If you hadn’t already heard it’s time to start buying back into Bottega Veneta. The Italian luxury goods brand known for more weave than Beyoncé, they call it ‘Intrecciato’, has a new Brit designer at the helm, Daniel Lee.
The replacement for Tomas Maier, Lee, 32, was previously director of ready-to-wear at Céline, but a relative unknown. He is a graduate of Central Saint Martins and has worked at Maison Marginal, Balenciaga and Donna Karan, before joining Céline in 2012.
His first full show of AW19 luxe-grunge caused a frisson when it was shown in February, but the pre-fall collection is available now.
Leather trousers are something that have been bubbling up for a few seasons. They fit into that naff, retro aesthetic pioneered by Balenciaga. These are subtly Bottega with the woven knees and will tell everybody you’re in the know with the hottest label right now. Wear with biker boots and oversized anything.
Left & Below - Bottega Veneta - Trousers In Lamb Satiné - £3825
Arguably the finest looking retail street in London, Regent Street’s sweeping thoroughfare is home to the world’s largest Burberry store. The former theatre and cinema is a huge, cavernous stage for the only domestic luxury mega-brand the UK has. What you’ll notice recently, as you walk past, there is never anybody in it. Worryingly, the store always looks empty of customers, and, as is often the case in fashion, you don’t need to see financials or figures to see whether something is instinctively selling or not.
After two distinctly underwhelming, but vast collections under new Creative Director Riccardo Tisci, the first results are in and it doesn’t bode well. Sales are flat in a market that has seen stellar performances from Kering and LVMH. Burberry’s sales grew by just 2% to £2.7B over the year to March 2019 with an adjusted operating profit of £438m. According to Bain & Company, the luxury goods and experiences market grew by 5% in 2018 and to put this into further context, LVMH was up 10% and Kering was up an incredible 26.3% over the same period.
Left - Gigi Hadid in Burberry's latest campaign. The collection could easily be confused with Fendi
After Burberry’s huge growth under previous Creative Director, Christopher Bailey, the brand’s new strategy is to take the brand more upmarket and completely change the feeling and identity of the brand. Marco Gobbetti, Chief Executive Officer, who hired Tisci, puts a positive spin on it in the brand’s latest financial release, “We made excellent progress in the first year of our plan to transform Burberry, while at the same time delivering financial performance in line with expectations. Riccardo Tisci’s first collections arrived in stores at the end of February and the initial reaction from customers is very encouraging. The implementation of our plan is on track, we are energised by the early results and we confirm our outlook for FY 2020.”
The two stores Burberry had in Knightsbridge have closed and are now a trashy souvenir shop and while they said they are taking a new store above the Tube station, it is a long way off from opening with only the facade currently standing.
The only hope is that they are still selling in China. There was a report in Jing Daily, the leading digital publication on luxury consumer trends in China, in April, that said Burberry had shut down four retail stores in Shanghai since August 2018, with the latest closure occurring on March 31, when the brand ceased the operation of its flagship store at the city’s L’Avenue, which it opened in 2013. The article said “the company had been laying off Chinese staff in preparation for the closure until only seven of them remained”. The publication also said the permanent closure of the L’Avenue store represented a “landmark event” in Burberry’s perceived exit from Shanghai.
According to the results, in Asia, it’s seen low single digit growth in Asia Pacific, Korea and China, stable in Hong Kong and declining in Japan. Which is worrying. Burberry is also cutting costs to shore up the balance sheet.
The company is pinning all its hopes on the new Tisci product. The statement said “The first deliveries of Riccardo Tisci’s products arrived in stores at the end of February. Although it is currently a small portion of our offer, the initial reaction from customers has been very positive with sales of the new collections delivering strong double-digit percentage growth.” It’s not clear what the growth is in comparison to.
The company says it is currently on a multi-year journey to transform and reposition Burberry. “FY 2019 and FY 2020 are foundational years where we will re-energise the brand, rationalise and invest in our distribution and manage through the creative transition, after which we will accelerate and grow.”
