The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Hello BoF Professionals, welcome to our latest members-only briefing: The Week Ahead. Think of it as your 'cheat sheet' to what everyone will be talking about on Monday.
THE CHEAT SHEET
Prada Has Something to Prove
Prada store | Source: Shutterstock
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This week, investors will be closely watching Prada, which may signal a return to growth. But that may not be enough for lingering doubters, who say the brand is simply too small to play in an LVMH-dominated luxury market. Prada has solved its biggest shortcomings, boosting online sales and introducing the "Cloudbust" sneaker line to gain an overdue foothold in the streetwear market. But further concerted efforts may be needed to sustain that momentum. Take e-commerce as an example: whereas LVMH, Richemont and Chanel are investing in e-commerce platforms, Prada still relies on lower-margin (though admittedly buzzy) wholesale partnerships with Net-a-Porter and MyTheresa.
The Bottom Line: Sales growth would be a good start, but Prada needs to demonstrate it has a long-term plan to compete with the luxury giants online.
Instagram is the Future, and Always Will Be
Source: Shutterstock
The Bottom Line: Look closely at the ads and sponsored posts in your Instagram feed this week. If those ads appeared in the pages of your favourite glossy magazine, how would you feel about the magazine's financial trajectory?
Tariff’s Bark is Worse Than Its Bite (For Now)
Illustration by Nerea Verdejo Blanco for BoF
The Bottom Line: Fashion isn't out of the trade war woods yet; US and European trade relations could still sour, and peace on the Western front could also give Trump leeway to pursue his trade war with China.
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Gucci store in Milan | Source: Shutterstock
The Bottom Line: Focusing on growth "slowing" to 40 percent is a distraction; as long as reference-heavy streetwear is in style and Chinese consumers keep spending, bank on Gucci as the industry's benchmark brand.
COMMENT OF THE WEEK
"Inclusivity means price. No amount of brainstorming, rebranding and catch-phrase concepts will ever change it. Simple as that. If you want to be inclusive, lower your entry level price points."
— @lukevault, commenting on "Is Inclusivity the next Exclusivity?"
SUNDAY READING
Professional Exclusives You May Have Missed:
From Around the Web:
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