Swiss bag brand Freitag: 'Circularity is anchored in our DNA'

INTERVIEW Sustainability is becoming more and more relevant in the fashion industry, with even big brands like H&M and Asos working on greener ranges. Swiss bag brand Freitag, on the other hand, is not advertising a sustainable collection. It does not need to, as following a circular economy is firmly secured in the company's DNA. “We are generally everything that has to do with circularity: Bicycles are circular and our first bags were messenger bags. So we were born with the DNA of the bicycle,” said Oliver Brunschwiler, creative director at Freitag. FashionUnited met Brunschwiler at the opening of the new Freitag by Selekteur store in Amsterdam and spoke to the former snowboarding pro about why the Corona-related restrictions on air travel in particular are an obstacle for the brand, how Freitag is politically engaged and why '100 percent circularity' is almost impossible. You were a professional snowboarder yourself, does this fact play a role for the brand? Brunschwiler: We don't have a direct connection to winter sports - we focus on urban transport dilemmas, not those in the snow. But at the very beginning, when Daniel and Markus [founders Daniel and Markus Freitag, editor's note] were still sewing bags in their first studio, they asked me if I could test a snowboard bag. It was called Stenmark. Stenmark used to be a slalom skier from Sweden. I tested the bag and took it to Japan, because I was a pro there, and travelled around the world with it. You are not only a former snowboarder and creative director, you also hold several other positions such as lead link, strategic planner and member of the board. Can you explain the wide range of positions in more detail? It's what we call our self-organisation system, which means that you can have different roles. For this interview, I am speaking from the role of “apostle”, which has the “purpose” of representing the Freitag brand “to the outside world”. When I'm talking in the role of creative director, I'm at the concept approval stage of a retail store. It's called holacracy and it is our organisational model. So we have actually also done away with these classic hierarchical levels. I do have roles that are held by the management as a whole, but depending on the project, I wear a “professional hat”. However, other staff members can also wear this hat, depending on their area of expertise. We want to empower our employees to make their own decisions. Are you planning more DIY experiences like the ‘sweat-yourself shop’? p>Whether it is digital or physical, it is a new DIY product that we’re bringing back that's a little bit smarter, that recycles a little bit more of the leftovers that come out of cutting. We actually want to close the loop and produce even less waste. Does the new product complement the DIY range? It's the replacement. We're very pure about it, there's always just something you can do at that location at that time, and we like to experiment there. We have determined how many pieces there were of the first product and we weren't quite happy with it ourselves, especially in terms of the waste and also the design features - it was a prototype. Now there is a re-development of the product and improvements in terms of DIY character are also coming. Has the pandemic driven digitalisation? It’s not rocket science, is it? It is the same for everyone. It showed that this exogenous shock simply has to make one constantly alert as an organisation and that is healthy, isn't it? Because exogenous influences are something that accelerate your transformation. I see this as a positive push towards digitalisation. People will continue to do retail. We are making noise from Jeju (Korea) to Amsterdam and continue to open new stores with our partners. But the shift to e-commerce will not simply make up for the lost sales of the Corona era. Many companies in the fashion industry suffered particularly from the lockdown-related shop closures and made losses. How did Friday fare during this time? We have grown strongly in the last few years. Of course, I have to say that we are limited to grow organically, because we cannot call some factory in China and say: we are doubling quantities. It's all used tarpaulin material that we buy from European shipping companies and it involves numerous manual production steps. We are also self-financed, which means we work without bank loans and it is only ever our profits that we reinvest at our own pace in innovations that match our philosophy. With such value-driven projects, we in turn attract exactly those employees who fit our brand. As a self-financed business, has a lack of revenue stopped you? Of course, we still had very ambitious goals at the beginning of last year, but in February 2020, the early warning system was already on because we are very present in Asia and saw how things are going. This enabled us to correct our high ambitions at an early stage and to adjust as well as possible. Because we are self-financed, we had to put the brakes on costs because many of the planned projects were not focused on a shift to e-commerce, but were rather playful and the risk of failure was very high. But we did not have to cut jobs. We are still doing very well, although our overall drop this year will be around 15 to 20 percent from the initial ambitious target. How did you deal with having to apply the brakes? Because the whole company is very agile, we were able to change the strategy immediately. We have set new priorities and that has worked at our size, it took hold and that is how we can get ourselves through longer periods of recession or a pandemic. Freitag recently opened many stores. Can you tell us a bit more about the expansion strategy? With the so-called “F-Store by” concept, where we have strong, motivated sales partners or those who sell the brand via limited licences, it often comes down to opportunities. We don't proactively ask anyone: ‘Do you want to open an 'F-Store by' for us?’ It is actually the other way around, and it is the trusted partners who ask us. The two to three stores that we usually open ourselves per year have been put on hold for the time being. There are many opportunities in the real estate sector at the moment. But we are still very cautious because an important driver for us in retail is tourism traffic. Have the Corona-related travel regulations become an obstacle? Air travel has a big impact on traffic in Freitag stores. It is the biggest influencer for brick and mortar stores at Freitag because our customers are mobile and they are bag hunters, which means they travel around and hunt for unique items they can't get among the usual mass-produced products. Are there any markets that you would like to enter into at the moment? There has been a lot of interest from the US lately. Our customers are located especially on the West Coast and in the Northwest of the country. That's why we were interested in a US expansion plan again. However, that is such a huge thing if you do it right, so I am also a bit glad that we have been slowed down and are focusing more on where we are best. We would like to close the loop - the globe - because we are closing loops. The challenge would be very long distances logistically, and we always want to avoid that. We don't do ‘returns’ or offer ‘free shipping’ because this kind of logistics is anything but ecological. But we have time to close the loop globally and don't have to take advantage of every opportunity - we are growing slowly. Foto: Lukas Wassermann Apart from bags, there is also a biodegradable clothing line. Why does this not have a strongly presence in the stores? It is really more of a hobby and we originally did it for ourselves. There was a short-term ambition for a business line, but we dropped it. We wanted to prove to ourselves that we can develop a clothing line that is made in Europe and leaves nothing harmful behind at the end of the product life cycle. We distribute our clothing line where it makes sense - exclusively in Europe, where it is also made, and online - but it's not like we have ambitions now to make ‘F-abric’ a business as big as our bag business. Actually, it is all about fabrics. We launched the clothing line seven years ago, it is 100 percent recyclable, cradle-to-cradle, no toxic ingredients at all, no irrigation-intensive cotton either, but European bast fibres and modal. Accordingly, it is also quite limited, without synthetics, one can't make every cut out of it. What other goals is Freitag striving for in terms of sustainability? Our purpose is to become 99 percent circular, which is what companies like Microsoft are now aiming for, in ten years. But they compensate for that, don't they? There are whole sciences for measuring 'sustainability'. We don't even have the word 'sustainability' because it's all part of our DNA. Whatever we can do ourselves in the area of materials, whatever we can influence, we want to drive towards 99 percent, because 100 percent is almost impossible - in our generation at least. Are there other topics that you would like to push forward? We got involved politically for the first time. In Zurich, we started to [understand] traffic regulations, which are about bicycle traffic. We actually want smart cities to become more bikeable, not only because it's in our DNA. That's why we are starting to get political as a brand and employer, city-by-city, and to get involved, but only in this area. It is something that is always a bit tricky, because you also represent other employees when you express a political position. And then you quickly find yourself in a corner, mostly with the Green Party, when it comes to bicycles. We actually represent the circular economy, that is a new vision that we have set for ourselves, independent of any commercial ambitions. This article was originally published on FashionUnited.de. Edited and translated by Simone Preuss. Fotos: Freitag | header image: Oliver Brunschwiler by Roland Taennler
http://dlvr.it/RwwyhW

