Rachel Mathia

FASHION QUO VADIS? PRIORITISE IMPACT OVER ENTERTAINMENT Interesting. More and more I hear people in fashion state that “fashion is all about entertainment”. In a way, I view this as a linear extrapolation of the “Fashion brands need to become editors” which came up when the digital pure play platforms in fashion saw their market shares rise and people viewed their “curation” of products and their editorial approach as the main key success factors compared to the online and offline worlds of traditional department stores and brands at the time. And I do understand why Pharrell William’s spectacular Paris fashion premiere for Louis Vuitton was viewed as a celebration of joy and coming together and particularly as the “transition of fashion into entertainment”. I also understand where the eyeing of larger luxury players to the glamourous entertainment world on the US West coast as well as their appetite for talent agencies comes from. However, I am very confident that focusing on entertainment only or even using that as your strategic north star will be a route to failure and decline. Sure, storytelling continues to be critical, and I actually believe that we need to elevate storytelling to an entirely different level to take luxury into the future - leveraging pioneering digital (immersive) technologies as well as curated, multi-sensory approaches. And entertainment has some role in that. But at the core of your strategy needs to be something else, at least in my view, and that has just been perfectly articulated by The Future Laboratory at their annual Trend Briefing: We need to “Prioritise impact over entertainment”. The quantitative research that they executed with their Future Poll in the US and the UK clearly shows that this is what consumers really want - across all generations. Impact, not entertainment. Fashion is facing a critical decision: focus on impact or on entertainment. I believe that engineering a dream is no longer sufficient to generate desire. And desire/desirability is at the heart of all luxury. It’s time to think deeper in order to generate real relevance. Time to understand that the new luxurious dreams of the future need to be grounded in better realities. Time to rethink fashion and luxury for the future. At least if you want to build to last. #future #strategy #luxury #brands #fashion

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In response to Claire Kent's reposting of Kirsty M C Gregor’s article in Vogue Business, I believe Burberry has the potential to redefine "British Luxury" by assuming a unifying leadership role within the British luxury sector. With the capacity to embody elements of Hermes, LVMH, and Gucci, Burberry could become the powerhouse of British luxury. What might the future hold for this iconic ‘House?’ - Super Luxe Division: Envision a new standard of British luxury fusing top-tier craftsmanship from various British sectors like marine, automotive, wines, and spirits. Imagine the inclusion of Savile Row's couture essence. - Luxury Division: Could Burberry adopt a 'The Row' inspired approach, blending minimalist high craftsmanship with luxury sensibilities across all product categories? - New Divisions: Explore possibilities like an Accessible Division, Junior Line, Youth Trends Division, and Street Line, alongside a Heritage Leather Division in collaboration with renowned French and Italian leather brands. - Culture Division: Embrace cultural relevance as a valuable asset in today's market landscape. As of 2022, the British Luxury sector is valued at £81B compared to the British Luxury Fashion Industry at £10B. The potential for Burberry to innovate and diversify is significant. #BurberryTransformation #BritishLuxuryRedefined #SuperLuxe #LuxuryRevolution #HeritageLeather @Burberry @VogueBusiness @KirstyMCGregor @ClaireKent @WalpoleUK @Futureofluxury

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Hopefully the recent change in leadership at Burberry will help them rediscover that elusive combination of brand heritage and modern styling. Either way, they need to move back to the affordable luxury space that they had performed so well in over the years, and Schulman is the right person to lead this change. Their share price has suffered over the past year due to a mix of poor direction and macro issues. My views in this This Is Money piece, and full comment here: ‘Burberry’s issues in part stem from a struggle to find a true brand identity, with a number of CEO’s and creative directors over the years trying and failing to combine the brand’s heritage with more modern styling. Symptomatic of this is their more recent move upmarket, married with discounting - the latter impacting any high end brand equity they had built up. This muddled approach - combined with a slowdown in demand from China, the removal of VAT refunds for tourists in the UK, and the rise in the cost of living globally - together have led to falling like for like sales and a potential loss in their forthcoming November results. The recent appointment of Schulman as CEO will signal yet another reversal in strategy given his ‘affordable luxury’ background - though this is really the space Burberry should always have been playing in.’ #burberry #thisismoney #luxury #retail #jdmretail https://lnkd.in/ejvPJd8P