In retail, they say they are focused on refreshing flagship stores, with over 80 retail doors expected to be “aligned” by the end of FY 2020. "To ensure we are focusing our resources on the most impactful locations, we will also be closing 38 smaller, non-strategic retail stores in secondary locations. In wholesale, we stepped up our wholesale rationalisation in the second half of the year, phasing out non-luxury doors.” says the financial statement. In total, Burberry closed a net 18 stores (seven mainline, nine concessions and two outlets) in the year and new openings included the relocation and expansion of the Dubai flagship and openings in Shin Kong Place, Xian (China). Fourteen retail stores had been aligned to the new aesthetic by the end of the period.
Tisci’s first collection ‘Kingdom’ hit stores in February, but it didn’t create the much needed desire within the fashion community which ripples out to consumers. In that period, we’ve seen Givenchy fly, Gucci continue to power on and Bottega Veneta get a new designer and start to make waves. Unless you make positive gains from the energy around a new star creative designer, the energy quickly falls flat and the new Burberry seems to have been striped of identity during its rebrand.
Riccardo Tisci’s and Christoper Bailey’s Burberrys were always going to be very different. One was incredibly successful and turned the company into a global, billion dollar player, the other, was a fresh start, hoping to equal the growth and appeal of its predecessor but with a new, more street-like aesthetic while trying to elevate the brand.
Burberry feels like a brand going into reverse and unless new collections start to create some form of excitement people won’t be willing to pay more. The momentum it has built up over the past decade will disappear and it will be a tough job to get that back. This feels like a brand to ‘sell’ before the evidence of the failure of this new strategy becomes even clearer.
It was while watching the Alexander McQueen documentary at the beginning of the summer - Read TheChicGeek Review here - when I wondered where the subsequent crop of young designer brands were.
The British based designers who were the generation after McQueen and showed so much promise - Christopher Kane, Jonathan Saunders, Mary Katranzhou, J.W. Anderson etc. - and despite some investment, just haven’t been able to scale up their brands in the same way McQueen and Stella McCartney were able to.
Left - Christopher Kane's only permanent store on London's Mount Street
I realised that this was a signifier of how the luxury market has changed and the days of nurturing fledgling brands into ‘Mega Brands’ are over. It illustrates the saturation in the market and it’s all about making big brands even bigger, today. “If you’re not going to be a billion dollar brand, then it’s probably not worth our time", is the new attitude. It probably explains the reason why Michael Kors recently bought Versace. Read more ChicGeek Comment here
David Watts, Founder, Watts What Magazine, says, “I suspect that this is more to do with the parent company realising that these businesses are not scaleable - or to the extent of other portfolio brands and cutting their losses.”
“In the current very challenging retail market and designer wholesale model not being as robust as it used to be, brands need to shore up cash and also give themselves a buffer,” says Watts.
“For the larger groups though, bigger really is better,” says Sandra Halliday, Editor-in-chief (UK), Fashionnetwork.com. “When they take on a brand, they want it to have billion dollar potential, or at least to occupy a strong niche that will guarantee high profit margins. The stakes these days are too high to do anything else,” she says.
When the Gucci Group invested in McQueen, Stella McCartney, Bottega Veneta and Balenciaga in 2001, it signalled the moment the luxury fashion industry was in full expansion mode and opening stores all over the globe. Following that, there was a raft of investment in the generation after, with Kering - formally Gucci Group - investing in Christopher Kane in 2013 and LVMH investing in Nicholas Kirkwood and J.W. Anderson in the same year. Everybody was billed “as the next…” but it just hasn’t materialised. Well, not in consumers’ heads anyway.
Now, brands are going into reverse; fashion’s answer to “Conscious Uncoupling”. Stella McCartney just bought back the 50 per cent she didn’t own from Kering and rumour has it, Christopher Kane, is in talks to buy back the 51 percent stake from the French group after a 5-year partnership.
Right - J.W. Anderson single store in East London
Halliday says, “I think in Stella McCartney’s case there was a genuine desire to run her own show and given the strength of her brand, that’s understandable.”
“For Christopher Kane it’s probably more about Kering focusing its resources and its time on its big winners, and that makes sense with Gucci, Saint Laurent and Balenciaga doing so well and Bottega Veneta needing lots of TLC,” she says.
