Tory Burch
Introduction:
The fashion industry is one of the most competitive industries in the world: sought after products and coveted brand-name garments can be “in” one season and just as quickly “out” the next. It is one of the most difficult industries for a new brand to successfully penetrate, as the top tier of respected and recognized designers have built their brand equity through many seasons of impeccable looks and styles that consumers have come to demand. Tory Burch LLC, however, made the feat seem easy in 2004 when the start-up brand stormed the women’s ready-to-wear apparel scene and introduced their luxurious, yet affordable, line of clothing. Selling out its first shipment in a matter of weeks, Tory Burch LLC set the tone for its furious rise in the fashion industry.
Tory Burch, the founder of Tory Burch LLC, recognized a niche in the women’s high end fashion market for designs that are practical and easy to wear at respectable prices. She built her brand upon that concept. Four years after an initial $2 million investment to finance one freestanding boutique in lower Manhattan, Tory Burch LLC now has twelve locations across the United States. More recently, in an effort to hold down production costs and achieve economies of scale, the company added wholesale accounts including Saks Fifth Avenue, Neiman Marcus, and Bloomingdale’s. The collection, which started with a mere 20 styles, now boasts more than 1,000. After four years in business, the company’s annual sales are estimated at about $115 million.
The question looming on the horizon is whether Tory Burch, LLC has the potential to become a timeless brand, or whether it is merely a passing trend in the constantly changing apparel industry. The explicit problem presents itself in the onslaught of brands vying for a share in the women’s fashion market. The already established and successful brands of Diane von Furstenberg, Theory, and Marc Jacobs offer styles and quality of products
The fashion industry is one of the most competitive industries in the world: sought after products and coveted brand-name garments can be “in” one season and just as quickly “out” the next. It is one of the most difficult industries for a new brand to successfully penetrate, as the top tier of respected and recognized designers have built their brand equity through many seasons of impeccable looks and styles that consumers have come to demand. Tory Burch LLC, however, made the feat seem easy in 2004 when the start-up brand stormed the women’s ready-to-wear apparel scene and introduced their luxurious, yet affordable, line of clothing. Selling out its first shipment in a matter of weeks, Tory Burch LLC set the tone for its furious rise in the fashion industry.
Tory Burch, the founder of Tory Burch LLC, recognized a niche in the women’s high end fashion market for designs that are practical and easy to wear at respectable prices. She built her brand upon that concept. Four years after an initial $2 million investment to finance one freestanding boutique in lower Manhattan, Tory Burch LLC now has twelve locations across the United States. More recently, in an effort to hold down production costs and achieve economies of scale, the company added wholesale accounts including Saks Fifth Avenue, Neiman Marcus, and Bloomingdale’s. The collection, which started with a mere 20 styles, now boasts more than 1,000. After four years in business, the company’s annual sales are estimated at about $115 million.
The question looming on the horizon is whether Tory Burch, LLC has the potential to become a timeless brand, or whether it is merely a passing trend in the constantly changing apparel industry. The explicit problem presents itself in the onslaught of brands vying for a share in the women’s fashion market. The already established and successful brands of Diane von Furstenberg, Theory, and Marc Jacobs offer styles and quality of products
Cited: November 3, 2007. Agins, Teri Chase, Jane. “The Glory of Tory.” Connecticut Cottages and Gardens. May 1, 2008. Diane von Furstenberg Mind Tools. “Porter’s Five Forces.” January 18, 2008. www.mindtools.com Moore, Booth Lifestyle Brand.”< http://www.newsday.com/features/lifestyle/ny-lstory0602,0,345077.story.> The Los Angeles Times. June 1, 2008. O’Brien, Diane The Business of Fashion. November 6, 2007. “Tory Branches Out.” Women’s Wear Daily