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More thoughts on the issues which have cuased the current problems at Gucci. The brand certainly needs to make a return to being a "cultural powerhouse" and that is done by focusing on what it offers at its core - the story and feeling, not the products. In the modern luxury world, products are adornments, shoppers engage with sensation and moments. They seek experience and lifestyle. It is what Gucci used to do so well, and now has seemingly lost touch with. You can see my thoughts on this here: https://lnkd.in/g_axygak #Luxury #Gucci #Storytelling

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On the subject of customer loyalty in fashion retail… Question: How long does loyalty even last these days? Reply: Difficult to have loyalty when there is a frenzy of continuous change of creative directors. Thoughts? ——- #careers #fashionretail #leadership #customerloyalty #coaching

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Via The Business of Fashion. Confirming my previous post! Luxury brands raising their prices higher than inflation rate WITHOUT the backup of true newness in products, combined with formulaic consumer engagement, and questionable quality proposition is a sure recipe for gloom and doom! Hermes, Cucinelli, Moncler are buckling the trends, but what works for them may not work for your brand. Find your own voice! Among the underpeforming brands, I still hold hope for a rare few. For them, this quote from Bemjamin Disraeli comes to mind: "The secret of success, is constancy of Purpose." To these brands, I say: listen to your consumers, learn, adjust, focus, and trust your teams!!! ... and don't waste a good crisis!

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The Business of Fashion have just published a new article featuring the Chief People Officer of Alexander McQueen, Luisa Cicchetti. Luisa discusses the skill sets that are critical for success in the fashion industry, why upskilling in the workplace matters and talks about how we're currently nurturing employees' learning and development at Alexander McQueen. The full article can be found below: https://lnkd.in/edD_J4A2

