Let’s face it: juniors apparel companies know about fickle customers.
In the midst of a recession, manufacturers had to contend with offering everything that a girl wanted at a reasonable price. Now, at the latest edition of WWDMAGIC, vendors say they’re facing challenges and must look beyond price.
“If you’re going to have repeat business, your customer is not going to buy just because of price,” explained Deke Jamieson, executive vice president of marketing and licensing at YMI, a Los Angeles-based jeansmaker that also will present outerwear at the show. “You can get them into the store. But if they don’t see that value and they’re not happy with the product, they’re not coming back.”
Judging by recent data, girls between the ages of 13 and 17 haven’t been returning to stores very often. According to The NPD Group, the Port Washington, N.Y.-based market research firm, total apparel sales purchased by this age group fell 7 percent to $16.74 billion in the 12 months ended last November from $18 billion a year ago.
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“I don’t think the business is good at all,” said Martin Barrack, sales director at Z Cavaricci, which is relaunching this spring with a new line of jeans wholesaling for between $18 and $28. “The only reason we’re optimistic…is we’re hitting a niche in the market that might not exist….If we were coming in at $80 wholesale, I don’t think it’d be that workable.”
Added Suzanne Desiderio, president of Kellwood Co.’s XOXO junior brand: “I feel that 2010 is going to maintain a flat level to 2009.”
On the other hand, Mike Guimm, general manager at Wow Couture, a fashion knits firm in Los Angeles, expressed optimism about the company’s plans to double business from $15 million last year.
“Buyers are increasing their units and placing more orders,” he said, noting Wow’s retailers include Arden B., Forever 21 and Charlotte Russe.
To retain an edge over competitors, Wow sent its designers to Europe to track the latest fashion trends, and then incorporated them into its rayon bandage dresses and sheer Modal cardigans that wholesale from $10 to $18. It also turned to China as a source of interesting yarns that it previously couldn’t procure from its vendors in Central America.
“Companies that are strong are buying more,” Guimm said. “They’re not looking for cheaper stuff. They’re looking for better quality.”
Retailers and manufacturers are working together to survive what economists have dubbed the Great Recession. A number of companies are focusing on products that can be shipped in the first half of the year, even though the February trade shows are traditionally marked for displaying fall merchandise. That’s because retailers are often waiting until the last minute to place orders.
“People started working closer to season a couple of years ago, when the economy went bad,” said Warren Hong, sales representative at Vernon, Calif.- based Salt & Pepper Clothing, a $50 million company that produces the Flying Tomato label.
While Salt & Pepper usually shows products that can be delivered within three months, Hong said a show like WWDMAGIC could help his team with forecasting upcoming designs and sales. The only accounts that normally see advanced collections are major department stores and national chains such as The Buckle, he added.
For a better read of the teenager’s mind, New Breed Girl is tapping into the Internet. Patrick Wood, vice president, said, “This year will be all about social networking, blogging to our fans, pushing creativity, quality and branding and, more importantly, reaching out directly to our core consumers.”