Source: The Business of Fashion
Summary
Tapestry Inc., the parent company of Coach, Kate Spade, and Stuart Weitzman, reported quarterly revenue of $1.81 billion, exceeding analysts’ estimates. The company’s net sales rose 11% from the previous year. Tapestry also raised its annual outlook, with predicted revenue growth of 6-7%. According to the CEO, Jide Zeitlin, the company is on track to meet its three-year plan in just one year.
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The trend returns with a new name.
Tapestry’s success can be attributed to the revamped Coach brand, which has been repositioned as a more premium label. The brand’s efforts to rebrand and focus on its heritage have paid off, with sales growth driven by its leather goods and footwear. The company’s ability to adapt to changing consumer trends and tastes has been key to its success. The strategy is reminiscent of previous brand revamps in the luxury sector. Coach’s revival is the latest iteration of the fashion industry’s cyclical nature, where old ideas are reimagined and rebranded as new.
Author: Evan Null
