Jaeger Summer 2010 | Source: Jaeger

Jaeger says sales picking up, eyes expansion (Reuters)
“British luxury brand Jaeger has seen a strong pick up in sales in recent weeks, it said on Wednesday as it posted a 16 percent rise in annual earnings and outlined plans to expand internationally and online.”

Saks recovers with stronger merchandising, consumer appeal (Medill Reports)
“Luxury department store Saks Inc. recovered from a year-ago loss to post a first-quarter profit Tuesday, beating Wall Street expectations. The… retailer reported earnings of $18.9 million.”

Joanna Sykes appointed designer at Aquascutum (Telegraph)
“Sykes is British, educated at [CSM] in the nineties and learned how to do things in a European luxury-goods house (Armani in Milan). All that puts her in the demographic to which her sister alumni who…. are on a quietly feminist mission to bring a bit of sense to fashion.”

Ad Pages Go Up and Down (WWD)
“Fashion magazines are still in recovery mode, but things are looking up: most titles posted an increase in ad pages during the first half of 2010 — that is, compared with the dregs of 2009 and the numbers are still far off the good ole days of 2008.”

Maison Martin Margiela exhibition at Somerset House (Telegraph)
“A London retrospective will show off Maison Martin Margiela’s 20 years of radical design… Martin Margiela delights and confounds in equal measures.”

Dolce & Gabbana Front Row Spring/Summer 2010 | Source: New York Times

LONDON, United Kingdom — It’s that time of year again. With over one million pageviews on BoF in 2009, it’s time to take stock of the year that was in a retrospective of the most popular articles from The Business of Fashion.

Needless to say, 2009 was the year of social media in fashion and our top 10 list is reflective of the explosion of interest in fashion bloggers, social networks and the now ubiquitous Twitter. Despite all of the hubbub (and yet another high-profile article this week from the New York Times on bloggers crashing the front row) social media is not a trend that will disappear. At BoF, we have prided ourselves on going beyond all of the hype to figure out what the implications are for the long-term.

But BoF is about more than just Web 2.0 and our top 10 is reflective of this. Indeed, over the past year we responded to media requests on a variety of subjects from The New York Times, Wall Street Journal, Wallpaper*, Women’s Wear Daily, AnOther Magazine and others seeking our input on the forces re-shaping the fashion industry that are regularly covered in our pages.

So, without further ado, here is The Best of BoF from 2009. Happy reading!

1. Fashion 2.0 | Social Media Reality Check

Tavi Gevinson | Source: Style Rookie

Our most recent article on Fashion 2.0 was also one of the most popular articles on BoF this past year, taking the industry — brands, bloggers and maintream media alike — to task for focusing on the superficial short-term ‘trend’ of social media, as opposed to the fundamental long-term changes that social media portends for the future of the industry as we know it.

A flurry of comments from digital media experts, star bloggers and industry watchers around the world pushed the Fashion 2.0 conversation forward at what is only the beginning of a long period of change and adaptation.

2. Fashion 2.0 | Top 10 Fashion Films of the Season

Screenshot from David David fashion film | Source: David David

Online fashion films really took off this year as a way for big and small fashion brands alike to connect with consumers. From narrative films to moody pieces to quirky animation shorts, our rundown of the top 10 fashion films for Spring/Summer 2010 was so popular it sure to be a regular feature on BoF in seasons to come.

The top fashion film in our estimation came from Alexander McQueen, who created a real fashion moment with his futuristic display of technology and fashion during Paris Fashion Week, accompanied by an equally arresting fashion film.

3. Luxury Society | Whisper Campaign

Luxury Society Invitation | Source: Luxury Society

I was proud to announce my role as a co-founder and Editor-in-Chief of Luxury Society, the first global online network for luxury professionals, on BoF in March. Our “Whisper Campaign” resulted in a widespread viral conversation that brought thousands of readers to BoF and hundreds of requests join Luxury Society in its beta incarnation.

Later in the year, Women’s Wear Daily profiled Luxury Society as we marked the milestone of 2,000 luxury professionals in the network. Today Luxury Society counts more than 6,000 members in its ranks and will move out of beta in early 2010. Stay tuned for more news soon.

