WASSON’S WAY TAKE A LICK REMEMBERING BRANDT THE BEAUTY WORLD REACTS TO THE DEATH OF FAMED DERMATOLOGIST FREDRIC BRANDT. PAGE 6 SOPHIE MILROM DROPPED THE LAW TO LAUNCH EATPOPS, A HEALTHY VERSION OF ICE POPS, AND SHE HAS SOME SERIOUS FINANCING BEHIND HER. PAGE 10 WWD TUESDAY, APRIL 7, 2015 ■ $3.00 ■ WOMEN’S WEAR MODEL: PHILLIPA/TRUMP; HAIR BY JASON MURILLO/KATE RYAN INC.; MAKEUP BY JAVIER ROMERO; FASHION ASSISTANT: ANDREW SHANG; LOEFFLER RANDALL BAG Do the Twist Designers wove cable knits throughout their fall collections — in versions ranging from traditional fisherman styles to avant-garde hybrids. Here, ICB loosely interprets the look in a soft, cozy wool and nylon sweater paired with Augden’s Peruvian alpaca skirt. For more, see pages 4 and 5. DAILY ERIN WASSON IS LAUNCHING A LINE OF APPAREL AT PACSUN THIS MONTH. PAGE 7 TARGET, NORDSTROM SIGN ON Brands See Boost From Pinterest Ads By RACHEL STRUGATZ PINTEREST MAY BE rewriting some of the new rules of online marketing. While advertising on the platform is still in its infancy versus competitive sites such as Facebook, Twitter and Instagram and companies need to figure out what works best for their organizations, Pinterest already has signed up some major fashion and retail brands in the year since it unveiled Rich Pins including Target, Gap, J. Crew and Nordstrom. The six-yearold platform is home to 50 billion pins that live on more than one billion boards, with two million people pinning product Rich Pins each day. According to industry experts, the discovery platform is a powerful referral tool, driving high percentages of traffic back to brands’ digital flagships — and both Promoted and Rich Pins appear to be accelerating this. Rich Pins, not to be confused with Promoted Pins — the platform’s mode of advertising that was introduced in beta testing last May — are actually free for businesses. They are just pins that contain detailed product information, from real-time pricing to availability and where to buy an item. But if a brand really wants to boost its reach on the site, it has to pay for Promoted Pins. After seven months in beta testing, the product opened up to all advertisers on Jan. 1. There are two pricing models: a CPM, or cost per impression model, that is typically based on generating brand awareness, and a CPC, or cost per click model, that’s more targeted for businesses wanting to drive clicks and conversion. Both types of pins can drive a return on investment for brands, experts say. While advertisers have to pay to play in order to amplify their pins on a large scale, Rich Pins have the benefit of eliciting engagement and driving an action without the added cost. While Pinterest still lacks the audience of Facebook or the aspirational feel of Instagram, SEE PAGE 12 American Apparel Taps New Men’s Designer By KARI HAMANAKA PHOTO BY THOMAS IANNACCONE; STYLED BY MAYTE ALLENDE LOS ANGELES — American Apparel has nabbed a former Band of Outsiders designer in a move that fills out the new executive team under chief executive officer Paula Schneider, as she seeks to stabilize the struggling company. Joseph Pickman, former Band of Outsiders men’s design director, joined American Apparel last week to head up men’s design as the firm seeks to revive that business. “The men’s business has been trending down for quite a while and we need to really work on bringing that back up to where it could be because we have the consumer, but the conversions aren’t there,” Schneider said in an interview. “So we’re working really hard to update our basics and to also have a better merchandised experience when you walk in [stores].” Pickman, who had been with Band for three-and-ahalf years, is now tasked with revamping the men’s offering to elevate it and “bring a lot of the aesthetic that I developed at Band of Outsiders — that same spirit — for the new product here,” he told WWD from American Apparel’s downtown Los Angeles headquarters. “We really, really work on the fit first — because the fit is what makes the customer feel good in the clothes — and then we look at fabrics,” Pickman said. “What can we add to that assortment? Can we give them something a little more refined and still call it a basic?” Pickman’s hiring follows the February addition of senior vice president of marketing Cynthia Erland and Thoryn Stephens as chief digital officer, a new SEE PAGE 2 WWD TUESDAY, APRIL 7, 2015 WWD.COM American Apparel Taps Pickman position at the company. Creative director Iris Alonzo and designer Marsha Brady were dismissed from the company in February. “We think the team is where it needs to be,” Schneider said. “We’ll continue to evolve like any business and we’ll continue to assess, but I think we’re looking good and I think we’re looking really good for fall.” Schneider sees fall as a pivotal point for American Apparel because its product assortment will be more “robust” and reflect the full efforts of the new team and strategy. The company’s gone through a massive inventory cleanse, ridding itself of millions of units of product, according to Schneider. “We still have a couple million units left so it’s just stuff that didn’t work, or that didn’t sell or they made too much of,” the ceo said. “I think a big part of it had to do with the demand forecasting that wasn’t in place where you made more than you could sell. Even if it was a great style, if you brought it out last year and the year before and the year before that, probably whoever came [into stores] has already bought it so we need to infuse new. It’s a whole different merchandising strategy than was here before.” Twelve weeks in and Schneider has had more to contend with than most ceos brought in to heal an ailing company. American Apparel has racked up more than $300 million in losses over the past five years as it lost its footing with consumers and buckled under the weight of more than $200 million in debt. The company’s shares are down about 33 percent so far this year for a recent market value of $121.62 million. On Monday they closed down 1.4 percent at 69 cents. American Apparel last week cut about 180 jobs, offering severance packages to affected employees, many of them in Southern California manufacturing positions. That follows 238 layoffs last year and 160 in 2013 under founder and former ceo Dov Charney, who was fired from the company last year. Charney is reported to be close to filing legal action against American Apparel seeking some $40 million in damages. There is also an SEC investigation that was launched in February looking more closely into the events surrounding Charney’s dismissal. Schneider declined to comment on whether more cuts are anticipated except to say “these are our needs for today.” “I walked in here on January 5, there’s debt. There’s expensive debt. We’re paying 15 percent interest when most Paula people are paying 5 or 6 based on Schneider previous management setting that up. Millions of units of excess inventory and very little cash flow. Yeah, you make decisions,” she said. “Otherwise, we’d go right off a cliff and it’s way too important a business to let that happen.” Once the business is stabilized, Schneider expects to grow the company’s retail operations, which she characterized as “tremendously underpenetrated.” American Apparel counts 240 stores in 20 countries. The company’s wholesale business — printables and business to business — also hold potential longer term. “It’s very small right now,” she said of the business-to-business side of wholesale. “We think that could grow exponentially. We also think that our e-commerce side could grow exponentially.” Then there’s the potential of wholesale. The company is looking at what retailers it would potentially partner with on the wholesale side and if it were to work with department stores, it would be better-end options, Schneider said. “But first, before we do that,” she said, “we have to stabilize and we have to stabilize the merchandising. We have to stabilize the design. We have to make sure the fits are good and that’s what we’re working on right now.” PHOTO BY RINGO CHIU/ZUMA PRESS/CORBIS {Continued from page one} Uniqlo’s U.S. Expansion Continues By SHARON EDELSON UNIQLO IS EMBARKING on the next stage of its North American expansion with three new stores. Slated to open in the fall is a 13,000-square-foot unit at the Bellevue Collection in Seattle and a 10,000-square-foot store at Tysons Corner Center in Tysons Corner, Va., while a 22,000-square-foot unit at The Denver Pavilions on 16th Street in Denver will bow in spring 2016. With 39 stores across the U.S., Uniqlo has established footholds in key locations along the East and West Coasts. With the new store announcements, the Japanese retailer will have a presence in 10 markets, including New York, where in 2006 it opened its first U.S. store in SoHo. Uniqlo also operates stores in Los Angeles, San Francisco, Philadelphia, Connecticut and New Jersey, among other markets. Uniqlo previously said it is opening a flagship at Faneuil Hall in Boston this summer, although the company hasn’t revealed its size. One of the largest stores in the Uniqlo fleet, a 60,000-square-foot flagship, will open on Michigan Avenue in Chicago in the fall. And Uniqlo will be heading north to Toronto, with two planned units at the Eaton Centre and Yorkdale Shopping Centre, opening in 2016. “We’re going to places where we can access new markets