Blog: Must Read: Losses Deepen at Victoria Beckham’s Fashion Label, Luxury Retail Hit by Paris Protests

Victoria Beckham at her Fall 2018 presentation. Photo: JP Yim/Getty Images

These are the stories making headlines in fashion on Tuesday.

Losses deepen at Victoria Beckham’s fashion label
Victoria Beckham‘s fashion label has sunk further into the red despite a 17 percent increase in sales. The former Spice Girl’s company posted an operating loss of 10.2 million pounds in 2017, up from 8.2 million pounds a year earlier. Losses at the company have risen every year since 2013, and now the brand says it will focus on cutting costs in order to return to profitability. {BBC}

Luxury retail hit by Paris protests
Paris is currently undergoing what The New York Times is calling “the worst civil unrest France has experienced in more than a decade,” thanks to five straight weekends of demonstrations against President Emmanuel Macron and his economic policies by members of the Yellow Vest movement. “Storefronts have been smashed, cars have been set ablaze and some of Paris’s best-known landmarks have been damaged,” writes Elizabeth Paton. The protests are taking place on some of the most glamorous shopping streets in the French capital and have already taken a heavy toll: “Retailers across all sectors have lost approximately 1 billion euros, about $1.1 billion, since the protests began, according to the French Retail Federation.” {The New York Times}

Marco Gobbetti and Riccardo Tisci haven’t given Burberry the boost it needs
Burberry shares have fallen 4.6 percent this year, through Monday, and are hovering at about the same level as mid-2017 when CEO Marco Gobbetti came on board. What’s more, Burberry is nearly tied with Hermès International as the lowest-ranked by analysts among Europe’s 10 biggest luxury and apparel stocks, according to data compiled by Bloomberg. Looks like Gobbetti and Riccardo Tisci haven’t convinced the market that they’ve given the British brand the boost it needs. {Bloomberg}

Tackling the beauty industry’s packaging problem
Packaging poses an array of challenges for beauty companies, but perhaps the most pressing problem is the amount of waste it generates. The beauty industry is trying to lessen its environmental toll by developing better ways to transport and protect products. But the more eco-friendly alternatives are often more expensive and would be a large undertaking for big companies, which is why brands that avoid single-use plastic tend to be small and luxury-oriented. However, L’Oréal and Unilever have set goals to reduce their virgin plastic use. {Business of Fashion}

Victoria’s Secret signs new licensing agreement with Marcolin
Marcolin Group, an Italian eyewear company, has inked a licensing agreement with L Brands to produce sunglasses for the Victoria’s Secret and Victoria’s Secret Pink brands. The first eyewear collection was unveiled during the Victoria’s Secret Fashion Show last month and has since been available online. “This extension of the brand with Marcolin Group — a global leader in innovative, high-quality eyewear — speaks to the power of Victoria’s Secret and our commitment to delivering fashion for every moment,” said Les Wexner, L Brands’ chairman and CEO, commenting on what is the group’s first licensing partnership. Marcolin will launch four flash collections in 2019 and five in 2020, with new products available every two-to-three months. {WWD}

Source: Fashionista