It's pretty clear they are engaged in that process with complete redesigns of boutiques, the launch of the 1941 line with a complete RTW line (which we all know makes no money but contributes greatly to the prestige of the brand).
What is going on with Coach?
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Yes, but they still need to clearly differentiate their boutique/luxury line from their made for factory line IMO. Otherwise every person that that picks up a MFF bag at the outlet will think that he/she has gotten a genuine boutique Coach bag at a great price. And he/she will see the same and similar bags being carried by loads and loads of people and wonder "what's the big deal and why would anyone would pay more for a Coach bag?" and Coach will continue to struggle to be recognized as a high-quality brand.
I think part of the reason for labeling their MFF items as Coach still is because they want a wide market/audience. They want customers who can only afford MFF and they also wants customers who can afford luxury. I don't see why people who can only afford MFF shouldn't get to wear the Coach name as well. I think Coach 1941 will be enough of a signature in time
I'm pretty sure that most customers these days are savvy enough to do their research and figure out that Coach has both factory outlet items as well as their boutique items. There are MANY other brands that do this as well. I also think that most people know that when they purchase from the FO store that the quality is not going to be the same as the full line boutique quality.
Of course there will always be those who are rather clueless as to the separate lines but I don't think they're the bulk of Coaches customers.
Of course there will always be those who are rather clueless as to the separate lines but I don't think they're the bulk of Coaches customers.
I think the majority of customers do not know the difference in Coach outlet and boutique, they believe the bags at outlet came from the boutique.
I don't think that's accurate. You have way too much faith in the average shopper.
Because if Coach gives the impression that everyone can afford the brand, then it could be sold at Walmart all the same.
The luxury industry is all about brand perception. In fact, the whole psychology behind outlet stores is that people who can't afford full-price bags suddenly get "a good deal": it's supposed to make customers with less income to spend feel special, as if they too can belong to the world of luxury. And in fact, this was pretty true when outlets were first launched... then brands got greedy and started producing cheaper bags for outlet stores, taking advantage of customers who thought they were buying full price items at a steep discount. And that totally back-fired on many brands.
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Because it lessons the value and exclusiveness of the Coach name; why pay for a luxury brand that isn't fully a luxury brand and every other person you bump into is carrying it?
And I may be wrong, but my understanding is that the 1941 line was created to celebrate the company's 75th anniversary, so they may not continue it much longer. Coach has introduced other special lines to celebrate significant anniversaries in the past - the 65th Anniversary line is my personal favorite. So it is unlikely IMO that they will continue the 1941 line for the long-term, and besides the branding is rather subtle. I doubt that the average shopper understands that "1941" is something special. Plus coach continues to offer high-quality boutique items that are not part of the 1941 line so the confusion continues. But maybe 1941 will prove so popular that they will continue the name and spend time and effort to advertise "1941" as their luxury line to gain recognition.
I don't know the answer, they make a lot of money at the outlets and on FOS and I love shopping the outlet and looking for FP delete bargains, but the brand is schizophrenic IMO and they need to clarify in some manner that they are selling 2 levels of quality products if they hope to be correctly recognized for the value of the wares that they offer.
Everything can change, but right now the 1941 line is here to stay as Coach's RTW and top-accessory line. It's the "new face" of Coach if you will. It is the most visible in store displays, print ads, etc...
I do think that your statement, that "the brand is schizophrenic," is accurate. But let's keep in mind that it is engaged in a long-term transitional period. It will take years for the brand to reestablish itself as a more prestigious brand. And they may fail completely. That's always a possibility!
I don't think that's accurate. You have way too much faith in the average shopper.
Fair enough, however I think you don't have enough faith in the average shopper. Most consumers these days "shop around" whether it's in B&M stores or online. It's hard to miss the fact that Coach has separate "lines" and stores like the outlets. Why would anyone assume that an outlet product would be of the same exact quality as their boutique stores?
Not argueing, just a different perspective.
Perhaps, but they haven't done a good enough job yet selling 1941 as their premiere line and differentiating it from other Coach products. I don't think that most people will recognize Coach 1941 as a unique, luxury name; but as you say, it may take time.
Personally, Coach has such a long history of producing fine quality products that I would prefer that they preserve and rebuild the original name and make an adjustment to the name/brand/logo for the MFF products - but maybe it is too late for that.
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I don't think they want it to be drastically different in store, meaning that the Coach 1941 collection is just a way to elevate the entire brand (not just the products in that particular collection). Does that make sense?
Also, Coach 1941 was born 5 minutes ago. I think we need to give them a few seasons to figure out how it all fits together and how it impacts the overall company's strategy going forward.
Not everyone thinks or realizes that Coach outlet merchandise is a different quality than boutique. Some of the outlet items I've bought from Coach is just as nice as FP in terms of quality. Some of the FP Coach items I've gotten were of poor quality. I've also seen many poor quality items at the outlets.
Not all brands have inferior merchandise at their outlets. Some just have overstock and discontinued merchandise. It isn't easy for the average consumer to know which brands do.
I've bought outlet merchandise from other brands that is identical to FP in quality. It just differs in design.
As an authenticator, I see people who buy factory items on ebay and worry they are fake because the quality isn't what they were expecting. I know there are plenty of people out there who don't know there are two different lines of merchandise and don't know how to tell the difference.
That was definitely true for me! I bought my first Coach bag at the boutique with a coupon. It was the most expensive purse I had ever owned and I absolutely loved it. Several months later I went to the outlet mall for Christmas shopping and found the factory store and I was thrilled. It never occurred to me that they were selling a different level of products. I bought a (rather hideous) satchel in the horse and carriage pattern and I was so pleased with my purchase - until I got home and set it down next to my boutique bag. It just didn't have the same quality or style (or the same feel!) and it didn't give me the same happy glow. I returned it and started to do some investigating and that brought me to TPF and I came to understand the difference between MFF and FP bags and learned how to distinguish them. And I became a savvy Coach shopper.
And it's true that not all outlet stores sell a cheaper line of products. When I go to the Movado outlet, the watches they sell labeled "Coach" are the exact same watches that were previously available in the boutiques and on Coach.com - they are just discontinued styles and overstock. Of course Coach doesn't offer a cheaper line of watches (not yet, anyway!) so if I find a watch in the Coach outlet it will also be a FP delete. I'm just saying that when I go to the Movado factory store I don't have to worry about 2 levels of quality. Of course, they may sell a second level of Movado label watches! I don't know but if I ever decided to buy one I will check it out first, but at least I know that the designer watches that Movado makes for companies like Coach are boutique quality.
It's okay with me that Coach sells a factory line of products, I did a lot Christmas shopping at the outlet this year and bought some great MFF stocking stuffers and small gifts - they were very nice, good quality products at a great price and much appreciated by the recipients. I just think that branding the MFF products the same as the boutique is misleading, and so is the practice of "marking up" the MSRP of the MFF bags and then immediately reducing them drastically - to trick the customer into thinking that they got a fantastic deal; all I can say is Buyer Beware!
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