NEW SERIES! Week in Review

Hello Everyone!

We will continue to offer stories, links and updates about the fashion industry internationally, domestically and locally but in an effort to get more information to you MODEcollective is starting their WEEK IN REVIEW which will highlight the key events and stories in the industry each week, making it easier for you to be up to date with what is going on. Please feel free to write in if there is something you wish to be highlighted in the WEEK IN REVIEW.

INTERNATIONAL

ASIA'S GROWTH SURPASSES THE REST OF THE WORLD.
Although the global economy has been pulling out of the recession, the growth has slowed this year but Asian markets continue to grow at a stronger rate. East Asia and the Pacific are leading the global recovery with an estimated 9.3% increase in GDP growth. China leads the way with a 10% increase in 2010 and is currently averaging an 8.7% increase in 2011. Despite challenges in rising costs of labor and raw materials, China shows now sign of slowing. Many retailers throughout the US, including Chicago, witnessed many Chinese tourists shopping their stores during the 3rd and 4th quarters of last year. Recently, Chicago received a visit from China's President which, despite protests both for and against the President, brought the Chinese to Michigan Avenue who also came to shop. At this point many US stores are ill-equipped to handle the difference in language and culture with the Chinese as well as other Asian visitors. Many retailers in the more international US cities like New York and LA strive to find Chinese and Asian speaking employees which many times proves difficult. Customs and cultural differences are especially evident when interacting with these foreign customers when it comes to language as well as such nuances as the importance of presentation, appropriate gesturing etc.With the Chinese and Asian countries continuing to become powerful forces in the US retail economy it would suggest a need for a strategy and approach in order to enhance the customer experience and capitalize on the business brought to the US by this powerhouse.

LVMH SAGA CONTINUES & CONTINUES...ARNAULT'S 'PEACEFUL' INTENTIONS

As the saga continues, Bernard Arnault reiterates that he wishes to be peaceful and although he does not plan at this moment to take aggressive measures he is very happy to have LVMH as a shareholder in Hermes and wishes to support the management. Arnault and LVMH continue to face challenges with the family of the luxury line who believes that LVMH will attempt a hostile takeover which was fueled after the questionable manner LVMH acquired the shares this past October with additional shares purchased shortly after. Since the beginning, LVMH has always been interested in quality, luxury and craftsmanship. Adding a brand like Hermes would certainly continue this tradition.


DOMESTIC

NYC'S FASHION WEEK IS HERE!
The Fashion Calendar
NYC Fashion Info


Continue tracking the trends and shows on www.style.com!

CHANGING OF THE GUARD AT GAP INC.

Gap has experienced many challenges in recent years which has always led to changes within the organization. Gap shakes up their staff again by changing some executives. Marka Hansen is succeeded by Art Peck as the president of Gap North America, president of Gap Inc's outlet division and executive vice president of corporate strategy. Pam Wallack who was the president of Gap Adult North America will now be the executive vice president of a new Gap Global Creative Center in New York. The Gap has been challenged in recruiting creative talent. This new division will focus on enhancing and recruiting new talent to elevate Gap brand.

In an effort to improve upon Gap brand advertising, Ogilvy & Mather has become the Gap's new advertising agency and Seth Farbman, currently the worldwide managing director at Ogilvy has been named the global chief marketing officer for Gap.

" Gap's Peck Pick Signals Murphy Making Bigger Gambles on Brand Turnaround
"Who am I?" That´s how Art Peck began his first blog post as the new president of Gap Inc.´s long-troubled North American retail store unit. "If you Google me, you won´t find much." Yes, there´s the MBA from Harvard University, two decades spent at Boston Consulting Group, and his tenure as a Gap executive since 2005 helping craft international strategy and leading its small outlet division. However, there´s a surprising hole in his vita: He´s not a style guru. "That´s right. I´m not a merchant," he wrote in his debut blog. Those aren´t exactly words that inspire confidence in retailing. "That´s not the first thing I want to hear," says Christine Chen, a retail analyst at Needham & Co. in San Francisco. In the apparel business, the merchants translate the ephemera of fashion into must-have commercial products. Unfortunately for Gap, it hasn´t had a successful merchant since Mickey Drexler, now chairman of J. Crew Group Inc., left in 2002, Bloomberg Businessweek reports in its Feb. 7 edition. That´s led to years of disappointing sales for its U.S. unit."-Bloomberg http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aGs6xtf2zceQ

J.CREW CONTINUED...

