Coach Spring Summer 2010 Poppy Collection | Source: Coach

Not quite a luxury resurgence (Marketwatch)
“The U.S. economy may be slowly coming out of recession, but it appears we’re still pretty conservative when it comes to buying.”

What Hermès’ New Chinese Brand Means for the Luxury Industry (Fashionista)
“Three days before Christmas, the savvy folks over at godly luxury company Hermès quietly announced that they would launch a new brand in China called Shang Xia. The label will incorporate Chinese raw materials and local craftsmanship tailored to the specific desires of the Chinese luxury consumer.”

At Milan’s Fall Shows, the Clothes Go Marching On (NY Times)
“The trench coats, Eisenhower jackets and jumpsuits produced to outfit soldiers in different wars and divergent eras are still with us — or they were throughout the last four days, when designers showing men’s wear for fall seemed to have war on their subconscious minds.”

Fashion Week Underlines Berlin’s Rising Status (ABC)
“Young designers showed off edgy new clothing on Wednesday as Berlin’s fashion week opened, an event that underlines the German capital’s hopes of establishing itself as a fashion power… Event organizers say Berlin — which has grown consistently since its start in 2007 — is now the fifth-largest.”

Britain’s best fashion bloggers (Telegraph)
“The newest power players in the fashion industry aren’t designers or models, they’re bloggers. Jessica Salter meets Britain’s pioneer online style-watchers.”

Barneys' "Have a Witty Holiday" Catalogue: Source: Barneys New York

Luxury retailer look to stage Christmas comeback (Market Watch)
“A year after the luxury sector reported the worst holiday season in the already-battered retail industry, high-end retailers are hoping a variety of gambits, from increased exclusives to emphasis on telling why an item is special, can cast that holiday magic.”

Record ecommerce sales number reached (Biz Report)
“They predicted it and it has now happened: more than $900 million has now been spent in a single day of online shopping. According to the latest comScore information Green Tuesday (December 15) ecommerce sales reach $913 million.”

Coach’s 7 Secrets to Selling Luxury (The Motley Fool)
“Saving face in tough times is a particularly dicey exercise for luxury retailers. When brand prestige is your currency, an ill-conceived, short-term, budget-minded makeover can lead to long-term brand destruction.”

Ben Sherman to Drop Women’s Wear in 2010 (NBC)
“It’s not secret that the British-based clothing company has had a very difficult year, but a move as massive as dropping womenwear altogether hints at big changes afoot for the retailer to make ends meet for 2010.”

Herrera lures Russians with boutique show (Reuters)
“American fashion designer Carolina Herrera followed in the footsteps of her sartorial colleague Giorgio Armani this week by vying for a piece of Russia’s recovering luxury good market — the world’s fourth largest.”

Balenciaga, Gucci Group | Source: Balenciaga

PPR Sales Miss Estimates as Gucci Touches ‘Low Point’ (Bloomberg)
“PPR SA, owner of the Gucci brand, reported sales that missed analysts’ estimates after demand weakened across the French company’s markets, from luxury to furniture and African goods distribution.”

Coach fiscal 1Q profit falls slightly; sales rise (AP)
“Luxury handbag maker Coach Inc. said Tuesday its new lower-priced handbag lines such as its colorful Poppy bags are boosting growth in an environment where consumers will spend less on nonessentials for the long term.”

Online spending growth at all time low (Drapers)
“Online spending growth dropped to a record low in September as etailers were hit by heavy high street discounting and localised postal stikes.”

Luxury retail lands in Singapore (Inside Retailing)
“A colossal integrated resort development under construction in Singapore will add a whole new retail dimension to the city state already renowned for its retail offer.”

‘Schmatta: Rags to Riches to Rags’ (LA Times)
“In the last 40 years, the percentage of American clothing made in America has plummeted from 95 to 5. Five percent! How did this happen?”

Hermès scarf for sale on Ebay

EU To Adjust Rules Governing Online Sales (CNN Money)
“The European Commission Tuesday said it plans to adjust the rules governing the rights of retailers to sell their goods on the Internet in an attempt to boost online sales in Europe.”

Coach Drops On Worries About Slowing Comp-Store Sales (WSJ)
“Shares of Coach Inc. fell as much as 7.1% Tuesday after the upscale leather-goods retailer’s fiscal fourth-quarter profit declined 32%, in part on prior-year gains, while sales fell short of analysts’ expectations and margins declined. Though the company’s per-share earnings met consensus estimates, much of the focus turned to the possible slowing of comparable-store sales at outlet stores and the company’s heightened investment in its Fall 2009 “Poppy” collection.”

