Key Items Drive Business Despite Slow Traffic at Market

Retailer traffic was down during the Aug. 10–14 Holiday/Resort 2001/2002 market week in Los Angeles, but buyers who did keep appointments or dropped by showrooms were placing orders, according to representatives in both the California Mart and New Mart. Reps for most categories reported a slow market overall, but several contemporary exhibitors reported satisfaction with both traffic and the quantity of orders placed during the week. Others said buyers were waiting to place orders at the Aug. 27–30 run of MAGIC International in Las Vegas.

The New Mart enjoyed roughly the same attendance as last year, when 690 attendees were at market. There were 689 buyers registered at this market, according to New Mart manager Ethan Eller, who said he heard positive comments about the market overall.

“The feedback I received from buyers ran the gamut from slow to consistent and really good,” Eller said. “Buyers were extremely selective and they came in focused—-there wasn’t a lot of window shopping.”

Though the Cal Mart doesn’t reveal numbers, Trish Moreno, the building’s executive director of creative marketing and public relations, said attendance at the event was up compared to last year.

“The event exceeded our expectations,” Moreno said. “We are definitely seeing a positive trend in the direction of this market.”

Judy Kurgan, of Judy Kurgan Sales in the Cal Mart, had no complaints about market. Her fifth-floor showroom was not focused on Spring or Resort items, but instead showcased eclectic apparel from labels including Glima, Flaunt and Therapy that kept clients Nordstrom, Anthropologie and Saks Fifth Avenue “browsing until they found something they liked.”

“The goods I have in the store are from a variety of vendors, and that is doing really well for me,” said Kurgan. According to Kurgan, the market was crucial for buyers looking for Holiday goods, Kurgan said. “If they’ve put off buying for October 30, and they don’t buy now, they’re going to be out of luck, so they are absolutely leaving paper.”

Lisa Torrens of Signe showroom on the second floor of the Cal Mart was also pleased, reporting that she had to work harder to get buyers to commit.

“Market was slow. However, I worked all of my key accounts, so I had a good market,” she said. “People were buying immediate [goods], and as far as resort, they were also looking and taking notes. I’m not going to cry about it. It was what I expected and actually a little bit better.”

Peter Jacobson of Creative Concepts on the Cal Mart’s second floor agreed with Torrens on the need for a focus on repeat business, adding that he saw little walk-in traffic.

“It actually seems that we increased our business against last year,” he said. “I know a lot of people are complaining, but if [the buyers] like the product, they buy it.”

Vanay Gordon, sales rep for the Bella Dahl showroom on the fifth floor of the Cal Mart, said she saw a bright side to the slow traffic.

“There seems to be a decrease in traffic but not in the amount of business we’re doing,” she said. “The slow traffic is giving us more time to spend with potential customers.”

New Mart reps reported good results despite slow traffic as well. Similarly, exhibitors at the Annex, a contemporary trade show organized by New York-based Designers & Agents and held on the New Mart’s third floor, were satisfied with the business.

“It’s been a slower market,” said Designer & Agents co-founder Barbara Kramer. “Most people here seem to have realistic expectations and are glad they came.”

Kramer added that buyers seemed cautious, spending more on Spring than Holiday/Resort.

Laurie Hasson, owner of the Laurie Hasson showroom in the New Mart, noticed fewer new stores shopping the market this time.

“It’s a smaller market than usual,” she said. “Less people are traveling, but the response has been very positive.”

Retail Reaction

With the economic cloud hanging over most retailers, buyers said they were on the prowl for “toned-down trends” and “sure things.”

“We want ’80s, but more functional—-not so throwaway,” said Keiki McKay, buyer/ owner for a new Santa Cruz, Calif., store called Rouge. “We don’t want to take chances.”

The economy has changed the focus at Tamara’s Vieux Carre shop in Laguna Beach, Calif., according to the shop’s owner, Tamara Arevian.

“We used to carry high-end merchandise and now we don’t like to go over $300,” said Arevian. “It’s been a summer unlike any other. I’m behind, but I saw it coming.”

Since Arevian doesn’t attend MAGIC, she reported that she wasn’t scaling back orders and was dropping paper on items with lower price points.

Arevian’s business may be reacting to the economy, but she said she still has to keep her store stocked with new looks to stay competitive. Conversely, Elisa Bruley, owner of Elisa B. boutique in Pasadena, Calif., said she has seen an increase in sales this year, despite scaling back her inventory.

“We’re scaling back a little bit, but I should scale back more,” Bruley said. “We’ve had substantial growth over the past four years...and this year pales in comparison, but we still are seeing an increase.”

Budding entrepreneur Tara Stemper, who will open a new boutique called Oooh! La! La! in Palm Springs, Calif., in October, reported spending $50,000 on orders for immediate delivery.She plans to carry labels including Tessuto, BCBG Max Azria, Big Star, Michael Stars and Custo Barceshy;lona and foresees no ill effect on her business from the economy.

“People in Palm Springs always seem to have money so I don’t think I’ll be hurt,” said Stemper.

Timing Is Everything

In general, a slowdown in consumer spending and excess inventory of Summer merchandise has forced retailers to cut back on their open-to-buy and made for cautious order writing, but exhibitors noted other reasons for the decrease in traffic, specifically the timing of other shows.