and give a showroom to people and [tourists] from different regions of the country so they can access us online,” said Larry Meyer, chief executive officer of Uniqlo USA. “We’re setting up our expansion throughout the country.” Last fall, Uniqlo opened 18 stores, the biggest number of openings in its history. Meyer wouldn’t say how many are planned for 2015, noting that there may be additional leases signed if opportunities present themselves. With only five years left to achieve Uniqlo founder Tadashi Yanai’s oft-stated goal of doing $50 billion in sales by 2020, the pressure is on. North America’s contribution to Yanai’s objective is $10 billion in sales and 1,000 stores operating by 2020. “We’ll be part of the goal,” Meyer said. “We’re going to do our job.” De la Renta Broadens Eyewear Contract By MISTY WHITE SIDELL NEW YORK — Oscar de la Renta has expanded its eyewear-licensing contract with Allure, a subsidiary of Marchon Eyewear Inc. The new, two-part contract entrusts Allure with the development, distribution and sale of Oscar de la Renta’s signature label eyewear, and renews Allure’s similar dealings with the brand’s diffusion label, O Oscar. “I think it’s a big opportunity for us….In markets outside the U.S. it’s an important category for us in terms of increasing brand awareness,” Oscar de la Renta chief executive officer Alex Bolen said of the label’s new eyewear deal. “We expect [eyewear] to dramatically expand from where it is today. In terms of geography, we will offer eyewear throughout all of Marchon’s global distribution with a wider range of price points,” he added, pointing to Asia and the Middle East as two regions that the brand hopes to target with its eyewear expansion. While Marchon has overseen Oscar de la Renta signature eyewear in the past, it was most recently produced and distributed by Linda Farrow, whose contract with the brand expired at the end of 2014. The first eight designs from this new signature label collaboration will debut during September’s New York Fashion Week as part of creative director Peter Copping’s second runway collection for the house. Sunglasses are up first, but the label says that optical frames will be unveiled in the future. The initial sunglass styles, produced by craftsmen in Japan and Italy, will become available for purchase in October in Oscar de la Renta boutiques and on the label’s Web site, as well as at select department stores, optical boutiques and duty-free partners. The designs, which will retail between $200 and $600, draw visual inspiration from the brand’s jewelry collection. “Peter believes in our jewelry, and sees it as a very logical design element to bring into our sunglasses and eyewear,” Bolen said of the initial design concept. THE BRIEFING BOX IN TODAY’S WWD Dani Witt is the subject of Model Call. For more, see WWD.com. PHOTO COURTESY OF NEXT MANAGEMENT 2 Pinterest has signed up some major fashion and retail brands for a new kind of online marketing in the year since it unveiled Rich Pins, including Target, J. Crew and Nordstrom. PAGE 1 American Apparel has nabbed a former Band of Outsiders designer in a move that fills out the new executive team under chief executive officer Paula Schneider. PAGE 1 Celebrity cosmetic dermatologist and skin-care creator Dr. Fredric Brandt died Sunday, April 5, in what appeared to be a suicide. PAGE 6 Francesco Smalto died Sunday at the age of 87 in Marrakech, the Smalto fashion house said. The cause of death is being reported as a heart attack. PAGE 6 An improving economy bolstered by rising consumer confidence helped the U.S. leap over China and Japan as the most attractive market for e-commerce development. PAGE 7 Patagonia is investing in Beyond Surface Technologies, a Swiss chemical company, to improve the environmental impact of the textiles the outdoor brand uses. PAGE 8 While luxury brands continue to court South Korean consumers, it’s clear that many shoppers are shunning logos in favor of no-logo, nondescript casualwear. PAGE 9 Ask Sophie Milrom what she thought she might be doing after law school and starting a business selling ice pops would not have been her answer. PAGE 10 Could DKNY be looking for a new creative director? Industry sources say a search is on for a person to head the design team at the label. PAGE 11 The talk may be all about whether Hillary will run, but it’s her husband — former President Bill Clinton — who will appear on the cover of Town & Country. PAGE 11 ON WWD.COM Model Call: Brazilian model Dani Witt knows how intense the international runway circuit can be. For more, see WWD.com. FOLLOW US ON SOCIAL MEDIA @ WWD.com/social TO E-MAIL REPORTERS AND EDITORS AT WWD, THE ADDRESS IS [email protected], USING THE INDIVIDUAL’S NAME. WWD IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLISHING, LLC. COPYRIGHT ©2014 FAIRCHILD PUBLISHING, LLC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. VOLUME 209, NO. 70. TUESDAY, APRIL 7, 2015. 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Digital Forum Heather Kaminetsky Net-a-Porter.com Ld Ulric Jerome MatchesFashion.com LONDON April 30, 2015 Steve Miles Nicola Formichetti Unilever Diesel Sandrine Deveaux Alessandra Lanvin Harvey Nichols Aperlaï summits.wwd.com ATTEND: [email protected], 646.356.4722 EVENT SPONSORS SPONSOR: [email protected], 646.356.4718 WWD Tuesday, april 7, 2015 Philosophy di Lorenzo Serafini’s acrylic, wool and alpaca sweater. s 4 s an unexpec Iceberg’s wool sweater. ThaT old sTand-by courTesy of color-blocking, sTi s ModaBox x Argyleculture’s acrylic sweater. s MM6 Maison Martin Margiela’s wool sweater. Hilfiger Collection’s wool and polypropylene sweater dress. s WWD Tuesday, april 7, 2015 5 WWD.COM J. Crew’s cashmere and mohair sweater. s cted twist Philipp Plein’s polyacrylic fiber, extrafine merino and alpaca sweater. — The cable-kniT sweaTer — received a youThful makeover for fall, Tch variaTions and creaTive embellishmenT ThaT added visual pizzazz. s s Delpozo’s alpaca and silk sweater. Cacharel’s alpaca sweater. Delpozo, Hilfiger, Margiela, MoDaBox, pHilosopHy, plein anD JoHnson pHotos By tHoMas iannaccone; Market assistant: anDrew sHang s Ulla Johnson’s eco alpaca sweater. 6 WWD TUESDAY, APRIL 7, 2015 OBITUARIES Skin-care Pioneer Fredric Brandt many leading injectables — including Dysport, Restylane, Perlane, Isolagen, Reloxin, Evolence, Cosmoderm and Cosmoplast — to run clinical trials with the Food and Drug Administration. In 2001, Brandt launched his self-named skin-care line, which is sold in prestige doors, including Sephora and Ulta. His clients included Madonna, Kelly Ripa and Stephanie Seymour. A spokesman for Madonna declined comment. “Dr. Brandt was a true gentleman, an innovator, and a friend,” said Ripa, cohost of ABC’s “Live With Kelly and Michael.” “His professionalism was only matched by his charisma. He was charming. He was entertaining. He was a brilliant pioneer in the field of cosmetic dermatology and his loss will be felt for years to come.” He also wrote 2007’s “10 Minutes/10 Years: Your Definitive Guide to a Beautiful and Youthful Appearance,” and 2002’s “Age-less: The Definitive Guide to Botox, Collagen, Lasers, Peels, and Other Solutions for Flawless Skin,” coauthored with Patricia Reynoso. “All of us at Sephora are deeply saddened by the passing of Dr. Fredric Brandt,” said Calvin McDonald, president and chief executive officer of Sephora Americas. “He was a pioneer in dermatology, and due to his dedication and skill in the field, a leader in the beauty industry. He passionately believed that everyone should feel beautiful, and his ability to adapt the breakthroughs developed in his practice into effective over-the-counter treatments made him one of our clients’ favorites.” “Everyone on the Sephora merchant team will greatly miss Dr. Brandt, and the spirit, humor and passion for ageless beauty he brought to every encounter,” added Artemis Patrick, senior vice president of merchandising for Sephora. “Dr. Italian Men’s Wear Designer Francesco Smalto, 87 “His heritage is perpetuated by the tailors and employees of the house of which more PARIS — Italian designer than half, even today, Francesco Smalto died worked directly under Sunday at the age of 87 him and are honored in Marrakech, the Smalto to reproduce his techfashion house said. niques and attention to The cause of death the smallest detail,” said is being reported as a the company. heart attack. Its current artistic Smalto founded his director Youn Chong men’s wear line in Paris Francesco Bak was recruited and in 1962. The designer’s Smalt in 2000. trained by Smalto. signature styles included “His compliments body-hugging silhouettes renewed for each collection and his and cigarette-rolled shoulders. Smalto left the company, which he simple words of encouragement at each meeting forged my respect for the massold, in 2001. PHOTO BY JEREMY BEMBARON/SYGMA/CORBIS By JENNIFER WEIL ter and the extraordinary person that he was,” Bak said. Today, Smalto is carried in 210 sales points in the world and on the Web site smalto.com. The label became the official dresser of France’s soccer team in 2013. One year prior, the house was given the “living heritage” label, which the country’s ministry of economy, industry and employment set up to honor French companies with exceptional craft or industrial skills. Smalto fashion has appeared on the silver screen, in movies such as “The Last Emperor” and “Grace of Monaco.” The designer was born in Reggio, Italy, on Nov. 5, 1927. Information regarding Smalto’s funeral arrangements was not immediately released. This was a brilliant man at the uncontested top of one of the most difficult and competitive professions. ’’ — JEAN GODFREY-JUNE rector of Liberty in London. “He was a lovely man who was dedicated to his particular vision of beauty — with an amazingly loyal clientele. He’ll be missed in the industry.” “I was Fred’s patient, his skin-care customer, and one of his many admiring friends,” said Linda Wells, editor in chief of Allure. “A lot has been written about Fred Brandt as the ‘Baron of Botox,’ and although that’s fun and catchy, it doesn’t fairly capture his singular intelligence, his enormous care and his absolute excellence at his work. He had an immeasurable amount of compassion. Fred Brandt believed in beauty and wanted everyone he touched to experience it for herself.” Brandt is survived by his brother Paul. Tractenberg noted that donations in Brandt’s memory could be made to the Humane Society. —WITH CONTRIBUTIONS FROM SAMANTHA CONTI, LONDON A look from the Francesco Smalto spring 2014 men’s wear collection. PHOTO BY GIOVANNI GIANNONI PHOTO BY MICHAEL NAGLE FUNERAL PLANS WERE finalized on Monday for cosmetic dermatologist and skin-care pioneer Fredric Brandt, who died Sunday in an apparent suicide. A public affairs officer for the Miami Police Department confirmed Monday afternoon that the department is investigating the death as a possible suicide. Unconfirmed reports are that Brandt, 65, hanged himself; the Miami Police declined to elaborate on the method of death, as did Brandt’s publicist, Jacquie Tractenberg. Brandt’s funeral will be held this week in Miami, she said, with a memorial service in New York City planned for the week of April 13. Times and date had not been set at press time. Brandt was found at his Coconut Grove, Fla., residence, reportedly by his housekeeper, on Sunday. It is expected that the Miami-Dade County Medical Examiner will conduct an autopsy this week, according to press reports. The Miami Herald reported that Brandt was devastated by comparisons to a wacky doctor played by Martin Short in Tina Fey’s Netflix comedy, “Unbreakable Kimmy Schmidt.” Short’s character, Dr. Franff, services a narcissistic socialite, played by Jane Krakowski, and the character was said to be inspired by Brandt, according to the Herald. Netflix publicist Karen Barragan declined to comment Monday. Born on June 26, 1949, in Newark, N.J., Brandt graduated from Rutgers University and obtained his medical degree from Drexel University Medical School. He went on to complete residencies at New York University and Memorial Sloan-Kettering Cancer Center. While he explored various medical specialties — including oncology, nephrology, hematology and cardiology — he was always drawn back to his love of aesthetics. It was during his residency at Memorial Sloan-Kettering Cancer Center — where he focused on the research and treatment of leukemia — that Brandt began to understand the benefits of antioxidants to the human body’s health and vitality. Working with green tea, vitamin A, vitamin C and a series of Eastern botanicals, Brandt studied ways to combine nature with cutting-edge science to fight the destruction of the body’s cells. He went on to complete his dermatology residency at the University of Miami. In 1982, Brandt opened a private dermatology practice in Miami, and opened a New York office in 1998. He had a reputation as one of the foremost cosmetic dermatologists, with an expertise in injectables. W Magazine dubbed him “The Baron of Botox,” as he was said to have had more experience using Botox in his practice than any other physician in the world. He partnered with the makers of Fredric Brandt ’’ By JULIE NAUGHTON Brandt worked tirelessly to share his scientific knowledge and expertise through his highly effective and innovative products, which have been among our most sought-after for many years.” Future plans for Brandt’s company could not be learned at press time. “This was a brilliant man at the uncontested top of one of the most difficult and competitive professions, who took what was a crude science and turned it into something so refined, so subtle and so beautiful that it transformed literally thousands of lives,” said Jean GodfreyJune, editor-at-large for Lucky. “He was an exceptionally generous philanthropist and was, to anyone who knew him, one of the kindest people with one of the biggest hearts in the world.” Added Sarah Brown, Vogue’s beauty director, “In addition to being a pioneer in the field of cosmetic dermatology — certainly one of the country’s most talented doctors — Dr. Brandt was the kindest, most generous man. He cared about his patients very deeply — not only how they looked, but how they felt. He understood the powerful role his work could play in enhancing a person’s self-confidence, and I think he took great pleasure from that gift.” “I met him several times over the years,” said Ed Burstell, managing di- WWD Tuesday, april 7, 2015 7 WWD.COM U.S. Leads Pack in E-commerce Potential By ARNOLD J. KARR AN IMPROVING ECONOMY bolstered by rising consumer confidence helped the U.S. leapfrog over China and Japan as the most attractive market for e-commerce development. A.T. Kearney’s biennial Global Retail E-commerce Index places the U.S. at the top of the list with an attractiveness rating of 79.3, topping the 77.8 score of second-place China, the third-place finish of the U.K. (74.4) and the fourth-place finish of Japan (70.1). China topped the 2013 study, followed by Japan, the U.S. and the U.K. Countries are rated on the basis of the size of the market, consumer behavior, growth potential and infrastructure. “Although China’s economy has slowed down a bit, it’s still highly attractive,” said Hana Ben-Shabat, a partner at A.T. Kearney’s New York office and coauthor of the study. “But the potential for China is dependent on its infrastructure and, while that’s solid in the tier-one and tier-two cities that previously drove e-commerce development, it’s poor in many of the tier-three and tier-four cities where it will need to travel the ‘last mile’” in its e-commerce development. The lack of infrastructure is one of the main reasons that India, the world’s second most populous nation after China, didn’t even make the list of the top 30 e-commerce markets, Ben-Shabat noted. The study points out only 39 million of India’s approximately 1 billion people are online buyers, with only 69 percent having more than limited access to broadband and mobile Internet. India failed to achieve a top 30 ranking in the 2013 study as well. The U.K.’s move into third place reflects its relative maturity in e-commerce retailing, much of it attributable to its early moves into online grocery buying. While most U.S. grocers are regional, the smaller size of the U.K. has fostered the development of a number of national sellers, including Tesco, Sainsbury’s, Waitrose and Ocado. Kearney’s research showed that 60 percent of U.K. respondents have bought groceries online in the last three months, versus just 26 percent in the U.S. For fashion and apparel, the figures were 87 percent in the U.S. and 85 percent in the U.K. Of 13 categories studied, none registered a higher score in either market, although electronics came close, with 83 percent in the U.S. and 84 percent in the U.K. But, in the U.S., a well-developed infrastructure and growing openness to e-commerce purchases will spell opportunity in categories other than groceries, particularly in the home area. Just 46 percent of surveyed U.S. consumers have bought home appliances online in the last six months, 56 percent have bought home furnishings and 36 percent have bought other household items. Even as it struggles with infrastructure in its smaller cities, China has higher purchasing statistics in all three categories — 83, 65 and 84 percent, respectively. Citing statistics from Euromonitor, the study estimates that global e-commerce sales grew 21 percent to $839.8 billion last year and should grow about 18 percent to close at the $1 trillion mark in 2015. Growth rates are projected to remain at double-digit levels through 2018, but they will decelerate, with 2018 seen advancing 13 percent to about $1.5 trillion. U.S. e-commerce expanded 15 percent last year, to about $238 billion, making it the world’s largest e-commerce market. Germany and France moved up one spot each from the 2013 study, to fifth and sixth place, respectively, but the biggest gain among European markets, or any cracking the top 30, for that matter, was from Belgium, up 15 spots to number nine. With a relatively small population — 11.2 million — Belgians are highly con- Global E-commErcE Hot SpotS The markets with the greatest potential for e-commerce development. 