FW21: Womenswear print trends

Trendstop brings FashionUnited readers the key print stories from the Fall Winter 2021-22 Women’s Fashion Weeks. Reflecting the overarching themes of the season, seasonal prints and patterns channel comforting feelings of nostalgia with an eco-friendly, upcycled twist. Artisanal and hand rendered techniques are revived and reenergised for the contemporary market, in an exploration of world culture and heritage. Steeped In History As consumers seek comfort in nostalgia, prints reconnect with the past. Historical themed conversationals, vintage ditsy florals and classical motifs are applied as all over prints. Coupled with the use of sepia tones and monochrome colourways, prints make a more subtle statement, imbued with a heritage feel. Mono Global Looking beyond lockdown, print and pattern takes inspiration from global cultures and artisanal printmaking from around the world. Batiks, tile prints, animal patterns and tribal chevrons come in a palette of soft black or warm, earthy tones offset by creamy pales. The two-tone effect sees intricate designs take on a more contemporary feel. Repurposed Plaid Effects The trend for recycling and upcycling, makes its mark on print themes as classic plaids are pieced and patched together. Vintage blanket checks and traditional tartans are patched together or mixed with contrasting plain and pattern pieces, tapping into ideas of reusing deadstock materials and the revival of retro and heritage nostalgia. Exclusive Offer: FashionUnited readers can get free access to Trendstop’s Spring Summer 2021 Key Print Directions report, featuring all the key print and pattern trends from the SS21 runways. Simply click the banner to receive your free report. Trendstop.com is one of the world's leading trend forecasting agencies for fashion and creative professionals, renowned for its insightful trend analysis and forecasts. Clients include H&M, Primark, Forever 21, Zalando, Geox, Evisu, Hugo Boss, L'Oreal and MTV.
http://dlvr.it/RwwyhL