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As leaders in the fashion industry, we often walk a delicate line between being approachable and authoritative, driven and empathetic. But what happens when the feedback you receive crosses from 𝘤𝘰𝘯𝘴𝘵𝘳𝘶𝘤𝘵𝘪𝘷𝘦 𝘤𝘳𝘪𝘵𝘪𝘤𝘪𝘴𝘮 to something that feels more like 𝘢 𝘱𝘦𝘳𝘴𝘰𝘯𝘢𝘭 𝘢𝘵𝘵𝘢𝘤𝘬? I’ve worked with so many leaders who, like you, feel crushed under the weight of performance reviews that target their character rather than their achievements. When the feedback feels more about 𝘸𝘩𝘰 𝘺𝘰𝘶 𝘢𝘳𝘦 than 𝘩𝘰𝘸 𝘺𝘰𝘶’𝘳𝘦 𝘱𝘦𝘳𝘧𝘰𝘳𝘮𝘪𝘯𝘨, it can be disorienting, painful, and even leave you questioning your own abilities. Here’s how to handle it: 𝗦𝗲𝗽𝗮𝗿𝗮𝘁𝗲 𝗬𝗼𝘂𝗿 𝗜𝗱𝗲𝗻𝘁𝗶𝘁𝘆 𝗳𝗿𝗼𝗺 𝘁𝗵𝗲 𝗙𝗲𝗲𝗱𝗯𝗮𝗰𝗸 It’s tough, but remember: feedback is not a reflection of your worth as a person. It's an assessment of your actions or how others perceive your behaviors in a specific context. Just because someone labels you as “pushy” doesn’t mean it’s true across the board. It's a lens, not a full picture of who you are. 𝗗𝗼𝗻’𝘁 𝗥𝘂𝘀𝗵 𝘁𝗼 𝗖𝗵𝗮𝗻𝗴𝗲 𝗪𝗵𝗼 𝗬𝗼𝘂 𝗔𝗿𝗲 It’s natural to want to fix yourself when you feel misunderstood, but you don’t have to conform to someone else’s idea of how you should be. 𝗧𝗮𝗸𝗲 𝗮 𝘀𝘁𝗲𝗽 𝗯𝗮𝗰𝗸 Ask yourself: Does this feedback truly reflect how I want to show up as a leader? Is it in line with my values? 𝗦𝗲𝗲𝗸 𝗖𝗹𝗮𝗿𝗶𝗳𝗶𝗰𝗮𝘁𝗶𝗼𝗻, 𝗡𝗼𝘁 𝗝𝘂𝘀𝘁 𝗩𝗮𝗹𝗶𝗱𝗮𝘁𝗶𝗼𝗻 When the feedback feels harsh, try to engage in a constructive dialogue. Ask for specific examples of the behavior being referenced, and explore solutions with your team or manager on how to align expectations moving forward. You’ll likely find that the feedback is less about you and more about perceptions - and that can be worked through. 𝗨𝘀𝗲 𝗬𝗼𝘂𝗿 𝗦𝘁𝗿𝗲𝗻𝗴𝘁𝗵𝘀 𝘁𝗼 𝗥𝗲𝗳𝗿𝗮𝗺𝗲 𝘁𝗵𝗲 𝗦𝗶𝘁𝘂𝗮𝘁𝗶𝗼𝗻 In the fashion industry, empathy and fun are incredibly valuable leadership traits. Use those qualities to approach the feedback with understanding, even if it’s tough. Express that you’re open to growth, but that you also value a two-way conversation about how your leadership can work for the team - and not just what’s wrong. 𝗜𝗻𝘃𝗲𝘀𝘁 𝗶𝗻 𝗬𝗼𝘂𝗿 𝗪𝗲𝗹𝗹𝗯𝗲𝗶𝗻𝗴 When feedback hits hard, it’s important to care for your emotional health. If you feel like this is overwhelming or crippling, therapy or coaching can be an excellent way to unpack these feelings. You deserve to be in a space where you feel supported and can grow as a leader without losing yourself in the process. Remember, leadership is a journey, not a destination. The path may not always be easy, and feedback may not always be fair. But you can evolve, find balance, and rise above challenges - without compromising who you are. If you’re navigating tough leadership feedback and need support to move forward, I’m here to help. Let’s connect.

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Ralph Lauren just posted fairly modest results for FY23 (+3%) but don’t be misled that the business is flatlining. There are many fashion and luxury brands that could learn from RL’s disciplined management of the brand since the Polo logos ubiquitous presence in the 90’s. RL is now everywhere but at the same time invisible compared to their previous presence. As well as apparel and footwear, RL has several other highly successful categories: Fragrance, Home, Hospitality (restaurants, bars and coffee kiosks) Europe and Asia posted solid increases for FY23 with the overall number being dragged back by N.Am which saw a small decrease. See the additional info in the comments. #RalphLauren insights FY23: 📈 Full Yr revenue +3% (reported & constant) - $6.6bn 📈 24% Adjusted EPS Growth 📈 Returned a Total of c$600 Million to Shareholders 📈 5m+ new customers in DTC channels - record level holiday(Q4) customer acquisition 📈 NAm revenue decreased -2% to $3bn 📈 Europe revenue increased +7% to $2bn 📈 Asia revenue increased +10% to $1.6bn 📈 Gross Profit was $4.4bn 📈 Gross Margin 66.8% 📈 Company ended FY24 with $1.8bn in cash 📈 Inventory was $776m , -16% on the previous year 🏭 Revenues by channel: - Retail $4.3bn - Wholesale $2.1bn (9600 doors worldwide) Licensing $146m 🏭 Wholesale doors by region NAM 3329 Europe 5547 Asia 802 Key FY23 Highlights ✅ New stores in Amsterdam and Singapore ✅ First Ralph Lauren store and digital commerce site in Canada ✅ First Ralph's Coffee in Paris, Shenzhen and Dubai ✅ Continued momentum in RL’s high-potential categories — including Women's, Outerwear and Home — up mid-single digits to last year in the fourth quarter and high-single digits for the full year in constant currency 🌍 Key Licensing Agreements: * Hanesbrands - Underwear and sleepwear (Mens) * 5 Star Apparel LLC - Chaps * S. Rothschild & co - Outerwear * Charles Komar & Sons and Delta Galil - Intimates and sleepwear (womens) * L'Oreal - Fragrances and Personal Care * Luxottica Group SpA - eyewear * Renfro Corp - Socks and Hoisery 🌍 Key Sponsorships * the official outfitter for all on-court officials at the Wimbledon, U.S. Open, and Australian Open tennis tournaments * the exclusive Official Parade Outfitter for the U.S. Olympic and Paralympic Teams ESG ✅ Decreased absolute emissions by 29% in FY23 from the FY20 baseline ✅ 8% of global electricity usage is renewables (target 100% by 2025) ✅ Decreased total water use by 25% against fy20 baseline ✅ Transitioned 100% of key suppliers to 100% recycled content polybags ✅ Achieved zero waste to landfill inn DCs, with 92% of waste diverted Employees / ED&I ✅ 19% of global leadership team is racially and ethnically diverse ✅ Maintained 50% of VP and above roles held by women ✅ 64% of global workforce female ✅ In U.S aprx 60% of the workforce identify as underrepresented or ethnic group

