Dom's Myer deal benefits all

MELBOURNE: The restructuring of Dom Bagnato's relationship with Myer will benefit the brand, its independent stockists and consumers alike, according to the label's eponymous founder.

Men's suiting label Dom Bagnato has replaced its wholesale contract with Myer with six Myer concept areas.
Bagnato said the deal - to launch this September - would see concepts in Myer Melbourne CBD, Chadstone, Sydney, Brisbane, Adelaide and Perth.

"The deal will allow me to create the right environment for both consumers and the brand and to take control of the positioning of Dom Bagnato in Myer," he said, adding his independent stockists would also benefit from the deal in the long term.  

"I've been doing this for 23 years and I have very good relationships with 20-plus boutiques [Bagnato also operates two retail outlets in Melbourne]. The independent retailers are very loyal partners who have been wonderful in supporting the brand. They are the custodians of the brand and will continue to be so."

Independent stockists were unlikely to be adversely affected by the Myer concepts because their buying patterns differed from those of the department store, Bagnato said.

"The independents tend to buy more specifically to their stores so Dom Bagnato becomes a personal statement about their business. Dom Bagnato is an ageless brand and different retailers can take different things from it."

An increased degree of control in terms of discounting activity through Myer was also likely to benefit independent clients, Bagnato claimed, adding his main objective was to pass the benefits of a stronger brand message on to stockists.

"The other objective is of course to continue providing consumers with premium quality suiting at reasonable prices. We don't charge what we should - which is around $1200 to $1500 - instead our suits sell for around $800 to $1000."

Such price points were "extremely reasonable" given the label used premium Italian fabrics and was manufactured entirely in New Zealand.

He insisted large profits had never been part of his agenda.

"I'm much more interested in longevity. I could have been one of those labels that made a huge profit and then a few years later it's 'Dom who?' and believe me there are plenty of 'Dom who's?' out there."

By Belinda Smart