Misa Hylton on Macy's Icons of Style and the new renaissance for Black creatives

She was a pioneer of ‘90s hip-hop fashion and she hasn’t slowed down since then. Misa Hylton made a name for herself dressing prominent hip-hop and R&B artists, most notably Lil’ Kim and Mary J. Blige. The latest line item on her resume is fashion design collaborator for Macy’s Icon’s of Style fashion collection that brought in Black creatives to create limited-edition capsule collections that will be released in three drops throughout the year. When Hylton’s career first began taking off, the fashion industry and hip-hop couldn’t be world’s further apart from each other. Many brands didn’t want to loan to hip-hop and R&B artists because they weren’t seen as mainstream enough. Oh, but how far the world has come since then. Misa Hylton’s talks Macy’s Icons of Style and the new era for Black creatives “There are so many more opportunities now,” Hylton said. “Black creatives are now banning together powerfully, which wasn’t something we weren’t doing before. Now, organizations like Harlem’s Fashion Row, Black in Fashion Council, and my organization, the Misa Hylton Fashion Academy, are making sure that Black creatives are protected, educated, and our voices are amplified. There’s been huge changes in the industry, and I’m so hopeful about the future of Black creatives.” In 2012, Hylton founded the Misa Hylton Fashion Academy because she saw a void for education, mentorship, and skills for people of color who wanted to pursue a career in fashion. She wanted to provide the mentorship and opportunities she got for the next generation of fashion, and it’s become a major passion and focus of hers. Recently, the organization received the Gucci Changemakers Award, providing them a grant to further expand on their mission. Hylton became part of Macy’s Style Icons when she was contacted by the department store’s vice president Durand Guion to be part of the project and design a line for Macy’s in-house label INC. Both Hylton and Guion have spent years in the industry, both on their meteoric rise to fashion success, but when he reached out to her for the collaboration, it was the first time they had met each other. Hylton was inspired her dual Japanese and Black heritage and wanted to create designs to mix these two cultures. There was no shortage of colors and prints in her design. “Anything colorful and printed, especially Asian prints, I love,” Hylton said. “For the collection, I wanted to showcase more of my feminine aesthetic. I wanted my collection to speak through the lens of hip-hop culture and Black fashion.” Hylton considers it a privilege to be among so many other creatives as part of Style Icons, including Zerina Akers, Aminah Abdul Jillil, Allen Onyia, and Ouigi Theodore. She saw INC as the perfect brand for her to design a capsule for due to her love of color and print. While hip-hop fashion and mainstream fashion were once considered two separate entities, Hylton says those days of division are long over. Hip-hop is now part of the mainstream. “Those days of division between mainstream fashion and hip-hop are over, whether it’s said or not,” Hylton said. “It’s all fashion at this point. The bridge the creatives of my day had to cross to get there just involved us being the amazing, talented people we are. People like authenticity. They love things that are different and outside of the box. You can’t deny hip-hop fashion is edgy and exciting. It was only a matter of time. Hip-hop built the names of so many luxury brands, and I’m happy that’s finally being acknowledged. In the age of social media, we are only able to move forward, not backward.” Hylton describes her Icons of Style collection as for, “Every woman. It’s for the INC woman of course, but I want this collection to be for every woman who wants to feel beautiful and empowered.” In addition to her recent Macy’s capsule, Hylton is also working on workshops and finding opportunities to bring in fellow fashion creatives to her projects. The first drop of her Icons of Style Collection is now available at Macy’s. Image: Macy’s
http://dlvr.it/Rwwygz