4. Martin Margiela | The Cult of Invisibility

Maison Martin Margiela scarification | Source: ASVOF

2009 will also be remembered as the year when Martin Margiela left the fashion house that bears his name. Before the announcement of his departure was made, BoF was grateful to republish an article by our friends at Agenda Inc. which chronicled the how special characteristics of the cult Belgian brand and its mysterious designer created a following unrivaled in the fashion industry.

5. Fashion 2.0 | Digital IQ Ranking of Fashion Brands’ Digital Competence

Digital IQ Ranking 2009 | Source: LuxuryLab

Our friends over at LuxuryLab published a ranking of fashion brands’ digital competence in the Autumn, and we were amongst the first to share the now widely-read report with the global fashion industry.

For fashion brands, the news was not so good. The controversial ranking played a part in the wave of social media interest that swept across fashion brands in New York, Paris and Milan in the latter half of 2009. LuxuryLab has more technology initiatives planned for 2010.

6. The Future of Fashion Magazines

Screen shot of DazedDigital.com | Source: Dazed Group

Technological disruption is not an issue isolated to fashion brands. Our three-part series on the future of fashion magazines by Vikram Alexei Kansara explored how technology is revolutionising fashion media as well. Jefferson Hack, Nick Knight and Diane Pernet were amongst the important industry voices who weighed in on the debate.

7. Uniqlo | A Feel-Good Commodity

The colours of Uniqlo | Source: Uniqlo

Our always-sharp contributing editor in Tokyo, W. David Marx, penned a piece on Uniqlo, which in our view, was the most important fashion brand of 2009.

In the middle of the greatest economic slowdown in several generations, Uniqlo continued its global expansion, increased profits and sales, and brought in the formidable talent of Jil Sander to create one of the most successful high-street designer collaborations to date.

8. Friday Column | How to Survive the Recession

Hollywood stars take on the red carpet

Back in January, Lauren Goldstein Crowe, co-author of a tell-all book on Jimmy Choo, published a BoF column outlining her thoughts on how brands could survive the Great Recession of 2008-2009, gleaned from her conversations with fashion executives and brand managers. The article continued to garner interest throughout the year, a reflection of the dire state of the industry as 2009 comes to a close.

9. Vienna Calling | 9 Festival for Fashion & Photography

9 Festival for Fashion & Photography, by Jork Weisman | Source: Unit F

In June, I was fortunate to be invited to participate in the 9 Festival for Fashion and Photography in Vienna, incorporating the Austrian Fashion Awards, panel discussions with e-commerce retailers and fashion bloggers, and a variety of accompanying events that made for an exciting week. Next year, the Unit F buro fur Mode will put on its 10th annual festival from 7-20 June 2010.

10. BoF Twitter Poll | Gucci Eyeweb versus Burberry’s Art of the Trench

BoF Twitter Poll Gucci Eyeweb versus Burberry Art of the Trench | Source: InFashionMedia

In our first ever poll of more than 10,000 BoF followers on Twitter, seeking reader feedback and comments on social media sites by Burberry and Gucci, the iconic British brand came out on top for its innovative website, The Art of the Trench.

After posting the article, we received feedback from many readers, including global PR and marketing professionals at both of the mega fashion brands in the poll. It seems we have discovered a new way to engage our readers, so there will be more Twitter Polls to come in 2010.

Imran Amed is Founder and Editor of The Business of Fashion

Martin Margiela Autumn/Winter 2009 | Source: Fashionologie

Martin Margiela to Leave Fashion House He Founded (NY Times)
“Insiders had known for months that Mr. Margiela had left the company in all but name. The designer’s particular vision, which had focused on the authenticity of the vintage artisan fused with modern photo prints depicting wrinkles or handwork, was missing from recent shows.”

Primark beats its one-day sales record (Independent)
“The flagship Primark store in London is thought to have enjoyed the best day’s trading in the discount fashion retailer’s 40-year history on Saturday, boosted by a traffic-free shopping day in the West End. The Oxford Street branch is understood to have taken more than £700,000, an increase of about 17 per cent on last year’s record for the store on the same day in December 2008.“

Talbots In Merger Deal, Swings To Surprise 3Q Profit (WSJ)
“Talbots Inc. is revamping its ownership structure to give the retailer more flexibility to complete its turnaround by infusing capital, reducing debt and shedding its majority shareholder…it is merging with a publicly traded shell company in which Talbots’ management will stay in place and the merger partner will hold a roughly 60% to 70% stake in the retailer.”

