FW
Vastra App run by Ahmedabad-based Charmeuse Technologies raised an undisclosed amount in an angel funding round led by angel investor Vivek Khare along with other members of early-stage investor collective LetsVenture. Vastra App will use the fresh capital for customer acquisition and product development. The platform aims to reach 5,000 businesses across India in the next two years.
Founded in 2018 by Vikas Rajpurohit, Vastra App provides business process management and decision-making solutions to apparel manufacturers by leveraging data and analytics. It uses data from sector participants such as manufacturers, production managers, workers, designers, sales persons and suppliers. Users can also transact digitally using the app.
The platform counts around 500 apparel manufacturers, mostly from Ahmedabad and Surat, as its clients. It claims to have recorded 1.5 million transactions so far, with manufacturers making payments worth ₹80 crore to workers on the platform. It also adds about 60 customers per month, according to the statement.
Bengaluru-based LetsVenture, which was started six years ago by Sanjay Jha and Shanti Mohan, claims to have enabled 200 start-ups to raise over $114 million from 6,500 investors, 120 micro-funds and 150 family offices on its platform. The company is also an alternative investment fund, which manages assets worth $19 million.
In addition to slowing sales and supply chain disruptions, backlogged inventory has been one of the biggest problems faced by apparel brands and retailers throughout the duration of the pandemic
In an attempt to weather the storm while helping out with the cause of protecting healthcare workers from COVID-19, brands like Blade + Blue is diversifying to making masks from its leftover fabrics. The company has also donated some of these masks to healthcare workers and first responders in addition to selling them to the general public.
Banana Republic and Old Navy are also donating and selling non-medical cloth face masks. The masks by Old Navy are also being made from the brand’s leftover fabric.
Earlier on in the pandemic, retailers like Joann Stores and Neiman Marcus started making masks for frontline medical personnel in light of a nationwide PPE shortage, even though at the time there were conflicting data as to the effectiveness of these cloth masks in particular situations.
Cotton Council International (CCI) will use Sustainable Apparel Coalition’s sustainability measurement suite of tools, the Higg Index, to drive environmental and social responsibility throughout its supply chain. In its relationship with the SAC, CCI will contribute both data and resources to support the Higg Index, which measures sustainability performance and drives supply chain transparency and decision-making to improve efficiency and sustainability impact. The Higg Index is an indicator-based suite of tools that enables suppliers, manufacturers, brands, and retailers to evaluate materials, products, facilities, and processes based on environmental performance, social labour practices, and product design choices.
As the latest member of SAC, CCI joins more than 250 global brands, retailers, and manufacturers, as well as government, non-profit environmental organizations, and academic institutions, which are collectively committed to improving supply chain sustainability in the apparel, footwear, and textile industry.
Edinburgh-based shopping app Mallzee has launched Lost Stock clothing boxes to tackle fast fashion's transparency problem. Mallzee fills the boxes with cancelled clothing orders from brands like Topshop, New Look, and Urban Outfitters, and the proceeds from sales supports garment workers fighting the coronavirus, while reducing new season clothing from ending up in landfill.
Major retailers like Arcadia Group, New Look, Debenhams, and Sports Direct are only a few brands that have cancelled over £1.6 million in clothing orders. Last-minute order cancellation by Western retailers — many from the United Kingdom — has left millions of garment workers unpaid, starving, and vulnerable to sickness from the coronavirus
Mallzee partnered with Bangladesh NGO Sajida Foundation to launch Lost Stock clothing boxes to ensure payment for garment workers and avoid new clothes going to landfill. The foundation promises that with each purchase of a £35 Lost Stock clothing box, proceeds go directly toward garment workers and their families to provide a food and hygiene package that supports a family for one week.
In the US, Mirae Asset Global Investment is pleading that Anbang Insurance Group breached the terms of its $5.8 billion hotel chain sale by shuttering properties. Mirae claims that closures in response to the outbreak are irrelevant. A unit of Anbang has sued to force the Korean investor to complete the transaction.
These lawsuits are being watched closely in India. Indian acquirers of a stake in Victoria’s Secret have sought legal advice as private equity firm Sycamore Partners has walked away from the beleaguered lingerie chain
Sycamore argued that the clause had been triggered because current owner L Brands Inc failed to pay rent and furloughed thousands of workers. The pandemic was no defense for L Brands violating terms of the agreement, the buyer said in its complaint in the Delaware Chancery Court.
Marquee Brands LLC, a leading global brand owner, marketing and media company plans to take back the BCBGMAXAZRIA and BCBGeneration licenses from Centric Brands, which has filed for bankruptcy under Chapter 11. Marquee Brands will continue operations of the wholesale and e-commerce business to ensure seamless continuity.