Cost cuts help Jones Apparel profit beat estimates (Reuters)
“Jones Apparel Group Inc (JNY.N) reported a higher-than-expected second-quarter profit on Wednesday, bolstered by cost cuts and the strong performance of its wholesale jeans business.”

Unmasked: the blogging model who rocked the world of fashion (Guardian)
“An interview with Jenna Sauers, the fashion model who worked anonymously for the feminist website Jezebel.”

Reliability is good for business for fashion retailer sector – CPM (Fibre2Fashion)
“In the light of the current market situation in Eastern Europe, a platform such as Collection Première Moscow (CPM) is more important than ever. The demand for information, especially from the Russian garment retail trade, and the search for practicable ways out of the crisis, are at the forefront of every retailer’s consciousness in these weeks.”

Poppy line for Coach, Courtesy of Coach

Coach Is Now Traveling Coach (Reuters)
“With this month’s release of the budget-conscious Poppy line, Coach, a luxury-retail marvel once ridiculed for being stodgy, is increasingly associated with an entirely different-and notoriously fickle-population: teens, coeds, and grads.”

Escada Optimistic of Rescue as Katie Holmes Dressmaker Suffers (Bloomberg)
“Escada AG Chief Executive Officer Bruno Saelzer said he’s optimistic investors will back a refinancing plan and avert insolvency at the German dressmaker whose celebrity clients include actress Katie Holmes.”

Fashion sales down 1.1% in June (Drapers)
“Like-for-like fashion sales in June were down 1.1%, a little more than the average retail drop across all retail sectors of 0.9%.”

Aquascutum pulls out of London Fashion Week (Marie Claire)
“Amongst all the hullaballoo surrounding September’s London Fashion Week – billed as one of the most fabulous ever due to a new location at Somerset House and the return to the capital of blockbuster brands Burberry and Matthew Williamson – one brand, Aquascutum, will no longer be on the glittering schedule.”

From Europe | Designers’ Day at the Museum (The Moment)
European museums remind us, “that a fashion exhibition can also be thoughtful and original, with a purpose beyond just that of a brand extension for publications or an advertising campaign for fashion products sold in nearby boutiques.”

The Future of Luxury in a Recession (Atelier)
As companies like Coach, Gucci Group and LVMH report their results this week, this video from Atelier, a division of Leo Burnett, highlights some of the cataclysmic changes in consumer behaviour that will drive the luxury of the future. What do you think of their assertions?

PPR Says Luxury Sales Remain ‘Sluggish’ (WSJ)
“Mass retail and fashion group PPR SA posted a 2.6 percent drop in first-quarter sales and said revenue in its luxury unit remained “sluggish” in March, signaling that demand for high-end products is still suffering amid the downturn.”

Business focus on eco-fashion: Greener clothing sized up (Telegraph)
“Allanna McAspurn, UK general manager of Made-By, is attempting to kick start an initiative funded by the European Union and the Dutch government to promote sustainable practices in the retail clothing industry.”

Mizrahi’s star back on the rise (Variety)
“While many of his fellow fashionistas are struggling to survive in an economy where aspirational shopping is as out of date as last season’s handbag, Mizrahi’s stock is clearly on the rise.”

Coach Profits Fall (WWD)
“Coach Inc. on Tuesday posted a 29.3 percent decline in third-quarter profits, hurt by the pullback in consumer discretionary spending, but said that it was confident in its business outlook.” (Subscription required)

Chinese New Year, photo courtesy of chateaugranville.com

Lunar New Year May Be a Tough Holiday for Sales (WSJ)
In China, companies are using discounts and clever marketing practices to make people spend during the Lunar New Year holiday.

Burberry to axe Thomas Burberry (Drapers)
Burberry’s bridge line, Thomas Burberry, will be shut down but the company reported surprisingly strong sales for Q3, up 9 percent on a constant currency basis.

Iodice To Give Away Free Dresses Instead of Staging Runway Show (WSJ)
Iodice, the emerging New York-based label, is opting for a showroom presentation and plans to entice  press and buyers by giving away free dresses.

Coach Profits Fall 14 Percent (WWD)
Once a robust, profit-making business, Coach has posted a 14 percent decline in Q2 profits. (Subscription required)