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Levi Strauss & Co has returned to the public equity markets with a Spring IPO. The company also expanded its direct-to-consumer presence and international offerings. In 2019, Levi’s unveiled several creative collaborations with the likes of Star Wars, Hello Kitty and Stranger Things. It also worked with Nike to launch an exclusive collection of footwear and partnered with Google to create an improved version the Smart Trucker that allows consumers to control their phone from the comfort of their jacket.
On the retail front, with 100 new stores are planned for 2020, the company opened six ‘Next-Gen” stores across Europe and Asia in 2019 that amplify the Levi’s brand through redesigned storefronts, tailor shops, updated fitting rooms, etc. It launched its largest ever popup in Miami spanning 45,000 sq. ft. The popup showcases the best of the brand and the future of retail, [with] Levi’s premium products.
Levi’s is also expanding its digital business across pure-play and wholesale dot-com and its own e-commerce site, while growing its presence with mass-channel partners, like Target. In its US direct-to-consumer channel, Levi’s plans to open more mainline doors leveraging the successful model we deployed internationally–smaller footprint, more profitable, more capital-efficient stores in better locations.
Athletic footwear sales in the US rose slightly in 2019. Men’s, women’s, and children’s athletic shoes grew in the low singles, with children’s doing better. The top five brands in women’s athletic footwear all posted negative results. Women’s business remains the industry’s greatest challenge and its greatest opportunity.
Premium department stores fared the best of any channel, with a mid-single digit increase in sales. Mid-tier department stores suffered a decline in the low singles. Athletic specialty/sporting goods grew in the low singles, while shoe chains were flat. Sport lifestyle footwear—the largest category—improved in the high singles, as casual athletic inspired sneakers continue to be the market driver. The major performance categories were all negative – performance basketball shoe sales declined in the low teens (now representing less than five per cent of all athletic shoes sold), and performance running shoe sales declined in the low singles. Looking at other key categories, hiking shoes and cold weather boots were essentially flat for the year. Skate shoes grew in the low teens.
Nike had a low single-digit increase. Jordan grew in the mid-singles. Converse declined in the mid-teens. Adidas had a mid-singles decline, after a weak fourth quarter. Yeezy sales appeared to be down against 2018.
C&A has introduced the first Cradle to Cradle Certified Platinum denim fabric. The denim was created in partnership with Rajby Textiles and Eco Intelligent Growth. This is the first fabric worldwide to be certified at the Platinum level by the Cradle to Cradle Products Innovation Institute, a global non-profit dedicated to transforming the safety, health and sustainability of products through the Cradle to Cradle Certified Product Standard.
C&A is the first fashion brand to achieve the highest certification level within the Cradle to Cradle Certified Products Program. To achieve the highest levels of Cradle to Cradle Certified requirements, Rajby, its supplier, Archroma, and C&A teamed up to research and identify the most suitable materials and chemicals for the fabric. The resulting denim is optimized for material health–including the use of Global Organic Textile Standard (GOTS)-certified organic cotton fiber–made with 100 per cent rapidly renewable resources. The fully recyclable denim is also produced using a closed-loop process water system and is 100 per cent carbon neutral in the manufacturing stage.
As with its other circular innovations, C&A aims at sharing its knowledge open source to create a pathway toward circularity for the industry. The Cradle to Cradle Certified Product Standard can be used to power innovations that ultimately have the potential to transform the fashion industry.
Panaz based in Burnley, Edward Taylor Textiles in Blackburn and Dukinfield-based Tibard have become the latest companies to adopt industrial digital technologies designed to boost growth and productivity.
They are among 62 businesses that are investing in a range of industrial digital technologies, including data analytics, artificial intelligence (AI), augmented reality (AR), industrial Internet of Things (IIoT), 3D-printing and robotics, to solve business challenges across a range of manufacturing functions and deliver an additional £52 million in gross value added (GVA) for the North West economy over the next three years, according to a press release.
Three hundred North West SMES have secured support, including specialised advice and £1.6 million in funding, in the first year of the Made Smarter programme.
This support includes expert impartial advice and one-to-one support, digital roadmapping workshops to help manufacturers take their first steps to transform their business, eight-month leadership and management training programmes offered in partnership with Lancaster University, as well as funded three-month student placements.
By adopting these cutting-edge technologies, businesses benefit from improved productivity and revenue, increased exports and job creation, providing new skills to workforces, enhanced integration with supply chains and reduced environmental impact.
The £20-million pilot programme was launched in November 2018, becoming operational in January 2019, and runs until March 2021. The pilot will inform how best to support SME manufacturers in the adoption of new industrial digital technologies.
Big Thinx, based in Bangalore, has been chosen by Italy-based luxe brand Prada for its maiden fashion tech accelerator program. Big Think works with e-commerce brands, fashion rental companies, bespoke clothing companies and uniform or work-wear businesses across the world. BigThinx’s neural networks create a personalised 3D virtual avatar from 2D images for fashion brands and their customers, using artificial intelligence using just two full-length smart phone pictures for its products Lyfsize and Lyflike to accurately predict body shapes and sizes. The app calculates 44 precise body measurements and body composition ratios with over 95 per cent accuracy in women and 98 per cent in men. The primary use case for the product is fashion and clothing companies. In the program, Prada will immerse itself into the inspiring, creative process, drawing on new ideas and connections.