J.Crew Group makes slew of appointments to management team

J.Crew has announced a raft of executive appointments and new board members as the US retailer looks to “advance its long-term strategic growth plan” after emerging from bankruptcy late last year. Jose Davila has been appointed chief people officer where he will guide the company’s overall people strategy and execution. Davila has 25 years of talent management and brand-building experience, most recently working as vice president of human resources for Levi Strauss, where he oversaw North and South America. He also spent a 10-year stint at Gap, where he held several senior positions including head of human resources for Banana Republic and vice president of human resources for the Gap Brand Stores Organization. Next, Danielle Schmelkin has been named chief information officer, where she is tasked with steering the company’s digital transformation “by maximizing data insights, increasing connectedness and interactivity with customers, driving innovation and fortifying IT architecture”. Schmelkin has over 20 years of experience in technology and digital innovation, most recently working as chief information officer of J.Crew’s Madewell brand. Derek Yarbrough has been appointed to the newly-created position of chief marketing officer, where he will be responsible for all marketing, creative, and e-commerce initiatives for the J.Crew and Madewell brands. He brings over 20 years of experience, most recently serving as chief marketing officer of Madewell. Finally, Liz Hershfield has been appointed as senior vice president of sustainability, another newly-created role responsible for leading sustainability innovation for the J.Crew, Madewell and J.Crew Factory brands. Hershfield has over 25 years of experience, most recently serving as senior vice president of sourcing and sustainability at Madewell. “I believe strong and relevant brands are customer-centric, community-minded, purpose-driven and powered through innovation, technology and a deeply collaborative culture,” said Libby Wadle, J.Crew Group's CEO, in a statement. “Jose, Danielle, Derek and Liz are proven leaders in their respective fields, share our core values, and bring significant expertise as well as a passion for our brands that will drive our business forward.” J.Crew doubles board to six members In the same announcement, J.Crew revealed the addition of three new board members. Frits Dirk van Paasschen is the former CEO of The Coors Brewing Company and has held several management positions at Nike, ultimately becoming Nike's president of Europe, Middle East, and Africa. The next new addition is Anna Fieler, a transformative technology executive and investor who founded and currently runs venture capital firm Madison Park Ventures. She was also peviously chief marketing officer of PopSugar. The final addition is Nadia Rawlinson, a global human resources executive who currently serves as the chief people officer at Slack and was previously the chief human resources officer at Live Nation Entertainment and Rakuten USA. This slew of top appointments comes at a significant period of change for J.Crew. The group became the first major US retailer to file for bankruptcy during the Covid-19 pandemic back in May. It confirmed at the time that Madewell would remain part of J.Crew Group, following speculation it might sell off the brand. In September 2020, the company emerged from Chapter 11 bankruptcy after winning approval for its restructuring plan by the US Bankruptcy Court for the Eastern District of Virginia. The plan saw the company equitize over 1.6 billion dollars of secured indebtedness, and access a 400 million dollar exit asset-based loan facility as well as 400 million dollars of new term loans. The same month, the retailer announced it would permanently close all six of its UK stores as it exits the country. Photo credit: J.Crew
http://dlvr.it/Rwt0RZ

Designer Kim Jones launches collection with Converse

Debuting his first collection for Converse, fashion designer Kim Jones explores the brand’s DNA through his nostalgic designs while delivering a contemporary spin on the American sneaker. Jones stated he updated the Converse Chuck 70 sneaker with streetwear in mind by reinforcing foot stability and enhancing grip to increase traction on city streets. The collection also features a nylon, velcro, and mesh Parka jacket that is water-resistant. Crewneck sweatshirts, cargo pants, and t-shirts round out the collection. “I looked at the Japanese designers readapting American sportswear — recreating that fifties and sixties look. Obviously, Converse was the key shoe within all that stuff. Now, I’m just putting it all together in a different way,” stated Jones in a press release. “The design approach for the shoe was very straightforward- taking a classic shoe and then almost encasing it in something to protect it.” Image: Converse
http://dlvr.it/Rwt0RC

Puma drops shoe inspired by dance music culture

Sports company Puma has dropped its latest Mirage Tech shoe, inspired by music and dance culture. The shoe, taken initially from the Puma archive, features a modern silhouette and an electric blue and yellow colorway. The brand stated the shoe takes inspiration from electronic dance music (EDM), and Puma ambassador DJ Snake can be seen wearing the Mirage in a campaign shoot in Paris. The Mirage is a part of Puma’s growing selection of Furto syle shoes, a mashup of retro sneakers with futuristic inspiration. “This revamped style features trippy colors, eye-catching materials, and futuristic elements taking inspiration from the lights, energy, and atmosphere of EDM shows. This drop features a lighter grey color option with bright, bold accents of blue and yellow,” stated Puma in a press release. The Mirage OG was first introduced over half a century ago, and it was initially released as a lightweight track and field shoe and reissued as a jogging shoe in the ’90s. Image: Puma
http://dlvr.it/Rwt0L5

Beauty & Wellness Trendbook FW21 by Peclers Paris

For FashionUnited, Peclers Paris shares its vision about Beauty & Wellness for the FW21-22 season. The crisis that we are experiencing is unprecedented. It has had a profound impact on society and a system bursting at the seams. It has made our need for change more acute. Change was already underway in the beauty industry, particularly in matters related to sustainability and a focus on cleaner and more transparent cosmetics. New markets, once considered secondary, have become a priority for many consumers. The wellness and hygiene segments are booming, while personal care is becoming increasingly sophisticated. Home care is also emerging as a promising market. At Peclers, we are convinced that this unique situation presents a unique opportunity: an opportunity to rethink the notion of value. An opportunity to slow down to create more meaningful interactions. An opportunity to build a desirable and sustainable future. See more trend content by Peclers Paris here . Video source: Peclers Paris Photo credit: Peclers Paris
http://dlvr.it/RwpVsF