“It give them a certain freedom and with the knowledge and experience learned (hopefully) as being part of a large group that they know how to be more careful with finances and astute with merchandising and keeping overheads down,” says Watts.
“Staying small, focussed and niche with a direct to consumer model could work for some brands, but it’s also very tough to make serious money at that scale,” says Watts. “Of course, there are possibly different and extenuating circumstances for why these brands find themselves in their current predicament. What does it tell you that LVMH and Kering cannot make Stella McCartney, Christopher Kane, Edun and Tomas Maier work…..gonna be tough for them as independents however the chips may fall,” he says.
Announced this year, LVMH has severed ties with Edun, Bono’s ethical fashion brand, and Kering has closed Tomas Maier, previously the Creative Director at their other brand, Bottega Veneta. These brands will have to regress back to start-up mode and think small again if they are to survive.
“In many ways, the future prospects of small designers hoping to break into the big time are quite depressing as the barriers to doing that are very high.” says Halliday. “But, on another level, the internet offers opportunities that didn’t exist just 20 years ago. The combination of a well-run e-store and a physical flagship can actually be a very cost-effective way of reaching the maximum number of consumers.” she says.
“Even if smaller labels can build profitable businesses, the chances are that the end result will be a hoped-for takeover by a bigger group, or by private equity investors, as that’s the kind of investment that’s really needed to make the transition into bona fide big-name brand,” says Halliday. “And all of that doesn’t even factor in what might happen if the luxury boom runs out of steam at any point,” she says.
Those brands fitting somewhere between these smaller designers and the giant groups are making their play for their futures too. Versace has already taken shelter in a bigger American group and other Italian family brands are sensing this shift and deciding on which side of the billion dollar divide they aspire to be on. Missoni opened its ownership up to Italian state-backed investment fund FSI for a cash injection of €70 million, in exchange for a 41.5 percent stake and rumours continually circle around Ferragamo suggesting they are looking for investment or a new owner.
Belgian designer, Dries Van Noten, recently sold a majority stake in his eponymous fashion brand to Spanish cosmetics group Puig.
“Dries Van Noten is 60 and after 30 years if he keeps creative control and remains chairman of his brand, then cashing in a huge stake gives him financial security, and also Puig brings cosmetics, beauty and fragrance know-how,” says Watts. “It could be huge for a brand such as Dries Van Noten - it’s a win win for him on paper.”
“Most people who are outside of the fashion (production) industry really have no idea both how complicated it as and how hard it is to make money,” says Watts. “Fashion wholesale is broken and fashion retail is in freefall,” he says.
Disappointingly, the focus has moved away from talent to bankability. Young designers who were previously given a leg-up with investment look too high a risk and expensive for today’s investors. It seems that only those brands breaking that billon dollar turnover ceiling are worth focussing on. You can increase profit margins by making less, but in larger volumes and become a more dominant force. It is more of a risk having fewer brands, but you can win bigger and Kering is clearly taking pole position right now.
Read more ChicGeek Comments - here
It wasn’t so long ago a ‘slider’ was something containing pulled pork and came in a mini brioche bun. Today, it’s one of the biggest categories in casual footwear.
It was our obsession with everything sportswear and retro that saw the return of Adidas’ ‘Adilette Slides’ which, arguably, started the whole mainstream trend. Teamed with white sports socks it became the default cool and comfortable warm weather shoe for fashionable geeks.
Slydes - 'Flint' AW18 - £25
Fast forward a couple of summers and ‘Sliders’ has become a footwear category in its own right. Much more ‘on-brand’ than flip-flops, luxury brands have piled into the market attracted by the volumes and margins. This is their cool entry shoe and shows no signs of going anywhere and will, no doubt, be one of their biggest selling footwear categories this year.
“I love how fashion works in mysterious ways and the pool slide is a great example - five years ago it would have been a faux-pas and, now, it’s a must have summer shoe, trending globally. Since this humble shoe’s luxury makeover, at the hands of brands such as Bottega Veneta, Gucci and Prada to name a few, it has grown in popularity becoming a style to not only wear on holiday, but in everyday city life too. It’s also been a great platform for brands embracing the logo mania trend to position their logo.” says David Morris, Senior Shoes Buyer at MR PORTER.
