Standing with her back to a room full of Kohl’s department store executives in a Manhattan studio, Vera Wang reviewed prototypes from an exclusive new collection of mainstream fashion that Kohl’s plans to sell under her name. “This is all black,” said Wang, dismissively. “Black is very ’90s.”
Later, Julie Gardner, a marketing executive for the Kohl’s chain, described the meeting as an epiphany of sorts — a moment when she realized that much of what she had assumed to be fashionable was, in fact, out of date. “We were hanging on her every word,” Gardner recalled. “We all looked down and we were all wearing black from head to toe.”
Kohl’s, based in the pastoral haven of Menomonee Falls, Wis., is a retailer that sells clothes to the masses, a far cry from the trendy New York image of Wang, who is best known as a designer of exquisite — and often very expensive — bridal gowns. So aesthetic tension is to be expected. But with its introduction of Wang’s new cut-rate collections coming in September, Kohl’s has been uncommonly deferential on matters of style to someone more accustomed to Madison Avenue boutiques than suburban strip malls.
Business at a crossroads
Even so, as it tries to recast itself as a department store that offers not only affordable fashion but a dash of style as well, Kohl’s intends to make Wang the public face of its reinvention. For her part, Wang says that her relationship with Kohl’s is more than a marriage of convenience. Like many successful entrepreneurs before her, she has reached a crossroads: Her business has grown so rapidly and in so many directions that she lacks the resources — especially cash — to keep expanding it on her own.
“I know actors always say, ‘I’m just grateful that I get to continue doing what I love most,’ but for actors their tool is themselves and their talent — designers need a lot more help,” Wang says. “We need money. We need infrastructure, design talent, promotional budgets. … Because of that, every decision I have ever made has been motivated by staying alive and keeping the doors open with the employees that I have.
It’s a gamble
Given the disastrous performance over the last year of Wal-Mart Stores’ version of inexpensive designer fashion — with a collection by the lesser-known designer Mark Eisen — the union of Kohl’s and Wang is a gamble. But democratized style peddled by famous names has already found a successful niche, whether it’s Martha Stewart at Kmart or Isaac Mizrahi at Target. Long lines for the latest Karl Lagerfeld, Stella McCartney or Viktor & Rolf designs at H&M have helped midmarket stores increase sales and gain more cachet with consumers.
On the other hand, there have been notable blunders besides that at Wal-Mart, which said its weakness in fashion had crimped its recent sales. Kohl’s itself made a modest attempt to move away from its classic looks four years ago, but customers balked at designs such as moose-themed shirts. Sales of its new cosmetic lines by Estee Lauder, repackaged as “American Beauty” in Kohl’s stores, have disappointed analysts.
By making a long-term commitment to Kohl’s, Wang may be navigating even more dangerous waters. Many high-end designers fear that creating mass collections undermines their prestige among affluent customers, a worry rooted in the classic example of the downfall of Halston, the designer of sexy jersey gowns for the Studio 54 set: In the 1980s, luxury retailers dropped his collection after Halston signed a deal for a cheaper line with J.C. Penney.
But Kohl’s and Wang are plowing ahead — boldly so, by the look of their collection. Called Simply Vera — Vera Wang, it includes the designer’s high-end signatures (or what fashionistas politely call “directional” designs), which may be challenging for a broader audience. Among the offerings are an inky black jacquard bubble skirt with an elasticized hem ($98), a charcoal knit cap the size of a chef’s toque ($25) and an ash-colored ribbed wool coat with short sleeves ($128).
A short-sleeve coat? At Kohl’s? Well, yes, says Kevin Mansell, Kohl’s president.
“When we launch these brands, often there are questions either on the investor or media side of ‘How do you know it’s going to be good?’ ” he says. “They say, ‘Vera Wang at Kohl’s seems more of a stretch,’ ‘It’s the next step up’ and ‘Why do you feel so confident?’ The reason is, we do a ton of research.”
As negotiations over a deal with Wang stretched out over more than a year, Kohl’s surveyed consumers about their perceptions of the designer and their expectations for the proper price and quality of her collections. “This is not like putting up dartboards, throwing darts and seeing which ones stick,” Mansell says. “This is really based on quantitative research.”
For Wang, however, it is also about something much more personal.
“This is more about keeping my business going so I can continue to do what I love most,” she says.
