American brand invasion gathers pace
MELBOURNE:Fashion retail heavyweights Mike Holtzer and Rory Scott are preparing to shake up the middle market.
The two executives have developed a new retail concept which will roll out across 25 sites in Melbourne and Sydney, 10 of which are scheduled to launch within the next 12 months. Titled ‘Worn in the USA’, the new concept will specialise in American men’s and women’s fashion, with the first store set to open in Melbourne’s Docklands precinct in September.
The concept will be operated by Holtzer and Scott’s NSW-based company Turnabout Retail. Holtzer is a former chief operating officer of Oroton Group in Sydney, managing the Oroton and Polo Ralph Lauren power-brands. Scott is a former chief executive officer of Webster Holdings, which is home to Jigsaw, David Lawrence and Marcs.
The pair revealed the first Worn in the USA store, measuring 900sqm and located in Harbour Town, will replace the group’s existing mixed-brand outlet The Elegant Shed.
“We started The Elegant Shed a couple of years ago, which has been clearing Australian product,” Holtzer said. “We tried a foray into buying a few batches of department store type product out of the US, and it was a hit.”
Holtzer said the new store will be divided into two key precincts, expected to be named Worn in the USA, Brooklyn and Worn in the USA, Park Avenue. He said the store will stock US labels purchased at the end of the northern hemisphere seasons, to be sold at a reduced price. A core stable of five or six brands will be offered, with a large number of other labels introduced when good value opportunities arise.
The Brooklyn division will house younger brands pitched at 18 to 28-year-olds, with a street fashion focus. The Park Avenue section will offer higher end labels for 35 to 50-year-olds, such as Liz Claiborne, DKNY and Calvin Klein.
Holtzer said the concept may be expanded over time to include precincts such as a Venice Beach zone for glamorous apparel or a Dallas, Texas area for denim attire.
The plan is to open around 25 stores across Melbourne and Sydney, in smaller 50sqm sites. Each will be themed either Brooklyn or Park Avenue and will be located in suburbs with solid shopping precincts and a high disposable income demographic.
“This means technically we could have two of them in one area,” Holtzer said.
Melbourne-based Flaunt Marketing is collaborating on the venture, helping to develop the branding and marketing strategy. Flaunt Marketing director Sharyn Lowe said the marketing approach will be digitally focused, with targeted email alerts and social networking promotions.
“It is about getting the database process really streamlined,” she said. “People can tick the labels they want to find out about and as soon as it comes into store we will let them know quickly.”