 The shareholders back out of their settlement but the battle between the shareholders and J.Crew Group Inc. continue as shareholders remain unhappy about the $3 billion deal to take J.Crew private.
http://www.bloomberg.com/news/2011-02-01/j-crew-10-million-settlement-of-tpg-buyout-suit-falls-apart-lawyer-says.html 


NEW COLLECTION- NAHM by ALLY HILFIGER & NARY MANIVONG

Ally Hilfiger, the daughter of famous fashion icon Tommy Hilfiger, pairs up with Nary Manivong, a previous nominee for the FGI Rising Star Award who also stars in the buzz-worthy documentary DRESSED, come together to create  NAHM. To find out more about the two and this new collection please visit the links below.


http://www.style.com/stylefile/2011/02/whats-in-a-nahm/
http://www.style.com/fashionshows/complete/F2011RTW-NAHM 
http://www.narymanivong.com/index.html




H&M: SUSTAINABLE CONSCIOUS COLLECTION

Like many designers and retailers sustainability has become increasingly important in the marketplace and to the consumer. H&M is having a second go at the sustainable market with the launch of The Conscious Collection. Last year H&M began their venture into sustainable fashion with The Garden Collection which had featured 69 style for women, men and children. These two collections are the starting point for the aggressive plan the company has to use only sustainable cotton by 2020. A difference from last year's marketing is that the fabrics will be labeled as "more sustainable" rather than last year's label of "sustainable."

http://www.hm.com/us/press/pressreleases/fashion/fashionpressrelease.ahtml?pressreleaseid=1184&nodeid=334

http://www.hmconsciouscollection.com/welcome/


MARK LEE SHARES HIS GAME PLAN FOR BARNEY'S

An image for Barney's Spring ad campaign

Last year the chic Barney's department store brought Mark Lee on board as the CEO. Last fall Daniella Vitalli, formerly the President of Gucci America, was brought onto the Barney's team as the Chief Merchant and Executive Vice President of all women's fashion. Charlotte Blechman also became the new Senior Vice President of marketing and communications and a few weeks ago Dennis Freedman became the new creative director for the group. Most recently Amanda Brooks was named as Fashion Director which began on February 7th.

http://online.wsj.com/article/SB10001424052748704422204576130282758912192.html
http://runway.blogs.nytimes.com/2011/02/04/barneyss-new-chief-explains-those-changes/

This week Mr. Lee outlines his game plan for Barneys. Many will not see the evolution until late fall of this year.

Highlights of Lee's Game Plan:

1. A black and white spring image campaign featuring backstage photos at fashion shows in New York, London, Milan and Paris.

2. Rennovations to the Madison Avenue flagship's main floor and men's Co-op. There will also be more of a physical connection between the men's and women's Co-op spaces.

3. Editorial microsite on the Barney's e-commerce site called "The Window." (This trend is increasing as "edvertorials" and social networking have become popular amongst many brands and designers.)

http://thewindow.barneys.com/black_and_white_ad_campaign_for_spring/ 

4. New Azzedine Alaia ready to wear space to take over the women's Prada ready to wear space. Prada ready to wear and handbags will be dropped from the assortment due to a leasing issue. (A decision prior to Lee's arrival). A Valextra handbag department will take over the Prada space on the main floor.

5. Black and white awnings will replace red ones at the Manhattan flagship which will mirror this spring's ad campaign.

6. There will be several Barney's Co-op spaces closing this year. Houston, White Plains, NY and Troy, Michigan.

Surely there will be more in store for Barney's as the year marches on.



LOCAL

LE VOYEUR: AKIRA's Spring 2011 Fashion Show

The Chicago based retailer and local fashion authority hosted their spring fashion show at the Lyric Opera this past Thursday. The show was rich, luxurious and paired down with trends highlighting pastels, florals and neutrals as well as strong color blocking, rock and metal punk influences and colorful, preppy attire from brands like Lacoste and Ben Sherman.

The show benefited the Lyric Opera and it opened with two beautiful arias performed by mezzo soprano Emily Fons. Not only was the space at the Lyric impressive but so was the show. For a first time attendant it was impressive. From a skeptic New York & Milan Fashion veteran's mouth to your ears, I was pleasantly surprised and very impressed.

The fashions presented during the show are currently available at the Akira boutiques and online at http://www.akirachicago.com/.