Louis Vuitton announces Madonna follow-up (Independent)
“Confirming earlier rumors, french luxury giant Louis Vuitton has unveiled next February’s ad campaign to the press, starring Madonna ‘replacement,’ supermodel Lara Stone.”

The Power 25: fashion’s most forward (Guardian)
“From fashion lecturers to PRs, introducing some of the less well-known names from the new list of fashion’s most influential figures.”

Maison Martin Margiela scarification | Source: ASVOF

In Part 1, we examined how the Maison Martin Margiela brand successfully adopted strategies of impersonality and invisibility to achieve cult status with consumers. Today, we explore how Mr. Margiela’s exit from the company could have been better managed by adopting strategies learned from real-world cults.

PARIS, France — In 2002, in an acquisition that was described as Greta Garbo marrying Harpo Marx, the Maison Martin Margiela brand was acquired by Only the Brave, owned by Renzo Rosso, making it a sister brand of Diesel.

Between 2002 and 2007, Margiela’s cult of invisibility turned into confusion and journalists and editors experienced a crisis of confidence. The clothes seems to show his hand at work, but it was increasingly difficult to tell, and the speculation became increasingly distracting from the fashion.

When asked in June 2008 if he could imagine Martin Margiela leaving the brand, Renzo Rosso said: “Never say never, but I cannot imagine. I love him.’

By the Spring of 2009, there were some uneasy signs that a transition was underway. “He’s concentrating on more strategic projects. He’s more consulting with us than designing every product. The team is more Margiela than him,” said Giovanni Pungetti, the brand’s CEO. In June 2009, the tone began sounding political with an official statement that said: “We neither confirm nor deny anything.”

This only served to make journalists more suspicious: “Where has Martin Margiela gone? Now we’re a little bit worried,” asked The Guardian.

“In the absence of any definitive corporate statement, the only test of whether Margiela is still in the house must be down to whether the inimitable dialogue of excellence, intellectual challenge, and wit is still there in his show. Safe, yet very sad to say, this time it was gone,” wrote Sarah Mower on Style.com.

And then suddenly, it seemed to be over. Before the Spring Summer 2010 show in October 2009, the rumours raged. When the show took place, it was described by Suzy Menkes as “tragic.” Then a statement from Renzo Rosso seemed to attack the cult of invisibility head on.

“Martin has not been there for a long time. We have a new fresh design team on board. We are focusing on young, realistic energy for the future; this is really Margiela for the year 2015.

In three sentences, the statement seemed to do several things; all of them damaging. It undermined the role of Martin Margiela. The announcement of a “new fresh team” seemed to disrupt the importance of any transitional talent at the brand. It set a course for the future which sounded more like a business plan than a brand positioning. And to loyal followers who had invested so much time and energy in their loyalty to the cult, the brisk talk of a “Margiela 2015” seemed baffling. The statement had the effect of opening the curtain to reveal nobody was there, while inviting people to believe nothing had changed. It trod on people’s dreams.

The JC Report commented soon afterwards that fashion editors were abandoning the brand in droves.

It didn’t – and still doesn’t – have to be like this. As a truly cult brand which borrowed implicitly and explicitly from cult strategy, Maison Martin Margiela could have learned and deployed successful strategies from real-world cults to better manage Mr. Margiela’s exit from the company. Indeed, the brand’s “cult of invisibility” was already set up to do exactly that.

Three things Maison Martin Margiela could have learned from real-world cults.

1. An immediate need for communication

At a time of crisis, or apparent lack of leadership, it is critical for the messaging to be clear. For those invested in the cult or brand, their sense of community is disrupted when lack of leadership is apparent. During times like these, cults need to over-communicate on the continuity of power, or on the abilities of a temporary council to create reassurance

In the case of MMM, the communication that the brand is business-as-usual both undermined the importance of Martin Margiela in the heritage of the brand, while also failing to calm the rumour that recent runway shows had been sub-standard because he was not involved.