2015 raNK 2013 raNK coUNtrY 1 3 United States 2 1 China 3 4 United Kingdom 4 2 Japan 5 6 Germany 6 7 France 7 5 South Korea 8 13 Russia 9 24 Belgium 10 9 Australia SOURCE: A.T. KEARnEy nected and engaged, with e-commerce seen growing 25 percent a year through 2020, A.T. Kearney said. While Belgian retailers have been a bit slow moving online, companies in neighboring markets — such as Germany’s Otto Group under the 3 Suisses brand; Amazon’s French Web site; Netherlands-based Bol.com, and France’s Pixmania and Redcats — have moved decisively to fill the void. “As the Belgian example shows, one thing retailers are finding is that e-commerce makes it possible for you to enter a market without a huge capital investment,” Ben-Shabat said. “You don’t have to open a store and take on a large overhead to get your brand in front of people and possibly pave the way for a store presence later.” Four countries entered the top 30 in this year’s study — Mexico at 17, Spain at 18, Austria at 27 and Saudi Arabia at 28 — and four in the top 30 in 2013 — Slovakia at 17, Turkey at 22, the United Arab Emirates at 26 and Malaysia at 30 — fell out of the rankings. In Mexico, almost half the population is connected to the Internet and about twothirds of those connected make purchases online, contributing to a 32 percent increase in e-commerce sales to $6.6 billion in 2014 and the expectation of similar growth over the next five years, fueled by both foreign retailers and homegrown merchants such as Soriana, Liverpool and Coppel. With Spain generating economic growth in 2014 for the first time in six years, online sales are seen growing at about a 16 percent clip annually for the next five years. Amazon has a 7 percent share of the Spanish e-commerce market, focused on electronics, books and CDs, while local retailers such as BuyVIP and El Corte Inglés have made inroads in the fashion sector. Except for Argentina’s 17-place drop, Brazil registered the largest decline from the 2013 study — down 13 places to 21st — as macroeconomic conditions eroded general economic conditions. Still, e-commerce grew 18 percent to about $13 billion last year and its highly connected population is expected to spur growth again this year, even as it battles expected economic contraction, a weak infrastructure and what A.T. Kearney described as “burdensome regulations and taxes.” Erin Wasson, PacSun Link Up Theodora & Callum Adds Kids By KARI HAMANAKA LOS ANGELES — Erin Wasson is bringing her signature style to PacSun stores next month in a move the retailer hopes will introduce an elevated aesthetic to its core customer. P.S. Erin Wasson rolls out to some 315 of the company’s stores on May 13. The collection’s theme, “Land of the Free,” A look from the PacSun collection. fuses Americana and Western themes in items such as bell-bottoms, an overall top, swimsuits and pieces featuring a phrase oft-used by Wasson: “Babe is Busy.” “At this juncture in the road, I’m very close to this customer, the younger girl who’s very hip to what’s going on. I feel like I can give these girls that authenticity,” said the 33-year-old model and actress. Many of the items are inspired from pieces hanging in Wasson’s own closet, most of which is vintage. “I kind of just wanted to stick to those things that have been true to me and then translate those pieces,” Wasson said. The 25-piece collection retails between $25 and $60. It’s one of the company’s largest collections to date and helps push the chain into new fashion territory, according to Heather Brown, women’s design director. “We have items that maybe we could see selling at PacSun anyway with maybe a little bit of a twist,” Brown said. “We also have a Western bodysuit and normally we wouldn’t do a Western studded bodysuit but because we wanted that showstopper piece, it brings in a more fashion-forward customer.” PacSun’s chief executive officer Gary Schoenfeld sees opportunity for the collection to attract a slightly older crowd into stores with what he called Wasson’s “elevated sense of fashion and style.” “We think the product is really trend right for all of our customer base and then, additionally, I think she’s probably more known to a bit of an older segment, so it’s an opportunity to bring in more customers that are in their 20s,” Schoenfeld said. The company’s target age range is from 17 to 24. PacSun and Wasson are looking ahead, with the fall collection already in the works. “More than anything, I’m looking for this as a chance for me to build a brand and for this to be a moment of longevity,” Wasson said. “[And] not just stick around for a couple of seasons.” April 13. Chasing Fireflies is known to ship 29 million copies annually and has nearly 500,000 unique monthly Web site NEW YORK — From the start of their ac- visitors. Next year a boys’ line is expectcessories-driven company nearly five years ed to debut, which should be welcome ago, Theodora & Callum founders Stefani news to Gruber’s son Callum. The foundGreenfield and Desiree Gruber always ers also have T+C, a diffusion collection banked on launching children’s wear. Now of accessories and handbags that is licensed to Collection 18. they have with a girls’ collection. With multitiered distribution in such Testimony to the launch is the fact that the company is named after their retailers as Bergdorf Goodman, Neiman children and the children’s wear designs Marcus, Nordstrom Direct and Shopbop, Theodora & Callum is pursare reminiscent of printed ing other avenues of growth scarves that first put the through corporate gifts, pair in business. During a as well as personal ones. joint interview, Greenfield “They’re great dinner-party and Gruber said after nugifts. I mean, who needs anmerous friends (including other candle?” Greenfield well-known ones like Heidi said. “Candles burn. With a Klum and Sarah Jessica scarf, you definitely get an inParker) asked when they vitation back.” might introduce a girls’ Greenfield and Gruber, who collection, they decided first met more than 15 years to pursue the idea. HSN’s ago when the latter handled chief executive officer publicity for Scoop, refer to Mindy Grossman connecttheir company as a creative ed them with David Niggli, factory, but each also has inpresident of one of its subAn ad for the new dividual pursuits. In addition sidiaries, Chasing Fireflies, children’s line. to her business My Next Act, a girls’ label and catalogue Greenfield is creative brand business that Greenfield knew from poring over the pages with her director at Diane von Furstenberg, and she has started shooting the second seadaughter Theodora. Once a licensing deal was worked son of the E! docu-series “House of DVF.” out, Theodora & Callum created the Greenfield also hosts “Curations Caravan” collection of dresses, hats, headbands, on HSN. Gruber, the founder and ceo of tanks, skorts, totes and espadrilles dec- the multimedia production company Full orated with bows, ruffles, lace, sequins Picture, is at work on the new season of and other adornments. The Theodora & “Project Runway” and “Project Runway Callum for Chasing Fireflies collection Junior,” which both will be filmed in New will be sold starting today on the lat- York City this summer. The age range for ter’s Web site, and it will be featured on the spin off will include teens, but further the cover of the catalogue that launches details have not yet been revealed. By ROSEMARY FEITELBERG 8 WWD tuesday, april 7, 2015 textiles Patagonia Invests in Beyond Surface Technologies A PIONEER IN sustainability, outdoor specialist Patagonia is making a strategic investment in Beyond Surface Technologies, a fast-growing Swiss chemical company, to improve the environmental impact of the textiles the brand uses to manufacture its performance apparel. The investment comes through Patagonia’s $20 Million & Change fund that launched in 2013 to help innovative, likeminded companies bring solutions to the environmental crisis and other positive change through business. Patagonia did not disclose the Here and right, two styles of Patagonia waterproof jackets. size of the investment in Beyond Surface Technologies, founded in 2008 by scientists and marketing experts with more than 40 years of experience in the textile industry with the premise of making textile treatments based on natural raw materials without sacrificing performance or reducing the lifespan of a product. The investment is said to be in excess of $1 million. The agreement comes as sustainability has come to the forefront in apparel and textile manufacturing, from smaller yarn and fabric firms to corporate giants such as Kering, VF Corp., H&M and Levi’s committing to programs aimed at improving their environmental footprint. Patagonia noted that chemicals are a required component in achieving the high performance needed for harsh outdoor conditions and are what makes waterproof materials stand up to torrential wilderness downpours, jackets that can resist wind on a steep pitch and pants that have the right amount of protection in kneedeep fresh powder. Yet these chemicals used to create such technical performance can be toxic and persist in the environment. “This is the tension we feel every day, making the best technical performance while remaining completely independent and in control of the original founders.” Beyond Surface Technologies makes textile treatments based on natural raw material. Its line of miDori bioLink textile finishing products has earned the USDA Certified Biobased Product label that verifies that the renewable biobased content of the products meets or exceeds levels set by the USDA. Biobased products are defined as finished or intermediate materials composed in whole or in significant part of agricultural, forestry, or marine ingredients. The miDori line is aimed at eliminating the use of formaldehyde-based products in garment production. The company also has developed