Ben Carr, Buyer at MATCHESFASHION.COM, says, “Sliders can be a great way to buy into a designer brand because of their competitive price point and with celebrities like A$AP Rocky and Justin Bieber often wearing these styles we’ve definitely noticed an uplift in their popularity.”
“Sliders and sandals have become one of our biggest growth areas, the biggest fashion houses have made it their focus on runways and within their collections. Prada champion the sandal and have reintroduced a range of sliders. The competitive price point enables increased accessibility for a wider audience.” says Carr.
Right - Balenciaga - Logo-debossed Leather Slides - £435 from matchesfashion.com
The slider is the cheapest shoe for many luxury brands. The margin on a pair of £435 Balenciaga logo-embossed leather slides would be significant. That’s an understatement, I know. Just imagine how many £225 sliders Gucci has sold this summer to the Love Island wannabes. This is big business.
On the more affordable spectrum, and founded in 2014, the footwear brand ‘Slydes’ specialises in, well, slides. Brand Owner, Juls Dawson, says, “Four years ago the founders spotted the trend as to was coming up over the horizon and jumped all over it. The rest, they say is history.”
He won’t reveal how many pairs of £16 sliders he is, now, selling, but says, “we can say sales are doubling year on year.”
Dawson highlights the versatility of the slider for its growth and popularity. “They are so versatile, worn from gym to pool and from beach to club, spanning not just most age groups and demographics, but the globe. They have been embraced across all genres of music, Influencers, clubbers, Millennials, keep fit fanatics, to name but a few,” he says.
The slider is part of the dominant sportswear trend and, of all the summer styles, the flip flop has probably taken the biggest hit from the slider. The slicker slider has managed to upstage the flimsy flip flop, which still looks somewhat underdressed, dirty and cheap.
“The flip flop, albeit a classic open toed sandal doesn’t have the scale of a slider. Limited to a narrow thong and a thin rubber outsole, where as the slider’s outsole can be raised, coloured, embellished and re-designed the upper of a slider. By its very definition, as long as you can slide you foot, it’s a slider, and, you can do pretty much anything with the silhouette.” says Dawson.
You also can’t wear flip flops with socks. So, what’s the future for the slider category?
“Every trend will reach a peak at some point, but Slydes have the capacity to move on and evolve as the uppers are like a blank canvas to add embellishment, print, texture, grahics, logos, materials…the possibilities are endless.” says Dawson.
“I think it will be less branded and graphic, moving into a more simple design. The rise of the logo focussed collections is down trending and we can see it already starting with footwear.” says Carr.
The slider looks set to become more subtle and lowkey. One brand introducing sliders for the first time is Grenson, which featured a couple of styles in their latest SS19 collection.
“I love looking at styles that are ‘on-trend’ and seeing if I can do a Grenson version, that makes sense. This was a challenge as most sliders are rubber with huge logos, but I found a way to do a leather version.” says Tim Little, Creative Director and Owner, Grenson.
“People needed a replacement for the flip flop for the summer, but also the ugly shoe trend made the slider the perfect choice. Added to that, of course, is comfort and convenience.” he says.
Explaining the attraction to many premium footwear brands, Little, says, “The flip flop is very basic and cheaply made, whereas the slider allows more opportunity to create a crafted version. I can’t see us doing a flip flop as there isn’t much that we can bring to the party.”
While the slider is still cool, it’s grown to a size which makes it bigger than a fashion trend. The slider category will continue to grow and become more permanent as more and more people buy and wear them. Attracted by the branding, comfort and the infinite designs and finishes, the slider category will continue to see more brands enter the market. Much like the designer trainer trend before it, we’ll see more brands put their own DNA onto this simple shoe and happily price it to match. Even Tom Ford has done a dressy velvet pair named ‘Churchill’.