“Traffic is slow because a lot of people are going to MAGIC and are planning to attend Fashion Coterie in New York,” said Darlene Valle, owner of a showroom of the same name in the New Mart.

Torrens said that the Dallas Market, which she is preparing to attend, is concentrating its marketing efforts to attract more buyers, possibly luring some of the traffic away from Los Angeles.

“Several buyers have told me that they prefer to go to Dallas because [market reps] send for them and pick up the cost,” said Torrens. “I’m hearing that our markets are in competition. I hate to believe it, because we have a lot of L.A. reps who do the Dallas market. We’ve got to work together.”

Eller said it wasn’t the first time he’s heard complaints about the markets being too close together. He said it’s a necessity for designers and manufacturers to constantly clear their inventory as well as continue to offer new merchandise to retailers. “One thing buyers and showroom owners agree on is ’Let’s not change anything right now,’” he added.

Moreno added that the Cal Mart is doing its share of promotions through its buyer incentive program. Based on tenant input, those who haven’t visited the building in a few years qualify for a free flight to market week. She said this year’s numbers weren’t available, but that last year nearly 100 attendees came because of the perk.

Some showrooms met their numbers earlier in the event, and those that didn’t may not have put forth the effort, Moreno said.

“The question is, did the reps do the due diligence needed to get buyers into their showrooms,” she said. “Our job is to get traffic in the building and that’s what we did.”

Buyers in Search of Feminine, Sexy Looks

Primarily boutique retailers, both newcomers and veterans and coming from as far as Chicago and Florida and as near as Santa Monica, Calif., were scouting for Fall fill-ins and must-haves for the Holiday season. Most agreed the upcoming season would be about femininity, sexiness and sophistication.

“The whole story this coming season is about nautical themes, especially in fashion knitwear, [as well as] the continuation of denim looks with mixed washes and romance,” said Sandy Richman, co-owner of Directives West, a Los Angeles-based buying office.

Chuck Anderson, contemporary sportswear buyer for Saks Fifth Avenue, said he was looking for chic denim and “sexy sweats.”

Some buyers at market predicted a sudden end to the T-shirt craze, but Anderson noted that T-shirts in a variety of fabrications would continue to be strong sellers.

“They’re getting more cleaned up but a lot are novelty-driven also,” he added.

Buyers and designers both agreed that there was a strong revival of lace and ruffles at this market.

“It’s been a great market for denim-driven apparel, and I think that buyers are now beginning to look for more sophisticated tops for their denim,” said Carl Dias, women’s buyer for Los Angeles-based specialty boutique Traffic.

Bruley agreed, noting that she was interested in buying lace and matte jerseys to dress up her denim looks.

“With denim so strong, it’s increasingly important to find nice tops and blouses at good price points,” Bruley said.

At the New Mart, new tenant @Paul Perla Studios made an impression among buyers with its new collections from Butterfly, Claudia Cordic, Allen B. and Mrs. Weir.

Buyers seemed pleased with Butterfly’s collection of lace trim charmeuse tops with one-of-a-kind vintage pins, Perla said, adding that over 90 percent of the buyers who visited his showroom ordered from the line.

On the Hunt for Dusters, Leather and Suede

Robin Barstow, owner of Rebel stores in Santa Monica, Calif., and Newport Beach, Calif., was on the hunt for “lots of sweatercoats” from her store’s top-selling designers, including Theory, Red Line and Hard Tail. Barstow, who also attends MAGIC, said she was mainly comparing looks from new resources and planning to buy later.

Hasson’s showroom received steady orders for the John Carlisle Leather Collection, which featured a high-collar gray jacket with matching skirt and a camel-colored trench with 1960s Edie Sedgwick-inspired printed satin lining.

Lots of nutmeg-colored suede and leather jackets, pants and vests were key trends for the owners of Santa Ana, Calif.-based Three Friends. Co-owner Stephanie Ragone said she was placing orders with AMI, Lucky Brand Dungarees and Glima.

Joan Henneberger, a buyer for Picket Fences in Los Angeles, had no specific focus but placed orders for sweatercoats, jeans and cords. She filled her womenswear needs at market and will go to MAGIC specifically for menswear.

The Return of Nautical Styling

Nautical styles were another heavy trend during market, with several designers successfully presenting items with a nautical theme.

Three designers at Hasson’s showroom chose nautical themes for their collections.

Nanette Lepore’s scoop-neck sweater with belt, anchor-wrap silk top and red sailor button-up wool jacket with wide collar were selling extremely well, according to Hasson. Tom K. Nguyen’s nautical styles included white eyelet tops and skirts and striped jerseys.

Designer Trina Turk offered a tweed skirt and short-sleeve navy blue sailor sweater with mock-neck tie. “The return of nautical styles is a result of last year’s resurfacing of preppy fashion, because we haven’t seen navy blue for a long time,” said Turk. “[My] line is known for a clean, graphic look, so it was a good direction for us to go in.”

Valle said her showroom was receiving early Spring orders for her contemporary bridge line, White + Warren, which introduced a nautical collection.