a bioSoft range of soft hand-wicking finishes for sportswear, as well as an oil-absorbing, water-repelling, nonwoven fabric for oil relief efforts called Oilguard. Founded by Yvon Chouinard in 1973, Patagonia is a certified B-Corp. company whose mission is to build the best product, cause no unnecessary harm and use business to inspire and implement solutions to the environmental crisis. Since 1985, Patagonia has dedicated one percent of sales each year to environmental causes. products for our core sports and working to fulfill our environmental commitments,” said Patagonia chief executive officer Rose Marcario. “We look for better, cleaner, safer ways to do things, we apply our own R&D and look for brilliant companies to partner with. Beyond Surface Technologies has the potential to help Patagonia and our entire industry get to the next level of chemical safety without compromising performance, and we’re very excited to invest in their success.” Patagonia, based in Ventura, Calif., said that consistent with prior environmental innovations over the past 20 years, it plans to share any breakthroughs that Beyond Surface Technologies may produce with the entire outdoor industry in order to amplify the environmental impact to the greatest extent possible. Matthias Foessel, ceo of Beyond Surface Technologies, said, “Patagonia’s investment gives us the opportunity to accelerate testing and reduce time to market for our pipeline of groundbreaking new treatments for the entire apparel industry. Patagonia is enabling us to grow even faster, benefiting the environment and enhancing product ’’ By ARTHUR FRIEDMAN In fiscal year 2014, the company gave 770 environmental groups in 16 countries a total of $6.6 million toward protecting wildlife, wilderness, rivers and oceans, as well as promoting renewable energy and sustainable agriculture, and fighting pollution and harmful resource extraction. “As a company made up of activists, our mission to inspire and implement solutions to the environmental crisis goes far beyond our own company,” said Lisa Pike Sheehy, director of global environmental initiatives at Patagonia. “These groups are mobilizing their communities on the front lines to take action in strategic and impactful ways. Supporting them is the cost of doing business.” Since the program began in 1985, Patagonia has given more than $56 million in grants and in-kind donations to more than 3,000 organizations. In addition, Patagonia’s $20 Million & Change fund has received interest from more than 600 companies who share similar business and environmental missions and invested in 10 companies to date, including Bureo Skateboards, Kina’Ole Solar, CO2 Nexus, Yerdle and California Safe Soil. Last April, the fund made a similar strategic investment in CO2Nexus, Inc., a company that has developed a sustainable method of processing textiles and garments with liquid carbon dioxide using zero water, consuming less energy and generating little waste. Chinese Firms Tackle Challenges at Intertextile SHANGHAI — China’s apparel, textile, yarn and knitting industries put up a united front here last month as pressures from a broader economic slowdown, a rise in domestic wages and the strength of the yuan against the euro and yen all take their toll. The spring edition of the Intertextile Shanghai Apparel Fabrics show joined with CHIC 2015, including a mini edition of The Micam Shanghai footwear exhibition, and coincided with two smaller fairs, Yarn Expo Spring and PH Value, previously known as the China International Knitting Trade Fair. All the fairs were held at the newly constructed National Exhibition & Convention Center. CHIC hosted more than 1,000 brands from more than 21 countries, while Intertextile had more than 2,600 exhibitors from 24 countries for this spring edition, a sharp rise from the 1,500 that showed the same time last year. Olaf Schmidt, vice president of textiles and textile technologies at Messe Frankfurt, organizer of Intertextile, said the multiple fairs running together across 2.4 million square feet at the convention center was advantageous to exhibitors and visitors. “We are now able to cover the whole textile value chain,” Schmidt said. “It’s great for exhibitors and even better for buyers.” Many of the buyers were taking advantage of the new arrangement by visiting more than one neighboring metro station, causing long queues for tickets and trains, the current economic and political climate had many domestic exhibitors down. “Things are getting harder and harder for our industry,” ing polluters. I have friends who have moved their small factory to Indonesia and they are saving upward of 400,000 yuan, or $60,000. It’s not hard to understand why so much manufacturing is moving away from China.” and Korean brands all proved popular, with crowds of buyers looking to take advantage of the relative strength of the yuan. The enthusiasm was tempered somewhat by China’s broader economic malaise, which put some custom- ’’ We are looking to source functional fabrics and there is much more choice now than...in previous years. — sheby kwok, quick feat int’l ltd. photo by dave tacon By CASEY HALL The scene at Intertextile. fair, though most were concentrating on either Intertextile or CHIC, and visiting the others more out of interest than to do any serious business. Intertextile exhibitors reported foot traffic equal to that of the autumn fair, traditionally the bigger of the biannual events. Despite huge numbers of visitors, enough to overwhelm the said Jean Yuan, from Shaoxing County Jiema Import and Export Co. “Not only has the economy slowed down, but we also no longer get the support from the government we used to because textiles and apparel manufacturing has a bad reputation for pollution. The government doesn’t want to be seen support- Reflecting broader industry trends, those who were at Intertextile to buy were particularly interested in high-tech and sustainable fabrics, with the All About Sustainability hall introduced last year proving a crowd favorite. Sheby Kwok, sourcing manager for garment manufacturer Quick Feat International Ltd., was in the market for functional fabrics for both men’s and women’s wear. “For now we will be sourcing more Japanese fabrics, maybe also European, because their currencies are quite low now,” Kwok said. “We are looking to source functional fabrics and there is much more choice now than there has been in previous years.” At CHIC, European, Japanese ers off buying up big quantities. “Their economy is still growing at seven percent, but to speak with a lot of Chinese buyers here, you would think the economic situation was much more dire,” said Gabriele Giannini from exhibitor Lanificio Comero. “Look at Italy, growing at zero percent. That’s a bad economy.” Meanwhile, overseas visitors such as Gustavo Ricci from Brazilian e-commerce site Mandores were confident value could still be found among Chinese exhibitors. “The prices are still good, even with the currency situation,” Ricci said. “Here, you can definitely find good quality at a good price.” WWD tuesday, april 7, 2015 9 WWD.COM South Koreans Forgo Logos With ‘Nono’ there are trends and then there are the megatrends, which everyone is more or less practicing. the current megatrends are no-logo and normcore.” according to fashion experts, the nologo trend is all about identity. “Fashion trends tend to change quickly in Korea,” said a representative at 8 seconds, one of Korea’s main fast-fashion brands. “these days, young Koreans think of fashion as [an individualistic] way to sEOUl — While Chanel might be staging its cruise show here on May 4 and luxury brands continue to court south Korean consumers, it’s clear that many shoppers are shunning logos in favor of no-logo, nondescript casualwear. young Korean consumers are channeling athletic and clean-cut normcoreinspired looks. these include sweatshirts, sweatpants, mom Young South Korean jeans or skinny jeans with consumers are embracing sneakers, letterman jackets, normcore and no-logo trends. mannish wool coats, toques and tote bags. Nothing here looks vintage, scuffed or even slightly worn. Korean consumers favor fabrics and shapes that are sharp, crisp and one-color, creating an immaculate, almost futuristic-looking version of the trend. retailers that trade in basics stand to gain in the current climate. Examples include Gap, Hennes & Mauritz, Zara and local brands such as 8 seconds, Beanpole, Mixxo and a-land. Koreans have even coined their own term for the no-logo “mega” trend. the “Nono’s” of Korea, short for “no logo, no brand,” express their personality….they don’t denote a consumer demographic that want to show logos or brands.” su-min Oh, fashion research team focuses on design and value over brand loyalty, and self-expression and identity director at Cheil industries Fashion Division, said logos and status symbols over status. “the fashion community in Korea is “are definitely less popular than before. very influenced by Western culture and People care more about style, design and fashion,” said Chae-yeon song, cofound- not just about names these days; brand er of styleshare, one of Korea’s largest loyalty is decreasing.” according to the Korea Chamber of online fashion communities. “in Korea, Sustainability In Focus at Parsons By rOsEMary FEitElBErG NEW yOrK — When the incoming dean of the school of Fashion at