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Famous lines disappear, show up in other stores, confusing loyal buyers
By Anne D'Innocenzio
Associated Press
Published on Sunday, Nov 08, 2009
NEW YORK:
''You need some sort of chart . . . with retailers and brands, where you are using erasable ink,'' said Michael Stone, CEO of the Beanstalk Group, a brand consultant. ''They are moving around so much.''
The brand-hopping can confuse shoppers who can't find their favorite label. But in some cases it means shoppers will be able to get a taste of designer names that only two years ago were far from their grasp.
In the short term, such confusion might hurt the brand, Stone said. But in the long run, the label ''settles into its new identity'' and becomes a powerful tool for the retailer to attract shoppers.
Hard times
Some brands, like Liz Claiborne, had been the anchors at department stores for years but have hit hard times. Trading mass distribution for better exposure at one store could help them revive their labels. Brands also benefit by getting more prominent placement in advertising and increased real estate at the chain.
That's what happened when Macy's became the exclusive retailer of Tommy Hilfiger women's and men's sportswear; the exclusive partnership expanded to children's wear this past spring. Macy's has built Hilfiger's presence in women's and men's sportswear to almost 600 stores from about 400 before the tie-up, according to Jim Sluzewski, Macy's spokesman, citing strong sales.
Tommy Hilfiger fragrance, home furnishings, accessories and other products are still being sold at other stores as well as Macy's. The clothing also is sold at the brand's own stores and Web site.
The deals ease what had become increasingly adversarial relationships with stores. Retailers have made more financial demands to help pay for heavy markdowns as consumer spending dropped dramatically.
The exclusive arrangements tightly intertwine the fates of retailers and brands they sell.
Dana Buchman, known for career clothes with touches of animal prints that had been a mainstay at upscale department stores like Saks Fifth Avenue, has now been reinvented for more frugal shoppers at Kohl's, starting this past February. Under the deal, Liz Claiborne, the owner of the brand, has a team of designers creating the line. Kohl's oversees manufacturing and marketing.
Meanwhile, Ellen Tracy's stylish outfits fell out of favor for many executive women who now shun conservative outfits and are buying items from trendier designers. But its new owner is seeking new life exclusively at Macy's, starting next spring, and has a new licensee making the clothes after another licensee was forced into bankruptcy by creditors this summer.
The reshuffling is leaving these brands' loyal shoppers feeling a bit rejected.
Beth Hazlett, an information media executive from Pittsburgh, wasn't able to find her favorite labels— Dana Buchman and Ellen Tracy — last year at Saks and Nordstrom.
''I feel like they abandoned me in some way,'' said Hazlett, who had been buying both brands for at least 15 years. ''I liked the way they fit and cut.''
The price cuts that some of the deals entail are pretty drastic. Dana Buchman separates cost anywhere from $12 to $116 at Kohl's; previously, pantsuits could go for as much as $600. Jackets under a revamped Ellen Tracy will cost anywhere from $99 to $149 when it's launched in 100 Macy's stores and online in March. That's a big step down from a range of $400 to $600 that was typical for the brand.
But don't expect Hazlett to follow Dana Buchman to Kohl's. ''I've never been to Kohl's,'' she said. ''And I would not go to Kohl's.''
NEW YORK:
''You need some sort of chart . . . with retailers and brands, where you are using erasable ink,'' said Michael Stone, CEO of the Beanstalk Group, a brand consultant. ''They are moving around so much.''
The brand-hopping can confuse shoppers who can't find their favorite label. But in some cases it means shoppers will be able to get a taste of designer names that only two years ago were far from their grasp.
In the short term, such confusion might hurt the brand, Stone said. But in the long run, the label ''settles into its new identity'' and becomes a powerful tool for the retailer to attract shoppers.
Hard times
Some brands, like Liz Claiborne, had been the anchors at department stores for years but have hit hard times. Trading mass distribution for better exposure at one store could help them revive their labels. Brands also benefit by getting more prominent placement in advertising and increased real estate at the chain.
That's what happened when Macy's became the exclusive retailer of Tommy Hilfiger women's and men's sportswear; the exclusive partnership expanded to children's wear this past spring. Macy's has built Hilfiger's presence in women's and men's sportswear to almost 600 stores from about 400 before the tie-up, according to Jim Sluzewski, Macy's spokesman, citing strong sales.
Tommy Hilfiger fragrance, home furnishings, accessories and other products are still being sold at other stores as well as Macy's. The clothing also is sold at the brand's own stores and Web site.
The deals ease what had become increasingly adversarial relationships with stores. Retailers have made more financial demands to help pay for heavy markdowns as consumer spending dropped dramatically.
The exclusive arrangements tightly intertwine the fates of retailers and brands they sell.
Dana Buchman, known for career clothes with touches of animal prints that had been a mainstay at upscale department stores like Saks Fifth Avenue, has now been reinvented for more frugal shoppers at Kohl's, starting this past February. Under the deal, Liz Claiborne, the owner of the brand, has a team of designers creating the line. Kohl's oversees manufacturing and marketing.
Meanwhile, Ellen Tracy's stylish outfits fell out of favor for many executive women who now shun conservative outfits and are buying items from trendier designers. But its new owner is seeking new life exclusively at Macy's, starting next spring, and has a new licensee making the clothes after another licensee was forced into bankruptcy by creditors this summer.
The reshuffling is leaving these brands' loyal shoppers feeling a bit rejected.
Beth Hazlett, an information media executive from Pittsburgh, wasn't able to find her favorite labels— Dana Buchman and Ellen Tracy — last year at Saks and Nordstrom.
''I feel like they abandoned me in some way,'' said Hazlett, who had been buying both brands for at least 15 years. ''I liked the way they fit and cut.''
The price cuts that some of the deals entail are pretty drastic. Dana Buchman separates cost anywhere from $12 to $116 at Kohl's; previously, pantsuits could go for as much as $600. Jackets under a revamped Ellen Tracy will cost anywhere from $99 to $149 when it's launched in 100 Macy's stores and online in March. That's a big step down from a range of $400 to $600 that was typical for the brand.
But don't expect Hazlett to follow Dana Buchman to Kohl's. ''I've never been to Kohl's,'' she said. ''And I would not go to Kohl's.''
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