Sustainability Accelerating in the Beauty and Personal Care Industry

Of sustainability’s three pillars—economic, environmental and social—much of the beauty industry’s innovation has centered around the environmental pillar. A year after the initial outbreak of the COVID-19 pandemic, momentum in sustainability has picked up again, coinciding with greater strides in vaccine distribution, the reopening of marketplaces and more optimism for future economic recovery.  For the full Euromonitor podcast click here. One area of sustainability that has been a focal point for beauty players is refillable packaging. This format has entered new categories such as deodorants, cosmetics and fragrances by helping reduce packaging waste and shipping costs. Consumers in the US are still getting used to the idea of using reusable bags for the grocery store, but consumers in Western Europe, who are in a much more eco-conscious environment, are now seeing innovation in the form of refill stations in retailers like Asda, The Body Shop and Neal’s Yard Remedies. Another area of focus within the beauty industry has been alternative packaging materials. More brands are looking for alternatives to virgin plastic, which is the most widely used packaging type in beauty. PCR, or post-consumer recycled content, is a big focus right now, as are bio and plant-based formats like sugarcane, cork and bamboo. Beauty brands are also using waste or by-products and making them purposeful in both formulation and packaging. The pandemic and lock-down measures have made some consumers more aware of their environmental impact, which sets the stage for other areas of environmental sustainability like zero-waste packaging, reusing plastic found in oceans, and water-efficient and water-free formulas. COVID-19 has brought on a new consciousness that goes beyond merely compensating for a company’s negative impact on people and the planet. The pandemic laid bare a humanitarian crisis that has brought the ‘people over profit’ angle into the spotlight. This angle has been more common in skin care categories but has been increasing in other personal care categories as well. The consensus from beauty companies and Euromonitor survey data suggest that consumers are holding companies accountable to care for their communities. This focus has accelerated during the pandemic and will be a mainstay feature afterwards. Written and created for FashionUnited by Euromonitor. Explore more fashion-related podcasts by Euromonitor here. Photo: Pexels
http://dlvr.it/RwpVnX

VF Corp reshuffles EMEA leadership team

VF Corporation, whose portfolio includes brands Supreme, The North Face, Timberland, and Vans, has reshuffled its EMEA leadership team. Andreas Olsson has been appointed as regional general manager of Dickies EMEA. Olsson joined the company back in 2009 and has since held several sales and marketing positions within Vans and The North Face. Most recently, he was director of group digital accounts where he contributed to the EMEA region’s strategic digital acceleration. Olsson succeeds Massimo Ferrucci, who has been appointed as president of Italian premium casual-wear brand Napapijri. Ferrucci takes on the position in addition to his role of general manager, emerging markets. Ferrucci replaces Timo Schmidt-Eisenhart, who left VF Corp to pursue a new career opportunity. Next, Argu Secilmis has been appointed as vice president of product and marketing at Napapijri. Secilmis joined Timberland in 2009, holding roles at the brand across merchandising, marketing and product. Most recently, he was Timberland’s vice president of global apparel. Finally, Stuart Pond has been appointed as vice president of EMEA supply chain operations. He has been vice president of supply chain for VF Corp’s Asia Pacific region since 2018. He succeeds Darren Miller, who recently announced his decision to leave VF for personal reasons after 28 years. “VF’s ongoing success in EMEA is driven by a strong, cohesive leadership team with extensive business management experience, industry knowledge and a deep understanding of our company culture and vision,” said Martino Scabbia Guerrini, VF Corp’s president of the EMEA Region, in a statement. “We’re thankful to Andreas, Massimo, Argu and Stuart for bringing their passion and commitment to VF. We wish them all the best on their new assignments going forward.” Third-quarter revenue at VF Corp dropped 6 percent to 3 billion dollars, driven by store closures and lower consumer demand as a result of the Covid-19 outbreak. Image: The North Face
http://dlvr.it/RwpVl7