Using technology effectively in fashion to optimise productivity is a big business opportunity. The convenience and ease of online retail stitched up with offline benefits of discovery and trials is an unbeatable combination. And in fashion it’s all about the right size and fit. E-commerce companies grapple with returns on clothing of which about more than half are zipped back due to incorrect fits. That’s where BigThinx wants to play.
The new Vitoni automated jeans machine includes an automatic pocket creasing machine, a pocket seating machine, an electronic slim round bed pattern sewing machine and an automatic pocket decorative machine.
The machine has a single or double needle, a thread break warning device, an easy to jig change and easy to program touch screen. It can sew all shape of pockets and can produce 200 to 300 pieces double station operations per hour.
Vitoni belongs to Focus Garment Tech, which deals with one-stop solutions for all industrial sewing machines and garment equipment from cutting, sewing to finishing. The company is committed to giving satisfactory after-sales service and prompt response for problems of any sort arising at any time. It provides total solutions for the apparel industry especially for denim factories. Bangladesh is the main market for Focus Garment Tech, and it has a 50 per cent market share in Bangladesh.
Focus Garment Tech is one of the subsidiary companies of Chu Cheong, a multinational trading group with diversified interests involving property investment, distribution of a wide variety of products including electrical appliances and garment manufacturing equipment and supply and installation of air conditioning systems for residential projects.
Denim brand Lee is introducing a new signature denim collection that is made without using water as part of the dyeing process. The pieces are fabricated using a foam dye applicator, which removes the need to use water, as well as cutting the chemicals required by 89 per cent.
The US label is championing sustainability over several areas. Lee will prioritize the health, safety and well-being of its workers, as well as encouraging them to volunteer at organizations and for causes that will make a positive impact on the world. The brand will pursue sustainable solutions in the development and production of its products, highlighting cleaner energy, waste reduction and water conservation specifically. Finally, the brand will explore innovative design solutions combining technology-enabled eco-conscious design and manufacturing.
Lee’s new sustainability platform is the roadmap that will guide its actions and help drive meaningful progress toward more positive environmental and social impacts. Lee has relaunched the first ever denim it made for women in the 40s and 50s. While the vintage sizing has been updated to reflect modern sizes, the thread choices, hardware and manufacturing processes are the same as they were back then. These pieces represent a time when Lee took what was made for men and created jeans made specifically for the female body.
Italian textile machinery shipments fell eight per cent from October to December 2019. Orders from the domestic market fell seven per cent.
After a difficult year, the Italian textile machinery sector is looking to 2020 with some degree of concern. For the current year, there are many unknown factors, both at an economic and political level, that do not appear in the short term to point to a recovery in demand for textile machinery in major markets, China, Turkey and India.
Creativity, sustainable technology, reliability and quality are the characteristics which have made Italy a global leader in the manufacturing of textile machinery. Exports make up more than 86 per cent of total sales. And 30 per cent of Italy’s revenue from the sale of textile machinery derives from the production of technical and innovative textiles. Demand for such products has consequently also driven demand for ad hoc machinery specifically designed for this sector. The offering promoted by Italy’s textile machinery industry is thus expanding to the new demands of customers operating in this specific sector. Italy is the world’s second largest producer of machinery for the textiles industry. In production of machinery for tanning, and footwear and leather goods industry, Italy accounts for over 50 per cent of world production.
Frasers has acquired a 12.5 per cent stake in the British luxury brand Mulberry. Mulberry has had a long-term presence in Fraser department stores and with the company planning to open more upmarket Frasers stores there seems to be clear commercial reasoning behind the move. Mulberry is a global luxury brand with a rich British heritage. A key strategic priority for the Frasers Group is the elevation of its retail proposition and building stronger relationships with premium third-party brands. Frasers looks forward to working more closely with Mulberry for the benefit of shareholders of both companies. The move to buy a stake in Mulberry represents Frasers’ biggest step in the luxury direction yet.
Mulberry has had more than its fair share of challenges and this can be seen in its share price. It reached 1,132.50p in September 2016 but began to fall sharply exactly two years ago and now it is possible to buy a Mulberry share for 250p. That puts the entire market capitalisation of the company at just over £150 million. So Frasers doesn’t have to pay a huge amount for its stake.
Seven of House of Fraser’s 50-plus stores will be turned into a new luxury mini chain called Frasers. Frasers will stock more designer labels while House of Fraser will cater to a more mass market audience.
Cotton yarn is 65 per cent of yarn production in India. Non-cotton and blends form the other 35 per cent. Going forward, focus on cotton is expected to reduce with more attention being paid on the non-cotton segment. Diversification to other fibers can make India more competitive in the global yarn market.
Over the last two or three months, yarn exports from India have picked up and overall the industry can be better if this situation continues. For the industry to be in good condition, 100 to 110 million tons of export of yarn from India have to happen. Some 47 million spindles are working in India and on an average the country produces 350 million tons of yarn out of which 100 million tons need to be exported. In 2019, till October, the average was below 70 million tons of export. The financial ecosystem is not conducive to lend to the textile ecosystem. That is a challenge. Once finance is available, there will be no stopping the Indian spinning sector from modernizing and expanding in a big way. Also India is weak in post spinning. There are no high speed looms and the dyeing and processing segments are also weak in India. In the garmenting sector, India has small-size units and scale is a big issue.