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🌟 Changing the Future of Fashion 🌟 Proud to be part of a team that is re-imagining fashion and setting new standards for sustainability, creativity, and impact. The Stella McCartney Impact Report 2023 showcases our commitment to making meaningful change in the industry. Some key highlights: 💚 Carbon Neutrality: Reduced emissions across the supply chain, aligning with science-based targets. ♻️ Circularity: Expanded efforts in resale, repair, and recycling programs to give garments a second life. 🐾 Animal Welfare: Continued leadership as a cruelty-free brand—no leather, feathers, or fur. 🌱 Innovation: Partnered with cutting-edge tech to develop bio-based and lab-grown alternatives. 📊 Transparency: Increased traceability of materials, ensuring ethical practices at every step. At Stella McCartney, we don’t just follow trends; we set them, always prioritizing the planet and people. This report reflects how a bold vision can drive measurable, transformative results. 🚀 Here’s to a brighter, more sustainable future for fashion. Let’s keep leading the way! 👉 Read the full report here: https://lnkd.in/d9bXBBrc #Sustainability #Innovation #CircularFashion #Impact #StellaMcCartney

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The brand houses of VF, PVH, Deckers, Pentland, Kontoor, Amer, Wolverine and Boardriders featured in these insights own, or manage, a who’s who of global fashion and sports brands. Several weeks back I posted about the major sports brands and how their most popular sources of talent are each other (see link in comments). The brand houses are quite different: they barely recruit from each other. They do recruit from the major sports brands: Nike, adidas and lululemon are predictably the most popular. Despite the challenging trading conditions all these businesses have increased their total number of employees over the last year except for Boardriders (-3%) and Wolverine who were pretty close to flat. The rate of attrition varies from Kontoor at just 8% (great in any market conditions) to 17% for PVH. With the number of lay-off activities over the last year it’s not possible to draw any conclusions from this statistic about the impact of culture and leadership on employee retention. There is one notable absence from this list - Authentic Brands. After looking at the data for AB we concluded that recent acquisitions skewed the available data. Linkedin currently only makes it possible to link some of AB’s brands to the parent company and misses others that should be included for any insights on them to be meaningful. The data used for this analysis does not include part time employees but does full time store level employees. These will impact the data differently depending on the different proportions of direct operated retail (VF and PVH have much larger retail estates than Boardriders for example). See the bottom of the post for some key points on how this data was put together. Total Employee Trend FY23: 📶 VF +3%  📶 PVH +2% 📶 Deckers +15%  📶 Kontoor +5%  📶 Pentland Brands +1%  📶 Amer Sports +10% 📶 Boardriders -3% 📶 Wolverine +0.4% Attrition insights FY23: 🏃🏻‍♂️‍➡️ VF 13%  🏃🏻‍♂️‍➡️ PVH 17% 🏃🏻‍♂️‍➡️Deckers 9% 🏃🏻‍♂️‍➡️Kontoor 8% 🏃🏻‍♂️‍➡️Pentland Brands 13%  🏃🏻‍♂️‍➡️Amer Sports 10.5% 🏃🏻‍♂️‍➡️Boardriders 14% 🏃🏻‍♂️‍➡️Wolverine 14.5% (proportion of employees who left in last 12 months) Head to Head insights 🥊 PVH v Abercrombie +10 (for every one employee goes from PVH to Abercrombie, 19 go from Abercrombie to PVH)  🥊 PVH v Hunkemöller + 8  🥊 Deckers v Nike +14 🥊 Kontoor v Hanes Brands +6 * Source: Linkedin Talent Insights Note: this only tracks movements recorded on Linkedin, and only people who use the correct company for the role (sometimes folk add employer ‘entities’ that don't exist or aren't associated) Note: this is Global data Note: we only included full-time employees so it was not skewed by part-time retail employees Note: Where there were related businesses we included them i.e PVH and Calvin Klein / Tommy Hilfiger 