2. A call to community

When a cult leader leaves, the typical reaction of a real-world cult would be to draw a celebratory – rather than dismissive – line under the moment, with an invitation to encourage followers to celebrate in some way the life of the leader; usually via some kind of ritual. We define a ritual as a performance of a myth. So typically it would be the recreation of some aspect of the origin or founding of the community to help align thinking, and to remind people of their shared role in its success.

The aim of the ritual is to give followers a sense of closure, and also to invest them in the next phase of the cult’s life. While a global Martin Margiela ritual might be a little excessive; there are lots of ways that they could be conducted; via product portfolio, communication, in-store elements, and more.

For example, one of the 4 stitches in the MMM logo could be changed in color, or removed. A limited edition line of products released. An annual celebration set up for the brand. A leadership crisis – as every cult knows – is one of the best times to build a business and evangelise.

As well as a neat ritual, it could have been a great business opportunity.

3. A new shared vision

Cults are built on passion and community. Community is built on shared ideas and conversation.

If the principles of a cult need to change, and they often do – for example, when the extra terrestrials fail to appear on the appointed day and everyone has to grudgingly remove their pointy tinfoil hats – it’s a nasty shock. And it’s a shock that needs to be addressed at a community level. A new shared vision needs to be articulated, and confirmed. Energy and consensus need to be redoubled. New tasks must be allocated. A new ideology embraced.

While the presence – or at least the phantom – of Martin Margiela was hovering over the brand, the direction seemed clear; and the shared conversation was the amazing innovation of the clothes, the mystery of their production, and the games of presence, evanescence and invisibility.

But now the invisibility is lost; leaving the brand – from a strategic point of view – in a whole series of contradictory double negatives. According to the official statements, neither Martin Margiela nor more recent “design teams” are working at the brand

In either case, the course seems set for the future, and the brand should have no difficulty attracting fantastic talent to build on its incredible heritage. But, in strategic terms, the cult of invisibility has enormous value – both emotionally and financially. And it’s clearly suffering.

While the moment for the immediate communication may have passed, it’s not too late for the cult of Maison Martin Margiela to take the opportunity to galvanize its followers for what’s next. Members of the cult of Margiela still want to believe. The brand just needs the right cult strategy

Lucian James is Founder of Agenda Inc, an insight and thought-leadership partner for luxury brands.

Margiela image | Source: Maison Martin Margiela

The industry’s worst kept secret was confirmed this week when Renzo Rosso told Horatio Silva that he was “this close” to appointing a new designer at Maison Martin Margiela. Though Rosso says Margiela will continue to be involved from a distance, the loss of a founding designer at a namesake brand is not an easy transition to make. In the first of a two part series, our friends at Agenda Inc. examine how Maison Martin Margiela grew into a global cult brand, at the heart of which was the noisy invisibility of the eponymous designer.

PARIS, France — This month, after several years of intriguing – then frustrating – rumours among journalists, fashion editors and fans, Maison Martin Margiela announced that Margiela was no longer designing at the brand that he had created.

The reaction was confused. People wanted more information. As a cult brand, it had spent 20 years inspiring loyalty, love, and disciples. Despite years of communication that the brand was designed by a team – the hand of Margiela, albeit invisible, was a big part of the brand’s equity.

With Margiela gone, how should the brand evolve? There are lessons to be learned from real-world cults – who face varying levels of crisis when a leader leaves, retires, dies, kills himself, is proved embarrassingly wrong or – in some other way – is no longer available.

We believe that the future of Maison Martin Margiela can benefit – in strategic and business terms – from leveraging the heritage of the brand, and to integrate lessons from real-world cults about how leaderless cults evolve.

To understand the cult elements that animate the Margiela brand, it’s important to understand the role that invisibility and anonymity has had throughout the brand’s history.

A sense of invisibility has been incorporated into the DNA of the brand since the beginning. Patrick Scallon, the right hand person to Margiela once characterised the marketing strategy of Margiela as “absence equals presence” and “the cult of impersonality,” indicating that it was a central part of the brand identity.

This cult of impersonality spread through the aesthetic of the brand:

Signage – Stores are never listed in phone books or identified with signage.

Uniforms – Staff at stores and at Margiela HQ wear standard white labcoats.

Colours – White – called “whites” in Margielaspeak – is the ubiquitous color of all stores, Margiela HQ, and of the sheets that covered all in-store furniture and displays.

Packaging – Margiela packaging is monochrome and logo free.