Left - Tom Ford - Churchill Chain Trimmed Velvet Slides - £370 from MRPORTER.COM
David Morris, from MRPORTER says, “Slides have never been as relevant as they are now, especially as we’ve seen a shift in the market as men continue to embrace casualwear and sportswear as part of their everyday wardrobe. Luxury brands such as Prada and Balenciaga have seamlessly incorporated luxury slides into their collections giving credibility to the footwear style, so they are now an option to team with the ready-to-wear. This footwear category will continue to dominate over the summer seasons whilst this sportswear trend is still key.”
Right - Grenson's first sliders for SS19
When I started in this business summer shoe options consisted of cheap flimsy flip-flops or jelly-sandals for those pebbled British beaches. There was little or no choice and there certainly wasn’t any style - even though jelly sandals are kind of bad cool ATM FYI!
Anyway, let me introduce ‘CASABLANCA 1942’ who are making some of the nicest and most beautifully crafted hot weather shoes I’ve seen. Started in May 2014 by Gabriela Ligenza, and inspired by the classic film and the year it was released, the shtick is raffia.
Left - Cesare
The uppers are made from breathable natural raffia woven in Mogador, Morocco, and then construction takes place in Italy using the finest sustainable leather from French and Italian tanneries.
Right - The raffia comes from the raffia palm tree in Madagascar
The raffia fiber is obtained from the raffia palm tree, commonly found in Madagascar. The leaves of this little tree are cut into parallel lines resulting in the long fibers used in the weaving of the shoes. Unlike straw, raffia is stronger, hard-wearing and will mould to the feet when worn.
Polish-born Gabriela trained as an architect and interior designer at Fine Art Academy in Warsaw. She also designed hats before this venture. Based between London and her design studio south of Florence, Italy, she travels extensively for her inspirations and research. Gabriela has collaborated for the last 20 years with leading accessories and shoe designers for global brands like Salvatore Ferragamo, Bottega Veneta, Prada, Martin Margiela, Missoni, Paul Smith and Stella McCartney to develop hand woven raffia shoes produced using entirely traditional hand weaving techniques, but combining the craft with Italian know how and quality materials.
The idea for Casablanca 1942 was conceived whilst sitting on a beach under the stars watching the film, Casablanca, with the background sound of the Atlantic and thinking “what would Rick wear in this intense and sweltering city?”
Each pair takes at least a day to make so the shoes are made in limited editions. After all, "true luxury should be not about the price, but in the uniqueness of the product," she says.
Left - Lace Up Trainers £260
Gabriela believes that helping local cooperatives to incorporate external developments and training improves the marketability of the local skills and products, respecting its identity, distinctiveness and preserving sustainability on a grass roots level.
Gabriela says the shoe styles are inspired by “trying to design the perfect summer shoe for my husband so he can get inspired to go on holidays more!”
There are a few thing to know to get the best out of your pair. You may find that the shoes are a bit tight when you wear them the first time, but they will soon give as they moulds to your feet. You might want to wear them with socks for the first time for your own comfort, but they are designed to be worn bare foot in very hot weather.
Right - Woven Loafers - £228
If you feel that it rubs a bit too much on a certain area, it is recommended that you apply a wet cloth on this part of the shoe while it is on your foot, in order for the raffia to mould to your foot more quickly.
Raffia, being a natural fiber, will feel very comfortable without socks as the fiber will keep your feet fresh and naturally ventilated. As they become yours, “they are even more special even when they start wearing in and fraying a bit,” says Gabriela.
These are really elegant and artisanal summer shoes and I don't think the photographs do them enough justice after seeing them in person at the recent Pitti Uomo show in Florence.
Available at Harrods in the UK
I don’t often write about new retail, it’s usually pretty boring and cookie-cutter the world over, but when something’s good, it’s good, and on a recent trip to Venice with Diadora, we were taken to the Fondaco Dei Tedeschi, the first retail store in Europe by LVMH’s travel retail arm, DFS.
Left - Inside the main atrium space of the Fondaco Dei Tedeschi
Looking out onto the Rialto Bridge, across from the fish market, stands the Fondaco Dei Tedeschi. First constructed in 1228, it was once home to the German merchants - Tedeschi means German in Italian - who traded with those wealthy Venetians, taking spices and the like to Northern Europe. It became a customs house under Napoleon, and a post office under Mussolini, then lay empty. Until now.
