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2008 CENSUS REPORT

HANDBAGS | SMALL LEATHER GOODS | JEWELRY | WATCHES | LEGWEAR | SLIPPERS & CASUAL FOOTWEAR
BELTS | EYEWEAR & READERS | SCARVES & WRAPS | COLD WEATHER/RAINWEAR | HATS/HAIRGOODS | CENSUS MAIN



TOTAL US RETAIL SALES ALL OUTLETS*
$ Millions
Projected 2009 753.3
2008 724.3
2007 705.5
2006 685.0
2005 675.0



2008 OPERATING STATISTICS AND AVERAGE RETAIL PRICEPOINTS
Department Stores Mass Retailers
Initial Markup 60% 58%
Gross Margin 46-48% 45%
Annual Turn 2x 2x
Average Retail $28 $14


2008 MARKET SHARE BY RETAIL OUTLET
% Of Total U.S. Retail Sales $ Millions
Department Stores 39% $268.0
Specialty Dept. Stores 10% $76.5
Specialty Chains 19% $139.6
Mass Retailers 22% $159.2
Other (Flea Market and Vintage Stores) 10% $81.0
TOTAL 100% $724.3

Scarves & Wraps: 2008 Key Retail Trends

  • Fashion neckwear—an easy way to update a wardrobe in down times—finished above plan for the year, much to the delight of retailers. Expect even more continued growth.

  • Scarves hit the mark particularly with new customers wearing scarves as fashion statements for the first time (namely junior customers), but scarves increased for all consumers.

  • “Neck-wrapping” became an important buzzword, particularly with novelty and woven scarves. Square scarves (40” x 40”) sold well when folded into triangles, while oblongs (20” x 80” or 40” x 80”) offered versatility.

  • Long, lightweight, loose-weave scarves became a year-round trend, even worn over tank tops for spring/summer (a hot LA trend). Chan Luu’s silk and cashmere version sold-out at $195. Ombre versions added a new twist, looking like two scarves wrapped together. Love Quotes’ Italian linen scarves with an inspirational quote (37” x 72” and about $88), are a celeb favorite and photographed everywhere.

  • Unique fashion styling and novelty textures and details were key, like a cashmere with leather fringe for example.

  • Even in coldweather months, non-coldweather scarves held strong, being worn inside by consumers inside and under coldweather neckwear.

  • The Middle Eastern-style “keffiyah” scarf was a hot fashion statement, particularly with juniors. From classic black and white to colored versions, all featured knotted fringe.

  • Square scarves (folded into triangles and wrapped with the point in the front) looked new again, while long scarves (wrapped loosely and dangled) showed up in a variety of new ways.

  • Fringe was a key ethnic detail, while chain dangles and metal coins were inspired by Balenciaga’s square styles on the runway.

  • Tie-dye captured spring/summer’s hippie trend.

  • The tubular “infinity scarf” (often shown in jersey) was a unique item that some stores were slow to maximize, but plan to increase for ’09.

  • The beach category continued to grow in the fashion accessories arena, with bold colorful preppy/St. Tropez tones to more tribal/ethnic prints.

  • For fall, there were lots of wraps, ponchos, ruanas and sweater wrappings. Crinkling, pleating and ruffling were also key for holiday details.

  • With global warming and uncertain weather patterns, ruanas have become a major part of the business—a growing and category every year. Particularly strong for 3rd Quarter, ruanas are a nice transition into coats for retailers. Jacquards and reversible styles over the customer interest and value.

  • Short, three-quarter sleeve jackets and sweaters became an important part of the business, from knits to coated canvases.

  • “Sex and the City” the movie, resurged attention to the soft flower pin, which is expected to pick up for 2009.





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