H&M swings to Q1 loss, net sales down 21 percent

Swedish fashion giant H&M swung to a loss in the first quarter of the year as it continued to feel the impact of the pandemic. The company reported a loss after tax of 1.07 billion Swedish kronor in the three months to 28 February, compared to a profit of 1.93 billion kronor a year earlier. It came as H&M’s net sales dropped 21 percent in local currencies to 40.06 billion kronor compared to 54.95 billion kronor the previous year, with the group citing “extensive restrictions” caused by the second wave of the pandemic. At the most, around 1,800 stores were temporarily closed - around 36 percent of the group’s total number of stores. But the company was upbeat on more recent trading, with sales up 55 percent in local currencies in the period 1-28 March 2021 compared with the same period in 2020. Online sales developing ‘very well’ “It is now a year since the full force of the pandemic hit. I am deeply impressed by and proud of all our colleagues’ fantastic commitment and customer focus during a very challenging time,” said H&M CEO Helena Helmersson in a statement. “Although it is still largely a matter of managing the negative effects of recurring store closures, it is clear that customers appreciate our offering. When markets have been allowed to open, store sales have picked up while at the same time online sales have continued to develop very well.” Helmersson continued: “The changes that we were already seeing in areas such as digitalisation and sustainability have been sped up further by the pandemic. We have therefore increased the pace of change, and thanks to our significant investments in recent years we are able to meet customers’ changing behaviour and higher expectations with increasing speed.” Image: H&M
http://dlvr.it/Rwkky1

TJX Companies announces quarterly dividend

The TJX Companies, Inc. has announced a quarterly dividend on its common stock of 26 cents per share payable June 3, 2021, to shareholders of record on May 13, 2021. The TJX Companies is an off-price retailer of apparel and home fashions in the U.S. and worldwide. As of January 30, 2021, the end of the company’s fiscal year, the Company operated a total of 4,572 stores in nine countries, the United States, Canada, the United Kingdom, Ireland, Germany, Poland, Austria, the Netherlands, and Australia, and four e-commerce sites. These include 1,271 T.J. Maxx, 1,131 Marshalls, 821 HomeGoods, 48 Sierra, and 34 Homesense stores.
http://dlvr.it/Rwkkvl

Lululemon Athletica reports rise in Q4 sales and earnings

For the fourth quarter of 2020, net revenue at Lululemon Athletica increased 24 percent to 1.7 billion dollars, while on a constant dollar basis, net revenue increased 22 percent. The company’s net revenue increased 21 percent in North America and increased 47 percent internationally. Total comparable sales increased 21 percent or increased 20 percent on a constant dollar basis. Diluted earnings per share were 2.52 dollars compared to 2.28 dollars in the fourth quarter of 2019 and adjusted diluted earnings per share were 2.58 dollars. Commenting on the trading results, Calvin McDonald, the company’s Chief Executive Officer, stated: “Our continued growth demonstrates the strength of Lululemon — before, during and as the pandemic subsides. We are still in the early innings of our growth, fuelled by exciting innovations that create even more opportunity into the future.” Lululemon’s Q4 trading update The company said in a statement that direct to consumer net revenue increased 94 percent or increased 92 percent on a constant dollar basis. Comparable store productivity was 72 percent or 71 percent on a constant dollar basis, representing a comparable store sales decrease of 28 percent or a decrease of 29 percent on a constant dollar basis. Direct to consumer net revenue represented 52 percent of total net revenue compared to 33 percent for the fourth quarter of 2019. Gross profit for the quarter increased 25 percent to 1 billion dollars and gross margin increased 60 basis points to 58.6 percent. The company added that income from operations increased 10 percent to 457.9 million dollars and adjusted income from operations increased 12 percent to 465.7 million dollars. Operating margin decreased 330 basis points to 26.5 percent, while adjusted operating margin decreased 290 basis points to 26.9 percent. The company opened six net new company-operated stores during the quarter, ending with 521 stores. Lululemon’s results for 2020 compared to 2019 The company’s net revenue for 2020 increased 11 percent to 4.4 billion dollars, while on a constant dollar basis, net revenue increased 10 percent. Direct to consumer net revenue increased 101 percent and increased 101 percent on a constant dollar basis. Company operated store net revenue decreased 34 percent. The company said, net revenue increased 8 percent in North America and increased 31 percent internationally. Direct to consumer net revenue represented 52 percent of total net revenue compared to 29 percent for 2019. Gross profit for the year increased of 11 percent to 2.5 billion dollars and gross margin increased of 10 basis points to 56 percent. Income from operations decreased 8 percent to 820 million dollars and adjusted income from operations decreased 4 percent to 849.8 million dollars. The company’s operating margin decreased 370 basis points to 18.6 percent, while adjusted operating margin decreased 300 basis points to 19.3 percent. Diluted earnings per share were 4.50 dollars compared to 4.93 dollars in 2019, while adjusted diluted earnings per share were 4.70 dollars in 2020. The Company opened 30 net new company-operated stores during the year, ending with 521 stores. Lululemon reveals outlook for Q1 and FY21 For the first quarter of fiscal 2021, the company expects net revenue to be in the range of 1.100 billion dollars to 1.130 billion dollars. Diluted earnings per share are expected to be in the range of 81 cents to 85 cents for the quarter and adjusted earnings per share are expected to be in the range of 86 cents to 90 cents. For fiscal 2021, Lululemon expects net revenue to be in the range of 5.550 billion dollars to 5.650 billion dollars. Diluted earnings per share are expected to be in the range of 6.10 dollars to 6.25 dollars for the year and adjusted earnings per share are expected to be in the range of 6.30 dollars to 6.45 dollars. Image: Lululemon media
http://dlvr.it/RwkksH