Right - The Venetian red escalators and special Venice-inspired product graces the entrance
Thanks to LVMH’s deep pockets and Dutch architecture practise, OMA, it been transformed into a sympathetic, luxury with a small L shopping space that feels more like a cross between a boutique hotel and museum that sells things, rather than a boring collection of luxury concessions all jostling for customers and attention.
Left - On the top floor is this exhibition space with a lit floor that just needs a disco soundtrack
It’s one of the best retail spaces I’ve seen recently. The escalators are Venetian red, like moving red carpets, they take you up to the floors of men’s and women's fashion and beauty.
On the top floor is an exhibition space and on the roof is a viewing deck looking out over the glorious city that is Venice.
Right - Head to the top floor for one of the best views of Venice.
Opened in October, the Fondaco Dei Tedeschi has been updated, without losing any of its charm, by Dutch architect Rem Koolhaas – who was in charge of the exterior renovation – and architect Jamie Fobert – who handled the interior design.
Everywhere there is attention to detail. Every inch has been thought about: the floors, handrails, furniture, lights and the space has been designed for brands to flow, and in our ever fickle times, be replaced.
The brands are the same old: Gucci, Bally, Bottega Veneta etc., but because it’s such a nice building and environment it makes you want to explore regardless of it being the same tired things. To be fair, the brands have done a few special pieces with the colours of the Italian flag. Also, on the ground floor, they sell wine, souvenirs and other more affordable items.
The only negative was that it was so discreet, the name ‘ Fondaco Dei Tedeschi’, which doesn't exactly slip off the tongue, was only at the front door and you wanted to know/learn the name in order to tell other people how good it was. If you’re in Venice, definitely take a look.
In last week’s Evening Standard, Hatton Garden jeweller, Sam Hunter, brother of director, Sophie Hunter, wife of Benedict Cumberbatch, said, “People are bored of the little blue boxes, extortionate prices and minimal design that is now completely characterless,” he went on “It’s the name you’re paying for and nothing else… It’s fine if the piece is exquisite, but they’re producing less and less of those!”
He was, of course, talking about the American jeweller, Tiffany & Co., but he could have easily have been describing the majority of modern luxury brands.
There was a time when you wanted everybody to know your brand. There was a time when success was built on brand awareness. There was a time when consumers wanted you to know the brand they were wearing in order to convey status, but times change and this awareness and ultimately saturation has breed predictability and boredom.
For example, I was recently in Berlin. I walked past their fanciest department store, KaDeWe, and in the windows were great looking clothes. I always like to try and guess the designers and then, like a museum piece, look at the labels on the glass. I didn’t recognise a single one of them. In the past you would dismiss this as being a second rate store or inferior because the ‘big labels' weren’t there, but instead it was far more interesting and refreshing.
Inside was another story. The usual luxury shop-in-shops: Bottega Veneta, Valentino, Gucci, acres of marble and the same look, the world over, but the element of the unknown is what will get people off their sofas and into stores.
It’s much more exciting, today, to not recognise a label and go purely on quality and design. It’s a sign of good taste and a good eye rather than blindly buying a ‘name’. It's also a sign of confidence. But, it’s hard to stay unknown forever and why shouldn’t brands that are good be celebrated, but it’s the level to which they are exposed and rely solely on the name or label that I have a problem with.
A good example would be the Italian brand, Slowear, soon to open another store on London’s Marylebone High Street, they are understated and their multiple labels - Incotex, Montedoro, Zanone - aren’t household names and don't seem to want to be. Slowear, while not cheap, offers better quality, fit and value than clothes at twice the price. This isn't about being a contrarian and always different and obscure. It's about brands that have a humility, aren't a vehicle for a designer's ego and are understated with a ‘we’re too busy making great clothes-to-focus-solely-on-the-label’ attitude which makes it very democratic and far more interesting.
Go seek out the unknown. I've never heard of them. Tell me more.