Nations.

    Another report by Boston Consulting Group and Global Fashion Agenda found that much of this impact occurs at the raw materials stage in the production process, where brands have little to no visibility.

    Indeed, while a growing number of brands are taking important steps to reduce plastic waste in their packaging and launch takeback schemes to keep old clothing, shoes, and accessories out of a landfill, few have been able to make a difference at the source.

    “This is an industry-wide problem, where supply chains are highly fragmented and with little transparency,” Nick Martin, head of retail at Google Cloud, said in a statement.

    But the tech giant believes it can put its data collection and analysis expertise to good use in this space.

    The company is now building a tool on Google Cloud that uses machine learning to give brands a more comprehensive view into their supply chain, particularly at the level of raw material production, known within the industry as ‘Tier 4’.

    The tool will include data sources that allow companies to better measure the environmental impact of their raw materials, including air pollution, greenhouse gas emissions, land use and water scarcity.

    “Our goal is not only to be able to determine the impact of producing these raw materials but also compare the impacts of these in different regions where they are produced,” Martin said.

    “We’ll be looking initially at cotton and viscose, each chosen due to the scale of their production, data availability and impact considerations.”

    Google noted that cotton accounts for 25 percent of all fibers used by the fashion industry, and its production is a big driver of water and pesticide use. Viscose production is smaller but growing in demand, and has links to the destruction of forests – some endangered – which are critical in mitigating carbon emissions.

    Based on the effectiveness of the pilot, Google is considering possibilities for expansion into a wider variety of key textiles in the market down the line.

    “This is the first phase of our experiment. We are actively working with fashion brands, experts, NGOs and industry bodies with the ambition of creating an open industry-wide tool, and plan to continue driving collaboration with other key players – large and small,” Martin said.

    Google developed the tool after working with Current Global, an innovation consultancy that helps brands become more sustainable.