Video: Saint Laurent present its summer 2021 collection

In this video, French luxury fashion house Saint Laurent has presented its summer 2021 collection designed by Anthony Vaccarello in a digital format. Watch the video below. Video: Saint Laurent via YouTube Photo credit: Saint Laurent, Facebook
http://dlvr.it/Rwg00j

Australian e-tailer MySale returns to profit following restructuring

Australian online retailer MySale has returned to profitability in the first half of the year following its restructuring to an “inventory light market place platform” focused on the ANZ market. For the six months to December 31 2020, the company reported EBITDA of 2.5 million Australian dollars, compared to a loss of 3.1 million Australian dollars in the prior-year period and ahead of management’s expectations. “We have made excellent progress in the last six months reflected by the successful ongoing execution of our ANZ First Strategy, which is flowing through into the financial results,” said MySale CEO Carl Jackson in a statement. Group total revenue decreased by 11 percent to 63.8 million Australian dollars in the period, but core revenue - which excludes the sale of legacy stock - increased by 15 percent to 61.3 million Australian dollars. MySale returns to H1 profit, upbeat on current trading The retailer’s gross margins continued to improve in the period, increasing to 38 percent compared to 34 percent a year earlier. In 2019, MySale launched a restructuring strategy that saw it close its UK and US operations and sell the trade and assets of its shopping platform Cocosa.co.uk to fashion retailer Brandalley for 1.5 million pounds. The restructuring also saw brand partners relaunching on the group’s “inventory-light marketplace platform” where the group says they could benefit from its “counter-seasonal proposition”. MySale chair Charles Butler said: “A key area of the restructure has been to focus on better quality revenue, which has meant being much stricter on which third-party sellers can trade on the platform and being more selective over what stock is purchased. “This in turn has led to better quality products on the website and a significant improvement in customer satisfaction scoring, which should lead to improved customer retention and repeat purchase rates going forward. From a financial perspective, this has led to a 12 percent improvement in gross margin to 38 percent.” MySale said trading for the first two months of the third quarter has continued to be profitable, with core revenue and gross profit “significantly ahead of the prior year, underpinned by robust margins and a right sized, more flexible cost base”. The board expects group revenue for the year to 30 June 2021 to be in line with previous guidance, with group underlying EBITDA expected to be “significantly” ahead of market expectations. Image: MySale, Facebook
http://dlvr.it/Rwfzzs

Judge denies bail to fashion mogul accused of sex crimes

A Canadian court ruled Friday that fashion executive Peter Nygard must remain in prison while he fights extradition to the United States to stand trial for sex crimes. Nygard, 79, had appealed a ruling in February by a court in central Manitoba province that denied bail on grounds that he might tamper with witnesses or his accusers. It said he had breached court orders on at least five past occasions. On Friday an appeals court in Manitoba rejected Nygard's appeal, saying this was necessary in order to "maintain confidence in the administration of justice." The court noted the "'extreme' nature and scope of the allegations which paint a picture of criminal conduct that was planned, financed and executed on a staggering scale." Nygard faces nine charges in the US, including racketeering and sex trafficking, involving "at least a dozen victims in the United States, the Bahamas, and Canada, among other locations," the New York federal attorney in charge of the case said last month. The crimes allegedly took place between 1990 and 2020. Nygard and his alleged accomplices, including employees of his fashion group, "used force, fraud, and coercion to cause women and minors to have sex" with them, the statement said. Nygard, who has been in Canadian custody since mid-December, has denied the accusations. A date for his extradition hearing has yet to be scheduled. Nygard's lawyer had asked in January that he be released on bail out of fear he would catch the coronavirus in prison. The judge said no, noting only seven cases of infection among the 500 prisoners at the facility where Nygard is being held.(AFP)
http://dlvr.it/RwfzyW

