Losses at Coach Continue April 2014

Jun 8, 2006
1,662
523
I didn't want to keep adding to a January thread; I heard the Wall Street reports yesterday and thought I heard them say that Coach revenues were down 25 percent in boutiques. Thinking that could be right, I found an article in Barrons. It saying that revenues in North America fell 21 percent. They're doing well in Asia, however. Part of it is the economy and Michael Kors has put out some great stuff. (Even though I get sick of seeing them everywhere. I think most decent handbags are way overpriced now, it doesn't matter what the brand is. The good thing is that if you are a Coach lover, you have a chance to pick up some deals. It will be interesting to see how Luis' strategy to go more upscale plays out.
 
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proffashionista

No 6-month pin 4 me!
Mar 5, 2010
7,161
2
HanBaghs, USA
As some know, DH and I have bought COH at times with long and more recently, short, positions. I agree that the direction they are taking is compass less .... We did great yesterday (second earnings call in a row) on our short position. Now I'm using profits to buy a bag...and since I gave no PCE (again) it's not a Coach!
 

melissatrv

O.G.
Feb 8, 2009
11,186
831
NC
As some know, DH and I have bought COH at times with long and more recently, short, positions. I agree that the direction they are taking is compass less .... We did great yesterday (second earnings call in a row) on our short position. Now I'm using profits to buy a bag...and since I gave no PCE (again) it's not a Coach!

OMG, you are not getting PCEs anymore? Surprised they have not taken me of the list. I bought something recently, not sure I am keeping it but it was my first bag in almost a year from FP. I have been buying other brands. I know it is not popular but some of the items for fall look more my speed (more embellishments). Will have to wait and see
 

proffashionista

No 6-month pin 4 me!
Mar 5, 2010
7,161
2
HanBaghs, USA
OMG, you are not getting PCEs anymore? Surprised they have not taken me of the list. I bought something recently, not sure I am keeping it but it was my first bag in almost a year from FP. I have been buying other brands. I know it is not popular but some of the items for fall look more my speed (more embellishments). Will have to wait and see
No, I'm not getting them now. Haven't been on a list for a few months. I'm inundated with Coach. So it's ok with me. I am (against DHs good wishes) moving on to Prada and LV. And Kate Spade, for the cuteness factor:smile:. I'm not into the Coach fall line previews ( at all) but am very happy for those who are finding pieces that they are excited about!
 

snoflinga

wool collector
Jan 18, 2014
261
2
GTA, Ontario
I'm really new to designer bags, but I've done a lot of reading in other subforums here. I'm hoping they'll be looking at what happened to Mulberry. Mulberry jacked up their prices really fast, without increasing the quality of them. This ended really badly for them, and people stopped buying and now they have to backtrack and sell lower priced bags again. LV and Chanel randomly raise their prices, without raising the quality of their bags, but this strategy seems to work really well for them because there's already so much demand for their bags. People who are already looking to buy seem to run and buy before the raises happen. LV and Chanel also sell the same bags every year. Coach discontinues bags way too fast, they end up half price at the outlet in just a few months and Coach doesn't seem to sell a core collection of them that people can save up for. I think they need to look at LV and Chanel's success and try to learn from them.
 
Jul 21, 2012
981
18
Coach needs better quality to charge higher prices. I LOVE Coach style but quite frankly the quality does not warrant even a $398 price tag, let alone $598 and up. I've been an outlet only customer for awhile now with the exception of my Cooper satchel. Before they can elevate their prices any more they need to look at quality. I am not an LV fan but for the high price you get a bag that could stand up to 10 years of use. Dooney quality is the same and practically a bargain for what you get; thick leather, durable handles and trim, quality stitching. My Coach bags tend to hold up to about a year of use and they really start to look beat up, and I am a careful user and store them stuffed and in their dust bags.
 

LocaLady

Member
Nov 29, 2012
1,199
10
Florida
I could not agree more. I remember when Coach's price point was around $298 for nice bags with the higher end topping out at $498. The Borough is a nice bag but for $658 I was not impressed
Especially for the cheap labor force they are exploiting..... Can you imagine the "actual" cost of the bags? My SA told me some higher up flew to the area in his private jet.....
 

proffashionista

No 6-month pin 4 me!
Mar 5, 2010
7,161
2
HanBaghs, USA
OMG, you are not getting PCEs anymore? Surprised they have not taken me of the list. I bought something recently, not sure I am keeping it but it was my first bag in almost a year from FP. I have been buying other brands. I know it is not popular but some of the items for fall look more my speed (more embellishments). Will have to wait and see

Well, by some miracle, I got an ePCE in my inbox this afternoon. It starts tomorrow and goes all the way thru may 16. So no rhyme or reason to that...but makes me feel a tad better after committing my purse budget practically to this company !