With this announcement Marquee Brands is accelerating its rapidly growing digital business. In launching Marquee-Direct, the company made the decision to bring all e-commerce in-house and to handle all site design and development, merchandising, content creation and customer engagement. This was made possible with Marquee’s long-term relationships with best-in-class logistics partners for delivery and customer service. In this ever-changing retail environment, these capabilities will be crucial to assisting the growth of Marquee’s other operating partners as well as allowing the company to scale by adding new brands to the platform.
Adding the BCBG Group to this platform, which includes Ben Sherman, Body Glove, Dakine, Bruno Magli, Motherhood Maternity and Pea in a Pod, will allow Marquee Brands to achieve a more sustainable scale while also achieving better operating leverage.
More than 150 global corporations, including Burberry, H&M, Zara owner Inditex, PVH Corp signed a United Nations-backed agreement urging governments to align their COVID-19 economic aid and recovery efforts with ambitious, science-based climate action in a bid to recover better.All 155 companies, which represent a combined market capitalization of more than $2.4 trillion, are calling for policies that will guard against future disruptions by promoting efforts to rein in global temperature increases within 1.5 degrees celsius above pre-industrial levels, and in line with achieving net-zero emissions well before 2050.
The statement arrives as world leaders are preparing not only trillions of dollars in stimulus packages to prop up their pandemic-battered economies but also their enhanced national climate plans under the 2015 Paris Agreement.
A study published by Oxford University earlier this month concluded that incorporating climate targets into policy and spending will reduce vulnerability to future shocks and disasters, create good jobs, cut down emissions and ensure clean air.
Casa Everz Gmbh, the owner of Germany-based healthy footwear brand Von Wellx, will shift its entire shoe production of over three million pairs annually from China to India with an initial investment of Rs 110 crore. The brand will set up a new manufacturing unit with a production capacity of over three million pairs in Uttar Pradesh through a collaboration with Latric Industries as part of an understanding with the state government.
Casa Everz Gmbh had two manufacturing units in China with an annual capacity of over 3 million pairs. Latric Industries already has a capacity of five lakh pairs for Casa Everz Gmbh specifically under which it produces Von Wellx Germany – five another 5 lakh pairs, he added.
Now, the brand will set up a new unit with a production capacity of over 3 million pairs. The investment in Phase 1 of the project will be about Rs 110 crore over two years.
The company chose India over other locations since it believes that India is going to be the next manufacturing powerhouse of the world if it is well supported by business conducive government policies.
Post COVID-19, the growth of wedding rental market in the US seems uncertain. Rent the Runway, the poster child for fashion rental, has already announced lay-offs, temporary pay cuts and furloughed staff in response to the pandemic. Because of the COVID-19 pandemic, the company’s sales have dropped significantly. It has also faced allegations of not properly protecting its warehouse employees from coronavirus. The brand has enacted a series of safety measures in its warehouses, as well as giving employees the option of choosing not to work, staying home and using paid benefits.
Rent the Runway is not the only rental company facing challenges as a result of the pandemic. Other platforms, including UK-based, peer-to-peer site Hurr Collective, have also seen a dramatic fall in the number of people renting. While some sites have encouraged people to continue renting items for all those Zoom meetings we’ve been having, it’s a difficult sell considering the price point.
While rental has been hit hard during international lockdowns, there are already positive signs that the sector is recovering. YCloset in China has seen the numbers of people renting increase since lockdown measures were eased at the end of March. Some rental companies may also look at shifting their current models following the pandemic. YCloset, which is backed by e-commerce giant Alibaba, added resale to its services in September 2019, for example.
Hurr Collective has already started encouraging people to list their garments online, considering so many of us are sorting through our closets right now.
PVH Corp, owner of a portfolio of iconic brands including Tommy Hilfiger and Calvin Klein plans a phased reopening of its stores in the US and around the world as the company continues to navigate the COVID-19 crisis. So far, the company has opened approximately 180 company-operated stores across all its brands in North America, along with 350 in Europe, 1,000 in Asia, 75 in Australia and four in Brazil. This phased reopening will continue over the next several weeks as additional localities lift restrictions on retail operations and other requirements are met.
PVH Corp also plans to expand its digital connections with its consumers. Tommy Hilfigier will host a May 26 shoppable livestream event across North America and Europe on Tommy.com, featuring stylists and influencers. Calvin Klein launched the Pride campaign -- #Proudinmycalvins -- which explores the different perspectives of the shared experience of the LGBTQ+ community. Van Heusen and IZOD unveiled the new Heritage Brands corporate-responsibility platform on their websites. The company believes its overall digital penetration will continue to increase throughout 2020.
The PVH global leadership team has worked across its businesses and functions on the reopening plan that includes protocols applicable to stores, warehouses and offsite locations designed with health and safety in mind from warehouse through purchase. Protocols in stores include extensive use of masks, reduced occupancy, social-distancing measures, added cleaning procedures, changes to fitting room use and enhanced return policies.