Parsons the New school for Design, Burak Cakmak, officially starts at the downtown campus in august, he will be all about sustainable design. in his previous role as vice president of corporate responsibility for the swarovski Group in london, Cakmak traveled extensively to establish global environmentally minded programs and forge strong research partnerships with retailers and luxury brands. Connecting with suppliers, stores, non-governmental organizations, governments and media, Cakmak put in place best-practice industry standards across all business functions including raw material sourcing and supply chain management. His experience in the area included a run as general manager of Made-By Benelux in the Netherlands where he worked with H&M, tommy Hilfiger, acne, Primark and other brands. Before that, he was Kering’s first director of corporate sustainability. Cakmak started his career as senior manager of social responsibility at Gap inc., a post he held for eight years. Cakmak succeeds simon Collins, who relinquished his deanship last summer, but remains as the school’s creative adviser and board of governors member. Following an international search that culled “several hundred candidates,” five external ones and one internal candidate made formal presentations before Cakmak was chosen, said Parsons’ executive dean Joel towers. aside from his 15-year commitment to sustainability issues, Cakmak brings with him numerous connections to the fashion world and significant international experience, including set- ting up academic projects in the U.s., U.K., France, China, Brazil and india. With firsthand knowledge of how a business evolves based on designers’ and creative directors’ key decisions, Cakmak decided that education holds the best opportunity to help instill in aspiring designers the need to further sustainability, by respecting nature and society and providing more traceable products. He said his experience developing products from beginning to end “through production and process,” and a sound understanding of marketing and communications, should serve him well in his new role. intrigued by how technological changes dovetail into design, Cakmak pointed to 3-D printers MakerBot, shapeways and Carbon3D’s CliPs [Continuous liquid interface Production] technology that grows parts instead of printing them layer by layer as examples of new ways of approaching sustainability. in addition, the fact that last month a $1 billion valuation was given to Farfetch, which links up shoppers with independent retailers “is an indication of how the company will become the enabler for young designers in the future” as it expands, he added. When towers met Cakmak for the first time in his New york office two years ago to discuss sustainability, he was struck by how “extremely smart” and in-the-know Cakmak was. as the New school’s self-described “resident tree hugger,” towers has long been committed to environmental and urban ecology issues as an associate professor of architecture and sustainable design as well as a practicing architect with 30 years of experience in sustainable design and urban ecology. reaffirming the school’s multidisciplinary approach to design, tower said, “Fashion is not something that lives in isolation.” Commerce, retail sales in Korea are set to grow by 2.4 percent this year to 276 trillion won, or $251.37 billion at current exchange. retail sales grew at a similar rate in 2014, increasing 2.2 percent on 2013 figures. “this growth is projected to be small due to [the] economic slowdown and lower levels of consumer sentiment,” the KCCi said. in February, the Korean finance ministry said sales at the country’s top department stores were estimated to have fallen 9.7 percent in January from a year earlier. the ministry blamed part of the drop on the timing of the lunar New year holidays, which fell in late January last year but were in the middle of February this year. Hye-jin Hong, the designer behind contemporary fashion house studio K, said tough economic times could be part of the attraction of the no-logo trend for consumers. “[like much of the world,] because of economic uncertainty, people try to wear simple, non-trend-sensitive clothing they can wear for years to come….they want to minimize consumption and maximize their clothes’ wearability,” she said. in spite of the economy, the Korean fashion market is maturing and experts say that younger generations are making more “value-conscious” purchases. analysts at samsung Design Net said Korean consumers want more than just status items; consumers are seeking a photo by SimpSon Kim By Crystal tai whole different set of specialized products and shopping experiences. “Nowadays, peoples’ interests have expanded to technology [like the iPhone,] or lifestyles [like well-being, eco-friendly living, vintage, etc],” said su-min Oh, an analyst with samsung. “they are interested in more than just fashion now….and the market has noticed this.” Given Korea’s fairly rigid society and high level of conformity, the newfound popularity of non-branded, no-logo items is particularly noteworthy. Just a few years ago, monogram luxury bags were so ubiquitous they were nicknamed “3 second bags,” as one could spot one being worn by women everywhere. tapping into the no-logo trend, Korean brands like handbag firm Couronne and 8 seconds are putting a greater emphasis on product development and design than slapping labels on products. “When we think about brands like Burberry, we think about their iconic trenchcoat; or when we think about Uniqlo, we think of their Heattech line,” said samsung’s Oh. “Korean brands are also following this flow. For example, at 8 seconds, they are heavily focusing on the marketing of the ‘wonder series’ line [a line of breathable and insulating inner wear].” Hong, the studio K designer, agreed that Korean consumers are becoming more discerning. “Over the past decade people have become more informed. they don’t just care about a name: it’s about their chosen lifestyle, the cost of the item, and many other things,” she said. “We can definitely say Korean consumers are more mature now.”— WITH CONTRIBUTIONS FROM REUTERS WWD PRINT SUBSCRIBERS: PLEASE GIVE US YOUR EMAIL ADDRESS DON’T MISS OUT ON THE NEW DAILY DIGITAL EDITION! On April 29th, the print edition of WWD will re-launch in a weekly glossy format. The final edition of the daily newspaper in its current format will be on April 24, 2015. Beginning with the April 27th issue, we’ll produce a curated Daily Digital edition of WWD that will reflect the top stories of the day. It will be emailed to you before you wake up each business day! In order to ensure that you receive the Daily Digital, please go to wwd-email.com or call 1-866-401-7801 to provide or update your email address. WWD_QuarterPgAd3.indd 1 3/27/15 5:02 PM 10 WWD TUESDAY, APRIL 7, 2015 PHOTOS BY THOMAS IANNACCONE A selection of EatPops. What a Dish eye THEY ARE WEARING ® Technicolor Parade “In your Easter bonnet, with all the frills upon it” didn’t begin to describe the scene at the 2015 Easter Parade and Bonnet Festival, a cheerful tradition staged annually along Fifth Avenue in New York City. This year’s participants went all out with imaginative millinery, wearing head-to-toe looks that ranged from serious and chic Sunday-service outfits to what onlookers really came to see: elaborate and sometimes kooky hat extravaganzas requiring a bit of a balancing act. — WWD STAFF PHOTOS BY GEORGE CHINSEE after functional benefits like ASK SOPHIE MILROM what “Activate” and “Restore” and all she thought she might be doing seven flavors are all-natural with after law school and starting a no added sugars, sweeteners business selling ice pops would or coloring. (A box of three, not have been her answer. “It with Lichtenstein-inspired seems so random. I’m a lawyer,” packaging by Doubleday & the 27-year-old entrepreneur Cartwright, costs $6.99.) trills one recent afternoon in Just shy of a year later, New York. But it was while Milrom’s frozen treats are in studying for the bar exam that 150 stores in the Tristate area, the idea for EatPops was born. including Whole Foods, and she “For the first time in my life recently launched in Los Angeles certain things were just too with AmazonFresh. She was inconvenient — cooking, or able to scale the business after running out for a custom meal. a round of funding in October, And so I went to the food store when she secured a group to stock up on snacks, and was of investors who include the surprised that everything had a ton of sugar or artificial flavors or sweeteners,” she says. “I was thinking about the juice craze and how it’s so inaccessible to people, because it’s one, really expensive, and two, really inconvenient. I realized that a way of making a shelf-stable version of the juice craze was freezing the juices.” Eureka! She started making ice pops out of the typical juice blends one might find at Juice Press or Organic Avenue, testing them on her friends (and keeping them in an industrial freezer in her living room) before manufacturing a batch of samples. “Some things taste delicious together but when you mix them they turn a really unappetizing color,” she says of the process. “So, orange juice is delicious and grape juice is delicious and together they don’t taste bad but they’re brown. And nobody’s going to buy a brown Sophie Milrom ice pop that