Market Pulse | All Systems Go

Savigny Luxury Index May 2011 | Source: Savigny Partners

LONDON, United Kingdom — As luxury stock valuations continue to roar ahead, even as the overall market has stalled, and luxury brands go to private and public investors to finance further expansion, we take our monthly check of the Market Pulse to understand the key drivers. Big news • The Savigny Luxury Index continues its upward trend led by the bullish outlook for the sector in terms of both organic growth and acquisitions •

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Is Burberry’s Digital Prowess Really Waning?

Burberry April Showers Accessories | Source: Burberry

LONDON, United Kingdom — For years, digital media experts and observers, including those on this website, have held up Burberry as an example of a luxury fashion brand that’s effectively embracing today’s digital world. Last year, Joanna Shields, Vice President EMEA for Facebook, the world’s largest social network now with more than 700 million registered users, took that one step further. “Burberry is no longer just a fashion

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Pops of coloured denim, Rampant cost-cutting, Beckham’s new game, Smart men’s fashion, Ahrendts’ right stuff

J brand coloured jeans | Source: J Brand

Blinded by Brights (On the Runway) “The fashion world took a giant leap into color this spring, and the denim makers were still offering vintage and classic washes, and a lot of other brands were displaying murky beiges and grays. Ew. And here in the middle of everything were J Brand’s exploding fuchsia, purple, vivid turquoise, bright red and lemon yellow.” Cost-Cutting Is Rampant in Fashion (Bloomberg Businessweek)

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Market Pulse | The Luxury Consumer Is Back

Savigny Luxury Index March 2011 | Source: Savigny Partners

LONDON, United Kingdom — This month’s Market Pulse shows a continuing upward trend for luxury and fashion stocks versus the MSCI World market benchmark, erasing any lingering doubts about the return of the luxury consumer. Big news • Luxury brands have had an excellent start to the year reporting strong Q1 results. Double digit sales growth has been fuelled by continued strong growth in China and economic recovery in the US

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Dressing pop stars, Bottega Veneta’s ambition, Burberry reinvests in London, The young Chinese, H&M’s Johansson

Rihanna wears Hervé Léger by Max Azria | Source: Vogue US

Why designers love to dress pop music’s leading ladies (Independent) “A quick glance at red carpeted occasions explains why designers, while still happy to dress actors – from fledgling talent to veritable superstars – might find working with their musical counterparts more inspiring.” Bottega Veneta expands with bags of ambition (FT) “Bottega Veneta, which has built a reputation as a discreet, logo-free

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Menswear goes formal, Gap for the people, Burberry’s digital China, E-commerce gains, Students rent the runway

E. Tautz Spring/Summer 2011 | Source: E. Tautz

Menswear’s Formal Acceptance (WSJ) “Jeremy Langmead, editor in chief of the recently unveiled men’s retailing website Mr Porter, thinks the tailoring turnaround heralds a return to the desire for rules. ‘If you have parents who grew up in the ’60s and ’70s, they already rejected all the rules where dressing was concerned. This is a new generation who is interested in learning how to tie a Windsor

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Autumn/Winter 2011 – The Season That Was

John Galliano | Source: The Creator Blog

PARIS, France – The process of writing this season’s wrap-up left a somewhat bitter taste in my mouth. Looking back, several of the most salient themes from this round of fashion weeks involve unsavoury behaviour, gossip and highly unprofessional comments from some of the industry’s most important figures. Whether it was John Galliano’s inexcusable anti-Semitic rant captured on video for the whole world to watch, the scrum of

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Christopher Bailey: Tech Mate, Galliano’s final exit, Future of Dior, Impact of influence, Gaga walks for Mugler

Christopher Bailey by Nick Knight | Source: American Vogue

Christopher Bailey: Tech Mate (American Vogue) “Let us consider Christopher Bailey, the man at the helm of Burberry, a pioneer of all things digital in the fashion industry…a company that he and CEO Angela Ahrendts sketched out on a napkin at lunch in 2006. As Bailey was re-creating the look and feel of Burberry, Ahrendts went to work on the business, turning an overgrown licensing operation into a global retail company

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Equity looks to fashion, Coach moves production, Sustaining success, Selfridges’ talent, Westwood extravaganza

Fashionista.com | Source: Fashionista

Equity turns fashionable (Fashion United) “Investing in something more than a covetable wardrobe is turning to be a trend that arrived to stay. Even more equity and investment firms are looking for opportunities to enter the fashion business, which is proving to be resilient to crisis and financial turmoils.” Coach to Move Production From China (WSJ) “Leather-goods maker Coach plans to gradually move some

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Getting The Luxury Fashion Business Model Right

Elle Macpherson at Louis Vuitton A/W 2010 | Source: Fashionising

Today, BoF exclusively brings you Savigny Partners’ blow-by-blow analysis of the rapidly shifting luxury fashion business model which is undergoing transformation due to underlying shifts in consumer values, technology and globalisation LONDON, United Kingdom — Luxury fashion is a very exciting business which can generate substantial returns if you get the formula right. Not only is there the ability to charge up to ten times

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Brands increase spending, MFW wrap-up, Kenneth Cole struggles, Burberry’s boost, Mel Ottenberg’s scene

Italian Luxury-Goods Makers to Follow Clients in Spending More (Bloomberg) “Ermenegildo Zegna, Salvatore Ferragamo and Roberto Cavalli will increase investment in 2011, signaling greater confidence among Italian luxury-goods makers as demand continues to rise.” Milan: Heritage, Showmanship, Theater (IHT) “But even the face-paint effects for the Facebook generation… did not give that extra kick of excitement

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Fashion’s self-obsession, Burberry bid talk, Prada IPO delayed (again), Fashion-Business faux pas, Open Vogue

Vionnet, Then and Now | Source: PSFK

Is  Fashion In Danger Of Going The Same Way As The Ad Industry? (PSFK) “Sharing the inner workings of the business and marketing of fashion is pop culture these days, behind the scenes interviews, makings of, documentaries, buy from the runway etc. Cleverly marketing the marketing of fashion in consumer culture, or, an industry talking to itself?” Burberry bid talk continues despite price label (FT) “Could the

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