Models – Runway models at MMM more than any other designer often appear on the runway with covered faces.

Runway shows – Seating is mostly first-come, first-served, avoiding the industry standard of seating hierarchy.

Collective speaking – The brand used a first person plural response to all requests, emphasizing the collaborative, disciple-like consensus of their thoughts.

Photography – As Derek McCormack wrote in The National Post, the aesthetic of MMM’s photography “is reminiscent of spiritualist photography of the 19th century: Models are mysterious blurs, shots are bleached by unseen lights.”

As the brand became successful in the mid-90s, Martin Margiela retired completely from public view, at a time when the idea of the invisible designer found itself at odds the accelerated rise of celebrity culture. As other designers chose – or were required to become – famous; Margiela’s anonymity became louder than ever. And ironically, his invisibility became exponentially interesting to the media. No article was written without some reference to his invisibility. It was part of the appeal, it defined the brand. But the clothes still dominated.

The figure of Martin Margiela became relevant to wider debate – still going on – about the relationship between designer, celebrity, and the brand they represent; a debate summed up in this comment by Zac Posen:

“I think there’s a great divide in fashion right now between the desire of the old school, which valued being hidden and shy, and what is going to bring our industry forward, which is connection, personality and craft.”

In fact, Margiela uniquely was operating at both levels simultaneously. The hidden part was the personality. So far, so Jean Baudrillard.

In part two, we explore how Mr. Margiela’s exit from the company could have been better managed by adopting strategies learned from real-world cults.

Lucian James is Founder of Agenda Inc, an insight and thought-leadership partner for luxury brands.

BEIJING, China – My first glance at Beijing’s brand new airport (BCIA) was also the first sign of China’s stylish transformation since my previous visit here 7 years ago. I couldn’t take my eyes off the ceiling, which seemed to go on forever, as I zoomed through immigration and retrieved my bag. I was in and out in less than 30 minutes.

When I commented on the airport’s breathtaking design and efficiency to locals, they proudly informed me that BCIA was completed in only 4 years and has run without a hitch from day one. This is particularly notable when compared to the disastrous opening of London Heathrow’s Terminal 5, which opened around the same time as BCIA, but took 6 years to build and is still not running as expected. And, the success of BCIA also provides the perfect analogue for China’s nascent fashion industry.

First, it must be noted that the Beijing airport was designed by the UK’s Foster and Partners. So, whereas the Chinese are in the midst of a full-on architectural boom, their own design aesthetic is still in its infancy. For now, they must borrow design-savvy from the West, and combine it with local resourcefulness and entrepreneurship.

The fashion business here works very much the same way. Well-run Chinese factories churn out beautifully made, high-quality garments that are designed and sold in the West by fashion brands that we all know. Local Chinese retailers hire European and American designers who act as consultants and bring an advanced design sensibility to their collections. And, department stores like Lane Crawford employ fashion-savvy Westerners who up the style and sophistication quotient, while also educating local staffers on how to achieve international standards in luxury customer service and experience.

Beijing’s new Lane Crawford emporium, for example, is amongst the most sophisticated, well-curated specialty stores I have seen anywhere in the world. Six hundred brands are creatively mixed together in a welcoming and innovative environment designed by Canadian design agency Yabu Pushelberg. American department stores in particular could take a page out of the Lane Crawford book to bring their stores up to this world leading standard.

And, while there are certainly logo-happy Chinese looking for Gucci and Louis Vuitton, there are also sophisticated locals who are willing to spend serious money on world-class design. To wit, at the Walpole Luxury Seminar held in London in May, Bonnie Brooks, President of the Lane Crawford Group, noted that the very first item to sell after the Beijing store opened was a $45,000 Alexander McQueen dress. The second item to sell was the only other $45,000 McQueen dress that the store had ordered.

The other highlight of my first 24 hours in China was a visit to Beijing’s Danshanzi 798 Art District, currently home to noteworthy exhibitions by Maison Martin Margiela and Nike, two brands which have smartly planted their flags in this fertile ground for local contemporary art and design. The budding creativity in Dashanzi shows the promise for fashion design from China in the years to come. I don’t think the Chinese will be importing designers forever.

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Lane Crawford (courtesy of Lane Crawford)

798 Art District – Martin Margiela

798 Art District – Nike