Mulberry announces resignation of CEO

#76
I originally joined TPF to learn more about Mulberry after purchasing my first - the Alexa - during my first trip to London. All of you on this thread have been so helpful and kind! You were my very first TPF friends, and you and Mulberry still have a special place in my heart :smile: I've drifted away from the brand for various reasons and am really excited to come back now and see what this change in leadership might bring!
 
#78
Loveheart said:
I do feel uneasy reading all he criticism on Bruno.
Mulberry has been out of British hand for a long, long time and changes were planned long before he crossed the channel. In this day and age you cannot expect products to remain 100% British. it's a global world out there and I for one love that different nationalities mix in the fashion world. . I don't buy Mulberry because it's British, but because I like it. The leathers have definitely improved over the last year and some new bags are truly masterpieces, justifying their price tag.
I think coming from Hermes to Mulberry must have been hard on Bruno,. Agree, the price increases are annoying but I find it sad that people are commenting how happy they are to see him go, even gloating on his departure. I am sure he is a great asset to any brand, he has been successful with other very high end designers, probably he just didn't understand the mulberry spirit. I don't think you need to be British to lead a fashion house like mulberry either, in the end the French, Italians etc are undoubtedly much more successful designers than the british.
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I agree with you. I think price increases are necessary for every luxury brand and while some consider it to be a midrange brand, most of mulberry bags are over $1000 since before Bruno came and even when he came, the prices are not that significantly higher, the bayswater would increase 250-350 depending on the color and leather, and Alexa increased within that range as well. The interesting thing is the new bags that were unveiled such as Willow, Suffolk, Double Bayswater Tote, which seem to start at a very high price point, over $2000 plus which is what's likely to alarm most customers. 250-350 over a few season is steeped but increase is inevitable. It's not like Mulberry is going to stay in that price range forever.
 
#79
ujili said:
I agree with you. I think price increases are necessary for every luxury brand and while some consider it to be a midrange brand, most of mulberry bags are over $1000 since before Bruno came and even when he came, the prices are not that significantly higher, the bayswater would increase 250-350 depending on the color and leather, and Alexa increased within that range as well. The interesting thing is the new bags that were unveiled such as Willow, Suffolk, Double Bayswater Tote, which seem to start at a very high price point, over $2000 plus which is what's likely to alarm most customers. 250-350 over a few season is steeped but increase is inevitable. It's not like Mulberry is going to stay in that price range forever.
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I don't think it was just an increase of $250-300 though. I didn't keep track of the prices of many bags but I know the Alexa and Bayswater jumped from $1300 to $1850 from the time I started keeping track, which was only about 2 years ago. The Ferragamo bag I bought instead of an Alexa at the time was only $1050 (or maybe $1090) and is now $1290. A $200 increase is a lot smaller than a $550 increase and frankly, Ferragamo is a better known brand. I'm not saying Mulberry shouldn't have increased prices at all but that its hikes weren't in line with brands I consider it comparable to.
 
#80
pre10d said:
I don't think it was just an increase of $250-300 though. I didn't keep track of the prices of many bags but I know the Alexa and Bayswater jumped from $1300 to $1850 from the time I started keeping track, which was only about 2 years ago. The Ferragamo bag I bought instead of an Alexa at the time was only $1050 (or maybe $1090) and is now $1290. A $200 increase is a lot smaller than a $550 increase and frankly, Ferragamo is a better known brand. I'm not saying Mulberry shouldn't have increased prices at all but that its hikes weren't in line with brands I consider it comparable to.
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Their increases are excessive and fast that's true. The Bayswater like Oak, Chocolate, and Black classics are only $1500 and they were $1250 last year when i was looking at it. The other non-classic bayswater has been $1500 plus last year when I purchase my croc embossed bays and they are now 1850-2000 range. :smile:

http://www.mulberry.com/us/shop/womens-bags/shoulder-bags/bayswater-black-natural-leather-with-brass

http://www.mulberry.com/us/shop/womens-bags/shoulder-bags/bayswater-oak-natural-leather-with-brass

http://www.mulberry.com/us/shop/wom...ayswater-chocolate-natural-leather-with-brass
 
#81
ujili said:
Their increases are excessive and fast that's true. The Bayswater like Oak, Chocolate, and Black classics are only $1500 and they were $1250 last year when i was looking at it. The other non-classic bayswater has been $1500 plus last year when I purchase my croc embossed bays and they are now 1850-2000 range. :smile:

http://www.mulberry.com/us/shop/womens-bags/shoulder-bags/bayswater-black-natural-leather-with-brass

http://www.mulberry.com/us/shop/womens-bags/shoulder-bags/bayswater-oak-natural-leather-with-brass

http://www.mulberry.com/us/shop/wom...ayswater-chocolate-natural-leather-with-brass
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Ah....that does somewhat explain the confusion I had about the price increases. But to go up $250-300/year is something Chanel can pull...not Mulberry. My point about Ferragamo's relative increases still stand in that it took 2 years to increase the same amount.

Price increases happen. I think everyone who shops, especially at luxury brands, understands that. It's just a question of how much and how fast and the answer to at least one of those questions with Mulberry in the last 2 years has started with the word "too".
 
#82
pre10d said:
Ah....that does somewhat explain the confusion I had about the price increases. But to go up $250-300/year is something Chanel can pull...not Mulberry. My point about Ferragamo's relative increases still stand in that it took 2 years to increase the same amount.

