Quiet August Market Draws Heavy Hitters

With gasoline prices closing in on $3 a gallon and MAGIC International looming, exhibitors participating in the Aug. 12–16 run of Los Angeles Fashion Market did not expect a wave of business for their Holiday/Resort 2005 collections.

But there were a few surprises that gave some fourth-quarter optimism to sales representatives at the California Market Center, The New Mart, the Cooper Design Space, Designers & Agents and the Gerry Building.

Lauren Cohen, a rep in the Helen Costello Showroom, which carries mostly updated misses lines, held up two 4-inch-thick stacks of orders to illustrate how the market had gone for her. “We did this over the weekend,” she exclaimed.

But not everyone was as upbeat as Cohen. Some reps complained about the effects of a slowdown in consumer spending With gasoline prices closing in on $3 a gallon and MAGIC International looming, exhibitors participating in the Aug. 12–16 run of Los Angeles Fashion Market did not expect a wave of business for their Holiday/Resort 2005 collections.

“Most of the local buyers showed up,” said one CMC rep who declined to be named. “But those from Oregon, Washington and other Western states had to make a choice of coming here or to Las Vegas. I think most are choosing Las Vegas.”

CMC executives did not release overall attendance statistics for the five-day market. But they did say international traffic was up 20 percent.

Sharon Koshet of Sharon Koshet Sales was among those benefiting from the spike in international business. “We saw buyers from Ireland, Australia, Dubai and Canada,” she said.

Mixed retail sentiment

Although Wal-Mart Stores Inc. is predicting that rising gas prices will stifle its third-quarter operating results, others are upbeat about the Fall season.

A National Retail Federation report on college-aged consumers indicated that spending will be up 34 percent this Back-to-School season for apparel, books, electronics and other items. Apparel spending alone is projected to hit $5.7 billion. Another forecast, by Standard & Poor’s Equity Research Services, however, predicted a flat Back-to-School season, with a 1 percent decline over last year’s results. The S&P’s “Retail Outlook: Back-to-School/Back-to-College 2005” report forecasted Back-to-School spending for apparel will hit $9.6 billion, a 4 percent decline from last year.

Gas prices did not seem to affect the retailers buying at the Showroom, located on the CMC’s contemporary fifth floor. “My stores are doing great. I was very surprised at how well we did during this show,” said the Showroom’s Judy Kurgan.

Kurgan said “date” tops by Ann Ferriday and Victorian-themed shirts from Crave Chic were hits. A black-and-tea vintage lace top from Ferriday and voile tops blew out early, she noted.

Likewise, Lynne Andresevic of Crayola Sisters said she logged some big orders for Aug. 30–Sept. 30 deliveries. Item skirts from Hanna and shirts with Western detailing from Cordelia were among the goods being picked up in her second-floor showroom.

New lines added to Brighte

Exhibitors at Brighte Los Angeles, held in the CMC’s fashion theater, reported slow to moderate buyer traffic.

But some new resources attracted retail buyers from Kitson in Los Angeles and other high-profile boutiques.

Among the new lines were Sean by Sean Combs, the new women’s line by the designer of New York–based Sean John.

French line Free also debuted at Brighte. Designer Michel Zberro brought in cargo jackets, rocker T-shirts and other funky items that were embellished with sequins and beads. Wholesale prices started at $69.

Another line from Europe, 10 Feet, also expanded into the California market with its line of hand-stitched and embroidered denim, priced from $64.

At the Jelessy booth, representatives of the Los Angeles contemporary apparel company highlighted denim with Moroccan-themed embroidery, among other items.

“It’s tough out there, but we’ve managed to grow to 350 accounts in two years,” said sales rep Carmella Pineda.

Timing affects Designers & Agents

With buyer attendance up 8 percent at the D&A Annex, held at The New Mart, the mood on the show floor was upbeat. Several exhibitors said they made new contacts and got hefty last-minute orders even though foot traffic appeared slow.

Some 1,200 buyers attended the show, up from the attendance at last August’s show. “Attendance seemed busy, and people were doing a good amount of business,” show producer Barbara Kramer said.

Not all agreed, however. “It has been a slow show,” said Amara Waterman of Los Angeles–based Saja, a contemporary womenswear line. “We haven’t done too much business, but D&A is a great way to tap into buyers who have not worked with us before.”

Festive embroidered tunics and vintage-inspired skirt suits for Holiday were popular among retailers leaving paper at Saja.

Though buyers definitely had an eye out for Spring offerings, immediate buys and Holiday items were hot on the show floor.

“I’ve sold quite a bit of warm knitwear, and most people want immediates,” said Richard Lloyd-Roberts, sales rep for Los Angeles–based Avita, which carries cashmere and bamboo knits. “There’s a lot of last-minute Holiday shopping.”

Avita’s biggest order was for warm bamboo knits in a frosty gray.

Retailer Christina Labone, owner of the Beauty & Attitude boutique in Berkeley, Calif., was on the lookout for intimate apparel as well as immediate buys and items for Spring.

“[I just walked] through the show once, and I already spotted some interesting lines,” Labone said. “I came here to find new and smaller designers and to find new sources.”

Quality, not quantity at Cooper

Showrooms in the Cooper Design Space reported brisk sales and slow walk-in traffic.

“Our business was up with our majors this market,” said Rick Ramseier, national sales manager of the Major De Lema showroom. Most of his business came from cold-calling buyers and making appointments.

“Our current buyers were very responsive to the calls I made prior to the market,” Ramseier said, adding that he had good market figures for the show.

“The active, casual and lifestyle market has been very strong,” he said.

Demand for the brand’s signature embroidered hoodies, tanks and silk cropped cargos was high, he noted.

Retailers came to their appointments knowing what they wanted to buy, said Beatriz Villafane, sales director of the Tibi showroom. “I saw mostly appointments, and about 80 percent of the people I saw left paper.”

Cotton shorts ($78 wholesale), knits ($85 to $120) and dresses ($90 to $125) were hot sellers throughout the market, Villafane said.

Luciana Brancorsini, owner of the IdeaGeneration showroom, reported doing well with current clients, although she said the market was slow. A big draw for her showroom was the new Spring/Summer ’06 collection from Italian line Dondup. “Many of my local clients came in to buy early for Spring,” she said.

Big names visit New Mart and Gerry

The Los Angeles Fashion Market produced mixed business for the showroom owners of The New Mart and the Gerry Building.

Retailers such as American Rag, Kitson, On Sunset, Habit and Barneys Japan browsed through The New Mart’s showrooms. That was good news for Julie Glock, who represents Da-Nang at Showroom 903. “We surpassed our goals,” she said.

But other New Mart salespeople said they expect to write their best orders at MAGIC.

“[It was] a generally slow market,” said Rachel Stanford, a sales rep at Studio 908. “Good buyers were here, but the market did not have the volume.”Stanford said her business was half of what she saw at the Fall II/Holiday ’05 market in early June.

Roman Valdez, account manager of vintage-inspired sportswear line Blue Marlin Corp., which has a showroom in the Gerry Building, also forecasted he will write most of his orders at MAGIC.

“The market was not good,” Valdez said. “But I didn’t expect a lot of foot traffic because people wait until MAGIC to order.”