Private Sale

Designer Bargains, for the Invited (WSJ)
“Online retail startups that specialize in “private sales” of discount designer apparel are gaining traction in the U.S. and, armed with fresh venture capital, plan to branch into new businesses.”

Couture houses refuse to tumble (Toronto Star)
“You can never be too rich, too thin or own too many couture items. High-end buyers continue to pop in to Paris for the shows.”

Neiman Marcus, Inc. Reports June Revenues (WSJ)
“In the five-week June period, comparable revenues in the Specialty Retail Stores segment, which includes Neiman Marcus Stores and Bergdorf Goodman, decreased 23.0 percent. The Company experienced weakness across all geographies and merchandise categories in the Specialty Retail Stores segment.”

Gap, Abercrombie June Sales Trail Analysts’ Estimates (Bloomberg)
“Gap Inc. and Abercrombie & Fitch Co. reported June sales declines that were steeper than analysts estimated as a rise in U.S. unemployment and a drop in consumer confidence kept shoppers away from the malls.”

American Apparel June same-store sales drop 13 pct (MSN Money)
“Many merchants in June struggled to drum up sales amid continuing worries about the overall economy and jobs, but clothing retailers have been particularly hard hit as consumers cut back on discretionary spending.”

Neiman Marcus, courtesy of Alfred Eisenstaedt

Neiman Sets 375 Layoffs Amid Slump (WSJ)
Neiman Marcus is laying off 375 people or 3% of its workforce.

Retail Sales Collapse, But Keep the News in Perspective (Seeking Alpha)
From August to December, retail sales collapsed 24%. “But it’s important to remember that there is a lot of psychology in these numbers,” reports Seeking Alpha.

Magazine Ads Evaporated in 2008, Faster as Months Went On (WSJ)
“Capping a painful year for print media, the decline in magazine advertising pages accelerated with each passing quarter of 2008.”

The Vulgar Game (Newsweek)
The luxury industry’s seeming turnaround from promoting conspicuous consumption to conscious consumption amid the recession seems insincere.

Back to his heartland: Giambattista Valli’s Italian odyssey (IHT)
Suzy Menkes profiles Giambattista Valli, the Italian, Paris-based designer who many consider to be the next Valentino.

As the big three U.S. automakers await to hear their fate on a requested bailout from the U.S. government and Citigroup teeters on the verge of bankruptcy, it now seems that the fall of Lehman Brothers, Bear Stearns and other corporate casualities was just the beginning of what is likely to be a global economic meltdown of epic proportions.

With this as the backdrop, a reader recently wrote in to ask about the prospects for aspiring job seekers in the fashion industry more generally. Others have been wondering how some of the emerging businesses that have come to the fore in recent years are faring.

The short answer to both questions is that things are extremely tough out there, but there is always opportunity for innovators.

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