isn’t chocolate.” founders of Sweetgreen and Kal EatPops launched last Vepuri, whose portfolio includes summer at Life Thyme Market Warby Parker and The Arrivals. in the West Village, while They saw an opportunity in the partnerships with fitness brands effervescent Milrom’s drive: She like SoulCycle, Lululemon and called her company Innocent ModelFit followed throughout Foods and aims to grow it into a the summer. With EatPops, lifestyle brand. Milrom is capitalizing not only As to the bewildering turn on the zeitgeist at large, but also her career has taken, Milrom her personal healthy outlook has come to terms with her (in her business bio she notes calling. “I realized that a lot that she “meditates twice a day, of the entrepreneurs I look goes to yoga 5 times per week”). up to, most found “Somebody said problems in their once if you had a FOR MORE PHOTOS, SEE [own] homes and Ferrari you wouldn’t put diesel fuel into WWD.com/eye. were solving that exact problem, it. I think everybody not a problem in is realizing that it’s someone else’s really important home,” says Milrom. “So, for what you put into your body,” example, the founder of Spanx she says. “Everything in the always said that she was cutting frozen-dessert section of the off the bottom of her pantyhose. grocery store ranges from really, And I thought that was a really really, really bad for you, like practical way of approaching it. cookie-dough ice cream, to less Like, if I have this problem and bad for you. But there’s nothing I’m solving it for myself, I can that offers you nutritional value help other people solve it, too.” or functional benefits.” She adds: “Nothing makes As such, EatPops’ flavor me happier than when people combinations — including beet, look at me and say, ‘Why didn’t I apple and carrot or kale, banana think of that?’” — ALLY BETKER and pineapple — are named WWD Tuesday, april 7, 2015 11 WWD.COM CLINTON’S TOWN & COUNTRY TEASE: The talk may be all about whether Hillary will run, but it’s her husband — former President Bill Clinton — who will appear on the cover of Town & Country’s May philanthropy-themed issue, which hits newsstands April 14. The issue dovetails with T&C’s second annual philanthropy summit, which will take place on May 7 at the New York Historical Society. According to editor in chief Jay Fielden, booking Clinton wasn’t as hard as working around his crammed schedule. “We went to Haiti with him to see what he does best, which is to wheel and deal and put multinational companies together,” Fielden told WWD. “The interview took place about five weeks ago, which was close to deadline. We got a little harried. We only had eight minutes to get the cover shot.” Clinton was on site — a farm two hours outside of Port au Prince — to work on the Haiti Lime Project, in which his foundation helps Haitian farmers secure funding to plant lime trees. Clinton, who had hooked the farmers up with Firmenich, a Swiss oils and essences company, was busy schmoozing and shaking hands after the meeting, while T&C photographer Alexei Hay watched his eight-minute window dwindle to three minutes. Hay captured a noticeably youngerlooking Clinton posing by a tree on the farm with a helicopter in the background — a shot that looks more or less like a painting — but one that Fielden denied was Photoshopped. “That’s a real helicopter in the background, and that’s a real Panerai watch that he’s wearing that he owns,” Pendergrass, Reshma Saujani, Connie Britton and Katie Couric. T&C vice president, publisher and chief revenue officer Jennifer Levene Bruno said panels will touch on philanthropic efforts in Hollywood, Wall Street and Washington, D.C. The event will also be a full day versus last year’s half day, and it will make use of social media. Today, T&C will try to bolster support for its summit through a social campaign with the tag #LoveToGive, in which individuals are encouraged to raise awareness for the causes they support. Like last year, Fidelity Charitable is the main sponsor with City of Hope also returning. New sponsors include Bally, Morocan Oil, PBS and One Hotels. the editor said with a chuckle, noting that Clinton’s appearance marks T&C’s first presidential cover. The story, which is written by Klara Glowczewska, the magazine’s travel editor-at-large, explores Clinton’s philanthropic efforts in Haiti, as well as his potential role in a Hillary Clinton White House. “If Hillary becomes president, I’ll have to assess what — ALEXANDRA STEIGRAD ANGELS FACE OFF: Lane Bryant, seeking Photo by Alexei hAy MeMo pad Bill Clinton on the cover of Town & Country’s May philanthropy issue. she wants me to do. It’s hard for any party to hang on to the White House for 12 years. A thousand things could happen,” Clinton said in response to Glowczewska’s question of “What if Hillary runs and becomes president?” T&C hopes to nab the former president for its summit before he goes in first-spouse mode. He would join already-booked speakers such as John to elevate its image and alter certain notions on large sizes, officially launched its #ImNoAngel campaign Monday at the brand’s 34th Street flagship in Manhattan. The campaign also involved “pop-up” concerts Monday in New York City, with the first all-female hip-hop group Salt-NPepa. Joined by campaign models Ashley Graham, Marquita Pring, Candice Huffine, Victoria Lee, Justine Legault and Elly Mayday, Salt-NPepa traveled around the city performing in an open-top #ImNoAngel bus. Salt-NPepa’s performance was accompanied by a choreographed flash mob. Salt-N-Pepa is a supporter of body acceptance. The campaign centers around a series of photographs and a video taken by photographer Cass Bird featuring the models dressed in the brand’s Cacique lingerie and styled by Kathryn Neale. They wiggle, describe themselves as “hot” and one professes “I’m no angel,” in an apparent crack at Victoria’s Secret top models known as Angels. “Our brand has begun to change the conversation of traditional notions of beauty, and we are excited to break the mold of how society defines sexy,” said Lane Bryant president and chief executive officer Linda Heasley. — DAVID MOIN NOT STANDING BY HER: It’s rare that in the aftermath of a public scandal — especially a media scandal — that no one is fired. But that was the case for Rolling Stone’s editors and Sabrina Rubin Erdely, who penned the controversial investigative piece “A Rape on Campus” for the magazine. Erdely — who admitted to cutting corners in her reporting, which focused on what turned out to be a fabricated account of a gang rape of a student on the campus of The University of Virginia — will be permitted to continue writing for Rolling Stone. Her reputation elsewhere in the media isn’t quite so solid. WWD reached out to GQ, The New Yorker and Men’s Health, three magazines where the freelance writer has contributed in the past, and her prognosis for future work didn’t look good. GQ declined to comment as to whether Erdely’s byline would appear in its pages again, while the New Yorker and Men’s Health did not respond to requests seeking comment. But sources at both of the latter two titles were doing all their best to distance themselves from her, pointing out that Erdely hadn’t written for either publication in a decade. At The New Yorker, where Erdely is cited as a contributor on its Web site, it was noted that the writer penned just one “Talk of the Town” as a freelancer more than 10 years ago. Her status on the magazine’s site is merely linked to that one contribution, and by the sound of things, her return to pages of The New Yorker is very unlikely. — A.S. Fashion scoops ROLL CALL: Patricia Barbizet, chief looking for a new creative director? executive officer of the Pinault Industry sources say a search is on for family holding company Artemis and a person to head the design team at the chief executive officer of Christie’s label, which is owned by LVMH Moët International, has been promoted Hennessy Louis Vuitton. Caroline Brown, to commander of France’s Legion of Honor. It’s the national merit system chief executive officer of Donna Karan created by Napoleon Bonaparte, International, is said to be tapping into which just announced the young designer market to For more its traditional Easter come up with a candidate for scoops, see promotions. — JENNIFER WEIL the role. Public School, Prabal Gurung and Andrea Lieberman, WWD.com STAY GOLDEN: The Initiatives designer of A.L.C., are among the names that have been in Art and Culture will bandied about. Lieberman hold its fifth annual Gold had no comment, as did Gurung and a Conference on Thursday, with a twospokeswoman for DKI. Asked whether day schedule of conversations, panels he was considering the position, Maxwell and presentations. This year, the conference’s events will adhere to the Osborne, design partners with Dao-Yi official theme, “Gold: Transparency, Chow in Public School, said, “not at this Trends and Techniques.” “We moment,” adding that they have enough have been overwhelmed by the going on with their own line. Jane fascinating recent developments in Chung is the longtime executive vice the gold industry, as we have been and president of design at DKNY. — LISA LOCKWOOD continue to be with the history and legacy of this precious metal,” said IAC founder Lisa Koenigsberg of the REGGAE ON MELROSE: Ziggy Marley is planning to give Melrose Avenue a theme. Topics