Versace New Recession Strategy
It is no suprise that the luxury goods and fashion markets have seen a decline since the country has been in a recession. Most people are feeling the pinch in their paychecks and in their walets. Italian fashion conglomerate Versace is now having to deal with this as well. With sales down, and the general public retreating back to the simple things way of life, how can a major luxury brand such as Versace continue to thrive?
The bold and lavish designs of the fashion label are intended to stand out. Now that consumers are cutting back, austere fashions are off the menu for most. To compensate, shoppers are turning to luxury-lite items such as Versace eyeglasses, scarves, handbags, and other versatile accessories to add luxury to a lower budget outfit.
People are aware of the economic issues facing the country. We are all managing the best way we can. That means trimming the fat in our wallets and wardrobes. Hunting for bargains and sales is at the top of the list. Instead of buying new clothes, we are retooling old ones with new accessories. We splurge occassionally on luxury items but typically the ones we can get good mileage out of. Versace eyeglasses, handbags, shoes, etc., are just the kind of items that get good mileage and can be worn for years to come. If Versace trims prices and keeps churning out great accessories, it will no doubt outlast the recession.
