Kate Spade Planning New Lower-Priced, Casual Brand?

New York—Kate spade new york has been on a roll. In the most recent quarter, its parent, Fifth & Pacific Companies (formerly Liz Claiborne Inc.) reported the brand’s comparable sales were up 38% with a operating profit double that of a year ago.

Now comes news that kate spade new york may spin off a new label, Kate Spade Saturday, a more casual, lower-priced brand consisting of home, footwear, jewelry and cosmetics.

According to what sources told the New York Daily News this week, the collection would be positioned to compete with C. Wonder, Tory Burch’s ex-husband Chris Burch’s lifestyle brand.

“The line is more casual than anything Kate Spade has done before,” a source told the Daily News, adding that Kate Spade Saturday would also compete with “quirky” labels such as J. Crew’s Madewell.

Although management at kate spade new york and Fifth & Pacific declined to comment on the report, public records at trademark.markify.com show a trademark for the “Kate Spade Saturday” name was filed in August 2011 and registered this February.

Reportedly some kate spade new york employees have been moved over to work chiefly on Kate Spade Saturday.

While the new brand might be positioned against some U.S. lifestyle brands, it may be awhile before they face direct competition. “They’re rolling out stores outside the States first and focusing on an online presence,” the Daily News’ source said.



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