that will be discussed Jamaican flavor when he headlines John over the conference’s many panels include “Designing for Millennials,” Varvatos’ annual Stuart House benefit “Cutting Edge Technology and Its on April 26 in Los Angeles. The reggae Potential,” Gold in Beauty: Body musician will be joined by this year’s Adornment,” and “Jewelry Trends honorary chair, Chris Pine, and there will Driven by the Catwalk.” Speakers also be guest DJ performances by Nick include Ana Khouri, Anita Ko and Daniel Simmons and Wade Crescent. The designer will close the street outside his West Brush. Sessions will take place at Hollywood boutique for an afternoon the City University of New York’s of live music, shopping, auctions, food Graduate Center. The IAC will also and fashionable festivities. “This year host two cocktail events: a reception marks the 12th anniversary of the at the Aaron Faber Gallery on John Varvatos Stuart House Benefit,” Thursday night to celebrate the Varvatos said. “Over the past 11 years, gallery’s 40th anniversary, and a we’ve raised over $5 million for Stuart closing reception on Friday night held House. I’m excited that Chris and Ziggy at Doyle & Doyle’s flagship store in will join me to support the cause.” the Meatpacking District. DKNY CREATIVE HEAD: Could DKNY be — JEAN E. PALMIERI — LAUREN MCCARTHY REACH THE FASHION INDUSTRY’S TOP TALENT WWD CAREERS.COM PRINT & ONLINE PACKAGES AVAILABLE Contact Tiffany Windju at 310.484.2537 or [email protected] 12 WWD TUESDAY, APRIL 7, 2015 WWD.COM Rich Pins: Pinterest’s Marketing Play {Continued from page one} generating substantial revenues as a result — the platform is making an aggressive push. Pinterest has raised upward of $790 million in the past year-and-a-half alone, or a total of $1.1 billion. With a company valuation of $11 billion after its latest round of funding last month, Pinterest is readying to focus on creating a meaningful revenue stream. Pinterest’s investors clearly need to see a consistent revenue stream to confirm their hopes of a return on their investment. But all they have to do is look at Facebook: The social network racked up $3.59 billion in advertising dollars in the fourth quarter of last year (a 53 percent it does have a specific purpose that its peers don’t: it’s a discovery platform where millions of users come to view others’ pins. While social commerce on sites such as Facebook has failed to meet retailers’ expectations because people are coming to them to interact with friends or brands, and not necessarily to shop, the digital scrapbooking element of Pinterest could have better luck driving sales because of its event focus: Decorating a room, or planning a dinner party or a wedding. Target uses both Promoted and Rich Pins, according to Kristi Argyilan, senior vice president of media and guest engagement at the discounter, who noted this combined marketing approach doubled Pinterestreferred traffic to target.com in 2014, year-over-year. $11B ’’ PINTEREST’S LATEST VALUATION. Rich and Promoted Pins are not mutually exclusive, according to Target. A Rich Pin means the pin pulls through item data such as name, price and availability from target.com. A Promoted Pin means Target is paying for the pin to get it Pins from Target. Nordstrom, which has more than 4.4 million fans on Pinterest and started using Rich Pins about a year ago, said the largest customer-driven activity to nordstrom.com comes from Pinterest. “The way that people use Pinterest is very product- ’’ The way that people use Pinterest is very product-focused, and as a retailer we hope they will shop with us because of the breadth of products [on the platform]. — BRYAN GALIPEAU, NORDSTROM viewed by more people. Nearly all of Target’s Promoted Pins are Rich Pins. Pinterest also recommends that a pin is rich before promoting, since Rich Pins pull through an additional Target logo and help to maintain the branding as it is pinned further downstream. hasn’t done any Promoted Pins yet, but it is constantly evaluating the opportunity. British women’s and men’s wear brand Reiss contended that Pinterest fueled the highest average order value from any social channel last year. Since partnering with the platform in a marketing capacity, the brand has experienced a 46 percent jump in Pinterest-referred revenue. Reiss’ Rich Pins notified users when prices dropped on a pinned product — and the brand said it’s seen a tangible return on investment from its efforts on Pinterest thus far. For instance, the brand saw a 22 percent increase in traffic to its site and a 24 percent lift in revenue, as well as higher individual order values. The company attributed 55 percent and 46 percent increases in transaction and revenue, respectively, directly to Pinterest, year-over-year. Although Pinterest has definitely been late to join the advertising game — contemporaries like Facebook and Twitter have both been working with marketers for several years now and focused, and as a retailer we hope they will shop with us because of the breadth of products [on the platform],” said Bryan Galipeau, Nordstrom social media director, adding that the brand sees about 150,000 pins coming from its Web site per month. The company said it A Nordstrom pin. leap from the same time in 2013). Sixty-nine percent, or $2.5 billion, of Facebook’s ad revenue comes from mobile — and based on this, the 80 percent of Pinterest users who access the platform from a mobile device can be a massive opportunity for marketers. Kevin Knight, head of agency and brand strategy at Pinterest, said brands that implement Rich Pins on average see a doubledigit increase in click-through rates versus those that don’t. Additionally, 30 percent of the total impressions that result from a Rich Pin are free downstream, meaning the brand is racking up free impressions every time the image is re-pinned. He’s spent the past year working closely with brands through a series of creative workshops to help them get the most out of their presence on the platform, but the most surprising thing he’s discovered is that what resonates with Rich Pins is the opposite of what typically works on other social networks. “The biggest factor that drives the success of a pin is how helpful the pin is,” Knight said. “It’s the actionable details.” For example, Knight found that the notion of a Rich Pin blending in with organic content is not what results in a high-performing pin. In fact, the exact opposite is true — and when a pin includes branding and a logo, it actually performs better, according to Knight. This has been the case with publications like GQ as well as big-box retailers like Target. It goes against what experts deem best practices — and the notion that consumers don’t want such in-your-face ads. They do on Pinterest, apparently. Less is not more on Pinterest, Knight said. The more detail a pin has, the better it will perform. While some brands still stick to a purely visual approach when pinning — because this is what’s been successful on places like Instagram — this approach is not what he recommends on Pinterest. “We’ve done a lot of work with Target, [and] in a tasteful way they will put the bull’s-eye [logo] on something,” Knight said. “The presence of a Gap logo or a bull’s-eye actually communicates to a consumer that it’s affordable and accessible. Fashion is a big thing on Pinterest, but people want to apply it in their lives. The accessibility of a lot of these brands resonates [with pinners].” Weitzman Gets Moving for Instagram A still from Stuart Weitzman's first advertising campaign on Instagram. STUART WEITZMAN is ramping up its social media advertising efforts, launching Instagram-based ads for the first time on Wednesday. The campaign will feature Cinemagraphs — a photography and video hybrid created by Ann Street Studio’s Jamie Beck and Kevin Burg — and highlight the brand’s key spring styles: a high-heeled slide, a gladiator, a fringe sandal and a fringe bootie. Beck and Burg created four Cinemagraphs, marking the first time the brand will offer a campaign that’s exclusive to social media. Stuart Weitzman has amassed an Instagram following of more than 181,000. It was this grow- ing base and Instagram’s new autoplay function for videos that gave the brand the push it needed to focus more marketing dollars on the platform. “When you scroll through Instagram and see a little bit of motion, you stop,” said Susan Duffy, chief marketing officer. “We want to capture our client’s attention.” The footwear brand has been working with the photo- and video-sharing platform’s parent company Facebook since 2012. Stuart Weitzman has upped its efforts on the company’s namesake social media network dramatically, spending nearly two-thirds of its entire 2014 Facebook budget in just the first quarter of this year. The brand plans to increase media spending on the platform by more than 300 percent in 2015. Stuart Weitzman also will remarket the campaign to Facebook users after they have already seen it on their Instagram accounts. The footwear company will start testing Rich Pins this week, with product selections based on real-time analytics. Footwear that has garnered interest on social media will be targeted for these enhanced pins, which will contain realtime pricing, availability and link consumers to a direct point of purchase. — RACHEL STRUGATZ
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