▲ NEWS: ▲ Ann FASHION: ▲ RETAIL: Taylor Contemporary ▲ NEWS: Topshop taps brands Susan goes design, feel the Sokol bigger in store squeeze, to exit Tokyo, heads, page 9. Vera page 3. Wang, page 3. page 3. WWDWomen’s Wear Daily • TheTHURSDAY Retailers’ Daily Newspaper • October 16, 2008 • $3.00 Sportswear Close Encounter Chanel’s Mobile Art mother ship has landed in Central Park. The futuristic, Zaha Hadid-designed pavilion, which houses 18 modern artists’ odes to the iconic Chanel 2.55 handbag, will open to the public on Monday. For more on the installation, see pages 6 and 7. Bleak House: Retail Shares Dive Again as Outlook Darkens By David Moin and Evan Clark On a day marked by disappointments in which it has issued them, and the Credit jitters have given way to on several fronts, the Commerce weakness recently seen in retail shares holiday dread. Department reported declines in swept over the vendor community, led by The severity of the retail downturn nearly every category of retail sales in a nearly 30 percent drop in the price of was on full display Wednesday, in the September, including department and Jones Apparel Group Inc. shares. Jones process further depressing already specialty stores; the National Retail reduced its earnings estimates for the downtrodden stocks and anemic Federation issued its lowest forecast year after the market closed Tuesday. holiday expectations. for holiday spending in the seven years See More, Page 17 PHOTO BY TALAYA CENTENO TALAYA PHOTO BY WWD.COM WWDTHURSDAY Sportswear FASHION 6 Karl Lagerfeld and Zaha Hadid’s Space-Age spin ™ on portable structures, Chanel’s Mobile Art pavil- ion, has touched down in Central Park. A weekly update on consumer attitudes and behavior based on ongoing research from Cotton Incorporated GENERAL 1 The severity of the retail downturn was on full display Wednesday, depressing depressed stocks THE BOOM BOOM: and anemic holiday expectations. Tapping the Huge Potential of the Individualistic, 44+ Market 3 U.K. fashion chain Topshop is has doubled the size of its Tokyo fl agship and plans to open seven Hillary Clinton. Kathy Bates. Madonna. Sheryl Crow. to-wear, errand-worthy “play wear” knits and denim. more stores in the city in the next three years. No, this isn’t a game of “One of These is Not Like The ShapeMe™ denim program, in particular, 4 Wholesale prices for U.S.-made women’s and The Other.” In fact, they are all part of the same group: has been very successful for Coldwater Creek, girls’ apparel fell 0.7 percent in September from Baby Boomers. says Sandra Smith-Fitzgerald, senior vice- August and were off 0.1 percent for the year. The challenge of marketing to this group is president of merchandising. 8 BEAT: Contemporary brands are broadening their that Baby Boomers cover such a wide age range “[The customer] loves it,” she says, so much so, price range, editing their lines and enhancing ™ – currently from 44 to 62 years “we have expanded ShapeMe customer service to fi ght the tough times. old – that one size definitely does from denim to include additional not fit all when it comes to their fabric options in pants that address 9 DENIM: Booming sales and a move to offshore apparel needs.Those at the upper a variety of lifestyle needs for our sourcing lifted Joe’s Jeans Inc. to triple-digit end might have grandchildren customer.” earnings gains in the third quarter. and be mulling retirement, while Boomer women shop for clothes 10 LETTERS: Downtown Dallas is being revived, with those at the lower end may very 2.8 times per month for themselves more residents, new eateries, hotels and nightlife, well have preschoolers. and others, Monitor data reveals. and a thriving arts community. Boomers, with $2.1 trillion in Primarily, they shop at chain stores EYE: Taxis and town cars were in high demand ▲ 20 spending power, are a very appealing (25%), followed by mass merchants Tuesday night as the social set shuttled between demographic. About half (49%) of (24%), department stores (17%) no fewer than three major soirees. Boomer women confess they still and specialty stores (9%). Lindsay Price love/enjoy shopping, according Manufacturers and retailers who Classifi ed Advertisements...........................................................................................18-19 to Cotton Incorporated’s Lifestyle do not wake up to the wants and Monitor™. Harnessing the dollars needs of the 40+ woman are doing TO E-MAIL REPORTERS AND EDITORS AT WWD, THE ADDRESS IS of this particular demographic can themselves a disservice, Brown says. [email protected], USING THE INDIVIDUAL’S NAME. prove tricky. “Who out there understands the WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT ©2008 “There is no one consumer “Who out there understands 40+ female body and what makes FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. the 