Disney icon Mickey Mouse boosts Coach bag sales
Coach’s strategy to enliven its handbag offering with pop culture icons has been a success.
Since the global launch of a range of Disney handbags, such as a bag featuring an image of Mickey Mouse sticking out his tongue printed on a red tote last month (17Jun16), several of the new designs have sold out online. Coach says all four colours of the $395 (priced at £375 in the U.K.) handbags that are designed in the shape of Mickey’s ears and large leather Mickey Mouse dolls and bean bags also have sold quickly.
Speaking about the new collection, Chief Executive Officer Victor Luis says the company is thrilled with the level of consumer interest in the new limited-edition products.
"We’ve been very pleased with any time that we’ve engaged with fashion that’s been in a much more limited, emotional, inspirational way," Luis said in an interview with Bloomberg. "You can certainly look forward to us having other collaborations go forward."
The New York-based company, founded in 1941, is setting out to restore its popularity following two years of declining sales and mounting competition from the likes of Kate Spade and Michael Kors.
Coach’s earnings growth rebounded last quarter, and Luis is cutting costs as part of his turnaround effort. He also has ongoing plans to modernise the brand with new products and marketing concepts, something he admits doesn’t happen overnight.
"It’s kind of endless — you can’t say we’re finished," he said. "There’s still a tremendous amount to do." Coach is also counting on the use of American pop culture imagery and themes to increase sales from overseas buyers and tourists. With the company celebrating its 75th anniversary this year (16), its new flagship store on Fifth Avenue in New York, will lead the push for growth.