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In the article "Why Do People Queue Up Outside Luxury Stores?" Financial Times Mark C. O'Flaherty explores the age-old question about queues in luxury retail, questioning whether they reflect a commitment to high-end service or are simply an artificial way to create buzz around a brand. It examines this issue from various angles, arguing against the notion that queues enhance service, suggesting instead that such "inaccessibility" can lead brands to lose potential customers. Here are my thoughts: 1. Situations where customers are intentionally denied entry to a boutique (even when there is capacity) indicate a poorly functioning system that is inflexible and inefficient. When decisions are based solely on appearance — such as not allowing entry to an empty boutique or refusing to sell items when there is customer demand — I see this as a management failure stemming from a very one-sided perception of consumers. 2. Research shows that in the luxury segment, a high barrier to access does indeed stimulate desire — people tend to want what is less accessible. However, this phenomenon results from a combination of factors rather than simply exorbitant prices and locked store doors. 3. Yesterday, we visited the Bvlgari boutique in Dubai Mall, where a top consultant shared insights about the recent store renovation, the specifics of the local market, and how high-jewelry pieces are created. I want to emphasize that such one-on-one interactions with a top salesperson significantly alter your perception of the brand. It is impossible to achieve the same effect and sell very expensive items in a high-traffic environment. 4. However, it is essential to differentiate between when "traffic" benefits a brand and when creating artificial limitations can be harmful, especially in tourist hotspots. In Dubai, for instance, 60% to 80% of luxury customers are tourists, making long-term relationship building with these clients virtually meaningless.   In this case, several factors must be ensured:   a) A suitable salesperson (ideally someone who speaks the customer's language)     b) Speed of service     c) Availability of bestsellers (sufficient stock of well-known pieces)     d) Strong emotional engagement through external attributes, such as the store space and after-sales service (great packaging that also recreates the experience upon return). 5. If a brand has a mixed audience of regular clients and tourists, it is crucial to balance both worlds: making the space accessible to tourists while efficiently (yet qualitatively) serving them, and providing an exclusive atmosphere with a high level of service for loyal, returning customers. P.S. The renovated Bvlgari boutique in Dubai Mall features a space for high-jewelry pieces decorated with four three-meter onyx walls, and personal service rooms embellished with gold. This definitely impresses any tourist and makes them more likely to purchase a few Serpenti pieces 🫠.