Price increases happen. I think everyone who shops, especially at luxury brands, understands that. It's just a question of how much and how fast and the answer to at least one of those questions with Mulberry in the last 2 years has started with the word "too".
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exactly! and the profit warnings are the proof of that. They lost a lot of loyal customers and didnt gain as many new overseas ones as they expected.
they should have raised the profile of the brand over a longer period of time. it was too much too fast due to greed and they have been hit where they can feel it most..... profits. I hope they can bounce back as I love the brand and my mulberry bags.
 
#83
pre10d said:
Ah....that does somewhat explain the confusion I had about the price increases. But to go up $250-300/year is something Chanel can pull...not Mulberry. My point about Ferragamo's relative increases still stand in that it took 2 years to increase the same amount.

Price increases happen. I think everyone who shops, especially at luxury brands, understands that. It's just a question of how much and how fast and the answer to at least one of those questions with Mulberry in the last 2 years has started with the word "too".
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For me, the real concern is the high starting price point of the new bags like Double Zip Bayswater Tote, Willow, and Suffolk. Their price point is a little bit too high in my opinion.
 
#84
ujili said:
For me, the real concern is the high starting price point of the new bags like Double Zip Bayswater Tote, Willow, and Suffolk. Their price point is a little bit too high in my opinion.
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Completely agree....just posted on the other thread about prices in the past and it is scary how many of the current bags are priced at over £1000
 
#86
I've gone the other way and started looking at bags even cheaper than Mulberry a few years ago. Impressed with my first Michael Kors and will be purchasing more... at about 300 pounds, these bags are lovely and seem durable.
 
#87
mary79 said:
I've gone the other way and started looking at bags even cheaper than Mulberry a few years ago. Impressed with my first Michael Kors and will be purchasing more... at about 300 pounds, these bags are lovely and seem durable.
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Which was exactly why Mulberry felt like it had to move further upmarket, because it couldn't compete with MK etc at that price point. I do agree with the reasoning behind that strategy, and I think loyalists would have gone along with it if it had been implemented less aggressively. The market would still have grumbled at gradual price increases - that's happening everywhere - but wouldn't have necessarily abandoned the brand en masse.

Psychologically there's a big difference between having most of your visible offerings in the 3-digit price range and the 4-digit one. Top tier professional service firms are a great example of this: partner charge-out rates are just about £1k/hr but it's a source of great anxiety when to charge £1k as opposed to £975 per hour. In hindsight, Mulberry crossed that particular Rubicon without seemingly giving it much thought. No "the die is cast" type pronouncements from Guillon. :biggrin: But I agree with previous commentors that the die is cast on something like that. You can't raise RRP and then bring it back down without seeming like you cheapened the brand.

They might just have to do what Alexander McQueen does: eye-watering retail prices but almost everything is 50% off in the sales. :cool:
 
#88
Silversun said:
They might just have to do what Alexander McQueen does: eye-watering retail prices but almost everything is 50% off in the sales. :cool:
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Totally agree Im sure this is what will
Happen or at least I hope so maybe it will mean sales more often? I know they definitely won't lower prices but maybe they will come out with bags less expensive I don't know but I'm curious I was talking to my mom about it and she just said "we'll the devil you know is better than the one you dont.." And I was like I eeeeek
 
#89
mary79 said:
I've gone the other way and started looking at bags even cheaper than Mulberry a few years ago. Impressed with my first Michael Kors and will be purchasing more... at about 300 pounds, these bags are lovely and seem durable.
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I have done the same. Own three MK bags now, two beautiful jet set totes and a selma.
 
#90
Silversun said:
Which was exactly why Mulberry felt like it had to move further upmarket, because it couldn't compete with MK etc at that price point. I do agree with the reasoning behind that strategy, and I think loyalists would have gone along with it if it had been implemented less aggressively. The market would still have grumbled at gradual price increases - that's happening everywhere - but wouldn't have necessarily abandoned the brand en masse.

Psychologically there's a big difference between having most of your visible offerings in the 3-digit price range and the 4-digit one. Top tier professional service firms are a great example of this: partner charge-out rates are just about £1k/hr but it's a source of great anxiety when to charge £1k as opposed to £975 per hour. In hindsight, Mulberry crossed that particular Rubicon without seemingly giving it much thought. No "the die is cast" type pronouncements from Guillon. :biggrin: But I agree with previous commentors that the die is cast on something like that. You can't raise RRP and then bring it back down without seeming like you cheapened the brand.

They might just have to do what Alexander McQueen does: eye-watering retail prices but almost everything is 50% off in the sales. :cool:
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.
:goodpost:

You talk an awful lot of good sense Silversun, I know of a good job opening for you ;) I think this is how so many of us see it. They could have brought in the newer bags at slightly higher prices and gradually put the prices up of the bags we know and love. Instead the strategy was far too aggressive. :Pullhair:

I think you are right, they will have no choice other than to discount heavily in the sales. AMcQ are a great example and quite a few others do the same, Jimmy Choo discount 30% then drop to 50% after 2 weeks. Of course they don't end up with the vast quantities that Mulberry do they need to get that right, rolling over more core colours also seemed obvious.

I purchased a couple of cheaper range MK bags a few years ago but they just didn't cut the mustard for me. I moved them on very quickly and decided my best move was to reduce my collection and go for better quality.

Having looked around I am moving further away from Mulberry than ever. Mulbs still form the greater percentage of my collections but I can't see myself buying anymore, just maybe if something turns up at 50% off but not at current prices, even 20-30% won't tempt me.
 
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