mulberry sale shop Mulberry to offer cheaper prices in attempt to win back customers
With an army of celebrity fans, from Sienna Miller to Kate Winslet, plus an array of supermodels keen to hang one from their slender arm, Mulberry has long been the handbag of choice for the A listers.
And while the prices were always rather sky high,recently the high end fashion brand pushed up the cost of owning a Mulberry tote towards nearly 5,000 in a bid to tap into an even more exclusive luxury market.
But the ploy for the big bucks simply hasn’t worked and Mulberry have now revealed plans for an about turn and will launch a more affordable range in a bid to win back loyal customers.
The news comes following a warning that its underlying annual profit would fall below expectations for the fourth time in two years.
goods firm said that profit before tax for the year ended 31 March 2014
was now expected to be around 14million, while analysts had been
group, which is still looking for a new chief executive after last
month’s departure of Bruno Guillon, said it will look to refocus its
sales efforts on offering products at more affordable prices.
The new strategy was unveiled by former head Godfrey Davis, who oversaw the rapid growth of the Mulberry brand between 2002 and 2012. He has returned to the helm on a temporary basis until a permanent boss is found.
He added that Mulberry’s new factory in Somerset,
which opened in June, was now fully operational with more than 300 workers.
The Bridgwater based facilities were created thanks to 2.5million worth of investment from the Government’s Regional Growth Fund with the hope of doubling Mulberry’s UK capacity.
Mr Davis said: ‘Following the recent change in management, we are focusing on achieving sales growth through the reinforcement of our product offering at more affordable prices to meet the expectations of our loyal customers. singer Lana Del Rey, regularly adorned
the arms of starsof the Del Ray, inspired by singer Lana Del Ray at London Fashion Week in February 2012 raised a few eyebrows as the then 19 year old was relatively new on the
scene, but the fashion press lapped it up and sales continued to rise,
as did the confidence of the brand.
So confident were they in fact, that they decided to start inflating prices to keep up with the high end designer labels like Gucci, Tom Ford and Saint Laurent.
The brand was now charging upwards of 1,000 for fast fashion items designed to appeal to a young market so it was no surprise when profit warnings began circulating.
Stars including Downton Abbey’s Joanne Froggatt (second left) and Elizabeth McGovern (centre),
and socialite Olivia Palermo on the front row at the Mulberry show at London Fashion Weekpenultimate nail in the coffin for