40+ female body and what VOLUME 196, NO. 81. WWD (ISSN 0149–5380) is published daily (except Saturdays, Sundays and holidays, with profile,” explains Lori Holliday her feel great – while not sacrificing one additional issue in January, October and December, two additional issues in March, April, May, June, August and Banks, senior fashion analyst/ makes her feel great – while style?” she asks. “And who offers November, and three additional issues in February and September) by Fairchild Fashion Group, which is a division editor for The Tobe Report. “This not sacrificing style?” this in the high-touch service of Advance Magazine Publishers Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by Condé Nast Publications: S. I. Newhouse, Jr., Chairman; Charles H. Townsend, President/CEO; John W. misconception has sometimes — Mary Brown environment important to the 40+ Bellando, Executive Vice President/COO; Debi Chirichella Sabino, Senior Vice President/CFO; Jill Bright, Executive Vice resulted in singular definitions of JWT BOOM woman? Not as many brands as President/Human Resources. Periodicals postage paid at New York, NY, and at additional mailing offi ces. Canada Post Publications Mail Agreement No. 40644503. Canadian Goods and Services Tax Registration No. 886549096-RT0001. the Boomer customer, particularly there should be given the spending Canada Post: return undeliverable Canadian addresses to: P.O. Box 503, RPO West Beaver Cre, Rich-Hill, ON L4B female Boomers, who have been power of this demographic.” 4R6 POSTMASTER: SEND ADDRESS CHANGES TO WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA lumped into either the older age bracket or the Brown gives a nod to J.C. Penny, Chico’s and Talbots 91615–5008. FOR SUBSCRIPTIONS, ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WWD, P.O. Box 15008, North Hollywood, CA 91615-5008, call 800-289-0273, or visit www.subnow.com/wd. younger. So a clothing store may skew its silhouettes, for reforming their efforts to offer “undowdy” looks. Please give both new and old addresses as printed on most recent label. First copy of new subscription will be mailed styling and fits either too mature or too young.” Wagner says when Michael Smaldone, Talbots’ chief within four weeks after receipt of order. Address all editorial, business, and production correspondence to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions and reprint requests, please call 212-630-4274 At Talbots, “it was no secret” that the brand catered creative officer, and his team looked to change things or fax requests to 212-630-4280. Visit us online at www.wwd.com. To subscribe to other Fairchild magazines on the to older Boomers, says Lori Wagner, executive vice- up, they focused on fit. “Clothes don’t have to be boxy World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully screened president and chief merchandising officer. and cover a woman up,” she says. “Our silhouettes are companies that offer products and services that we believe would interest our readers. If you do not want to receive these offers and/or information, please advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call “We’ve been very successful serving older more refined. Women actually look better if they have 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR THE RETURN OR LOSS OF, OR FOR DAMAGE OR ANY segments,” she says, while adding, “At our best, we clothes that fit beautifully,” Wagner says. OTHER INJURY TO, UNSOLICITED MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, were absolutely an ageless PHOTOGRAPHS, AND TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, At 91%, fit and price are PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS brand. We want to span tied as the most important SPECIFICALLY REQUESTED TO DO SO BY WOMEN’S WEAR DAILY IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND that wide range of 40 to Which statement best describes factor for Boomer OTHER MATERIALS SUBMITTED MUST BE ACCOMPANIED BY A SELF-ADDRESSED STAMPED ENVELOPE. 75 years old.” yourfeelings about clothes shopping? garment purchases, Mary Brown, a Greatest Total Gen Y Gen X Boomers Gen. according to Monitor partner at JWT BOOM, Love/enjoy data. That number rose to the Boomer-specific shopping (net) 61% 76% 64% 49% 43% 93% among the Greatest DAILY Given where the world marketing firm owned I love to shop 23% 40% 20% 15% 11% Generation consumers, “ by JWT Worldwide, but decreased to 86% I enjoy shopping 39% 36% 43% 35% 31% QUOTE is now, it’s likely to cites forecasts showing among Gen X women. the 50+ consumer will Not my first choice 17% 12% 17% 21% 24% Tobe’s Holliday Banks become more promotional over If need something, be responsible for the 19% 11% 18% 27% 29% says marketers and greatest increase in apparel I get it & leave retailers have to throw the holiday season.