NEW YORK — Takeout, a young contemporary knitwear line here that merged in June with Tharanco Group, the parent company of Bill Blass Ltd., has big plans.
The company wants to grow product lines, increase its number of doors and reach a wholesale volume in 2006 of $55 million to $60 million, which would be a 20 percent boost.
“Haresh [Tharani] and I have a vision of where we want the product and the brand to go,” Takeout’s president, Richard Gossett, said of Tharani, chairman of Tharanco Group. Gossett said he wants to transform the collection into a young contemporary lifestyle brand.
The line is best known for its branded knitwear collection that retails in stores such as Nordstrom and J.C. Penney, as well as its private label collections for Bloomingdale’s, Wet Seal, Bebe and Forever 21, among others.
Gossett declined to comment on how much Tharanco Group paid for Takeout.
“We’re a hip, trend-conscious company in the fast-paced junior and young contemporary business,” Gossett said. “We have a real crossover customer. With the merger, we’re able to increase our business within our current stores by producing more styles on a monthly basis and by having more lines available.”
The wholesale price range of Takeout is $8 to $17.50 for sweaters and $4 to $14.50 for knits. Gossett said the price point won’t stray far from that range, partly because of the demands of the market, even if the collection features more intricately detailed pieces. Should the price point increase, the difference would be slight and would not change the base customer, he said. However, Gossett maintained that the young contemporary consumer is willing to pay a bit more if the styling is right.
“In the retail trade, everyone is looking to trade up,” he said. “Consumers don’t want things for the cheapest prices, they want the look, and they’re willing to spend for it. Our consumer is really knowledgeable because she’s online all the time or reading magazines and seeing [the looks] reflected on television. Our consumer is of the Internet generation, ‘Generation ‘Net.'”
Gossett plans to add categories, specifically wovens, jackets and pants. “The production is already in place,” he said. “That’s the beauty of this merger. They’re allowing me and my team to grow wherever we want to go.”
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Referring to the merger, Tharani said: “We weren’t looking for it.” He explained that both companies were working with New York-based CIT Group, a commercial and consumer finance company, which suggested the merger.
“They thought it would be a good mix,” Tharani said. “Our company streamlines the entire production, and now we’ll add a contemporary midpriced line. Richard will stay on as president overseeing sales and design and we’re responsible for the logistics.”
Tharanco Group is a manufacturer and licensor of apparel and lifestyle products. Eleven business groups fall under the Tharanco Group umbrella, including Doo.Ri, the designer collection launched by Doo-Ri Chung, and Worldwide Sourcing LLC, a misses’ knitwear collection.
For the first time, Takeout will target specialty boutiques and will start hitting the contemporary trade show circuit showcasing the line at shows such as Project in Las Vegas and Intermezzo Collections here. A print advertising campaign also is being considered for July or August magazines.
“We’re very energized,” Gossett said. “Right now, we’re on a roll.”