UK Government urged to adopt Shop Out to Help Out scheme to save high street

Last August the UK government launched the initiative Eat Out to Help Out Scheme in a bid drive traffic to cafes and restaurants during local lockdown. This year campaigners are calling for a similar proposal to save the ailing high street, with a scheme called Shop Out to Help Out. The campaign group Save The Street, backed by notable industry persons including retail expert Mary Portas and beauty entrepreneur Charlotte Tilbury, have called on Chancellor Rishi Sunak to support the sector by offering customers 50 percent off the cost of goods at independent retailers up to a price of 10 pounds. Save The Street says UK retailers lost 27 billion pounds of sales in the past three lockdowns as non-essential stores remain closed. Figures from the British Retail Consortium show 67,000 retail jobs were lost between December 2019 and 2020. Like the restaurant scheme, Shop Out to Help Out would see the Government reimburse retailers for the discount, with customers only able to use it once per transaction. The initiative scheme could run for one month this summer with discounts available to shoppers from Monday to Wednesday only, and limited to independent enterprises with fewer than 10 employees that sell through physical stores. Retail technology entrepreneur and founder of Save The Street Ross Bailey said: “We would be kidding ourselves to think that everything will be fine for independent retailers once they reopen on April 12.” The damage has been done “The damage has been done over the last 12 months, now it is the Government’s responsibility to support these businesses and ensure they are given a fighting chance to bounce back.” “Independent retail is the heart and soul of communities across the UK. If the Government doesn’t support them now, it won’t just bankrupt thousands of businesses, it will irrevocably damage the society we all live in.” Ms Portas said: “Covid-19 has chipped away at the brilliant diversity of our high streets up and down our country.” “We need to act now and harness the support, need and love that people have for our high streets.” “These local businesses during the pandemic have held our communities together. A scheme like this will bring a vital lease of life back to the places that mean so much to us all.” British Independent Retailers Association (Bira) chief executive Andrew Goodacre said: “We know the Eat Out to Help Out scheme really brought customers back to hospitality venues last summer, and we are sure that a similar initiative for retail would have the same effect. Much of retail has borne the brunt of this pandemic and this scheme would help give a much-needed boost to high streets and consumer confidence.” Image: Save The Street
http://dlvr.it/RwbJj4

Gap to sell childrenswear brand Janie and Jack to Go Global Retail

Gap is to sell its premium childrenswear label Janie and Jack to Go Global Retail, two years after buying it. Founded in 2002, San Francisco-based Janie and Jack sells apparel, footwear, and accessories from newborn to size 16. The company has 115 retail stores in the US as well as a webstore. It was acquired by Gap back in March 2019. Go Global now plans to expand the brand to new markets in the UK, Europe and Asia, as well as invest in the company’s digital capabilities including artificial intelligence and predictive analytics. “We are thrilled to acquire an incredible brand like Janie and Jack from the Gap,” said Jeff Streader, founder and managing partner of Go Global, in a release. “Our plan is to expand the company’s digital capabilities and accelerate online growth globally.” Go Global’s investment partners in the acquisition include New York-based Axar Capital Management, MidCap Financial of Bethesda, Maryland, as well as Strategic investors FB Flurry, based in Dallas, Texas and Shanghai-based Ven Bridge, Ltd. Shelly Walsh, general manager of Janie and Jack, said: “This is an exciting opportunity for Janie and Jack, and we are incredibly pleased that our brand will continue to build lasting connections with customers as part of the Go Global family. “We are thrilled to work with this team of experienced retail professionals who are as passionate about growing our strong, stand-alone brand as we are. I believe we’ll build a bright future together.” The Go Global transaction is expected to close April 2, 2021. Image: Janie and Jack, Facebook
http://dlvr.it/RwbJfl

Retail sales in the UK and Germany give an early read of the European economy

The second quarter of 2021 should have been a time for economies reopening, and all eyes are on the UK and Germany to give an indication of consumer sentiment and retail sales. The UK and Germany Spend Insight Report by Fable Data shows UK spending the week of 15 March was up 1 percent on 2020 and down 1 percent YoY on a rolling 28 day basis. Relative to 2019 levels, last week’s spend is down 6 percent. Germany, in comparison, saw a 12 percent rise in spending in the same period as lockdown restrictions were eased. Relative to 2019 levels, last week’s spend is down 5 percent. Sales of clothing and apparel was up 109 percent over last year, in sharp contrast to just two weeks ago when it was down 7 percent. In the UK department stores saw an uptick of 59 percent, as click and collect and appointment shopping become the new normal. High Street shopping in the UK remains challenging and is down 50 percent compared to 2019 with much of the retail sector still closed. In Germany, with a partial reopening of some retail stores, spend is broadly in line with 2019 levels and is significantly up relative to March 2020 spend. Easter will be a challenging time for UK retailers as stores continue to remain shut. In Germany partially opened retailers are expected to see an increase in spending.
http://dlvr.it/RwbJcC