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Luxury Redefined: Métier In a world of fast fashion, Métier is rewriting the rules of luxury retail. Founded in 2017 by Melissa Morris, this brand is a masterclass in building a luxury accessories brand. Here's why: Quality First 🏆 • 3 years of meticulous product design • Partnered with Italian factories for durability testing • Customized leathers and suedes for optimal feel and function Form Meets Function 💼 • Interiors as important as exteriors • Designed for the modern, on-the-go customer • Travel-inspired, from everyday journeys to global adventures "Quiet Luxury" Approach 🤫 • No flashy logos or over-the-top marketing • Organic brand discovery by discerning customers Direct-to-Consumer Focus 📈 • 85% of business is DTC • Carefully chosen retail partnerships focused on local or regional boutiques vs large department stores ( Selfridges being the single exception) Strategic Collaborations 🤝 • Westman Atelier x Métier for luxury cosmetic travel cases • Partnership with Yolanda Edwards from Yolo Journal Sustainable Growth Model 🌱 • Investment pieces meant to last and be collected • Positioned for customer loyalty in a competitive market Expansion Plans 🗺️ • Raised funding in 2019 • Plans for 2-3 US locations What other elements are important in building a luxury brand? Share your thoughts below! #LuxuryRetail #BrandStrategy #RetailInsights

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Italian Luxury: It’s Not Just About Commercial Success, It’s About Synergy and Cultural Relevance Yemi, great points on the commercial success of Italian luxury creative directors! But it’s important to look beyond just the revenue numbers. What makes creative directors like Alessandro Michele and Pierpaolo Piccioli extraordinary is their ability to balance tradition and innovation, creating cultural relevance that resonates globally. Take Prada—the Miuccia Prada and Raf Simons partnership and Patrizio Bertelli’s leadership shows how strategic synergy between creative vision and business acumen drives not just sales, but brand longevity. Additionally it’s the increasing need for CMO and Creative Director symbiosis that will shape the future of luxury brands. These roles are more intertwined than ever, especially in a world where digital engagement, sustainability, and personalization define consumer loyalty. Don’t be too surprised about Pierpaolo, he started at Valentino with Maria Grazia Chiuri in Accessories and worked together until 2016, when Maria Grazia moved to Dior. He maybe in search of just the right opportunity, partnership, set up? Finally, luxury brands must learn from the mass-market evolution of companies like Uniqlo, which has blurred the line between fast fashion and high fashion by focusing on cultural relevance, spearheaded by Christophe Lemaire and Sarah Linh Tran and the recent hiring of Clare Waight Keller (non italians). The question now isn’t just about who’s doubling revenues, but who’s leading the charge in aligning heritage with modern consumer values. #MFW #LuxuryFashion #CreativeDirectors #CMOSynergy #CulturalRelevance #Vogue #Dior #BOF

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Post 1: Burberry’s New Flywheel—Cultural Symbol and Custodial Guardian of British Luxury “Burberry: A Cultural Symbol and Custodial Guardian of British Luxury—Is the Crown Jewel for Sale?” @LVMH @Moncler @AstridWendlandt #MissTweedMedia #BurberryUndervalued #BritishLuxury Back in June, I wrote about how Burberry may not fully understand its own value—and I still believe that. But, I think you do? If you truly grasp and understand British luxury, you’ll see that Burberry’s worth goes far beyond the financials; it holds a unique place as a Culturally Symbolic Luxury Brand, a Custodial Guardian of British Luxury. Ironically, it might take a French company to recognize this fully. With recent speculation around potential acquisition interest, now is the time to reflect on what truly defines Burberry. This brand isn’t just a balance sheet figure; it’s a heritage-driven cultural force with irreplaceable value. Burberry’s real role is to preserve British luxury heritage while innovating in ways that resonate with modern, global consumers—a role that serves as a “flywheel” for sustainable growth. Burberry’s new campaign, “It’s Always Burberry Weather,” embodies this blend of heritage and evolution, returning to its roots in timeless outerwear while appealing to today’s tastes. But Burberry’s custodial role extends beyond outerwear—it permeates its entire product range, reaching diverse consumer demographics while remaining distinctly British. As industry dynamics shift, Burberry’s ability to embody British craftsmanship and cultural legacy is more essential than ever. Considering its position and potential within the £81B British luxury sector, any valuation falling short of this potential would be a serious undervaluation. Over an extended series of posts, I’ll attempt to make a case for Burberry’s unique market position and potential cultural impact. To all the analysts out there, I welcome your insights and critiques. Let’s explore what truly makes Burberry a pillar of British luxury. #Burberry #CulturalSymbol #CustodialGuardianship #BritishLuxury #BrandHeritage

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