PARIS — Spying more room for “alternative” lingerie brands in the U.S., French giant Etam is finally entering the competitive market, starting with Nordstrom, where it is opening shops-in-shop in 10 of its top locations from Monday.
It only took the brand 106 years to make it Stateside.
But Etam Lingerie’s chairman Laurent Milchior, the grandson of one of the founders, described an effort over the past 10 years to build more content, narrative and purpose into the brand, with an annual blowout fashion show during Paris Fashion Week among its boldest marketing statements. Etam has also stepped up its sustainability actions and social engagement in support of women.
“Building a brand is so key to success today,” Milchior said in an exclusive interview at his office in Paris. “Of course, the product is always number one, but then how you tell the story about the product is absolutely key. We now have enough brand equity and things to say about the brand.”
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The Etam Groupe, which expanded into ready-to-wear and other categories in recent decades, refocused its flagship Etam brand on lingerie, touting its French origins and style, and formidable savoir-faire thanks to 60 bra specialists based in Lille, some boasting 40 years of experience.
A pioneer in run-resistant lingerie, Etam is known for its stretch lace, mix-and-match sets and affordable pricing.
Considered a middle-market brand in its core European market, Etam plans to come to America with prices that “will be quite aggressive at launch,” roughly 30 percent less than Victoria’s Secret, Milchior said.
Etam also plans to establish as many as 24 stand-alone stores by 2025, starting with a Manhattan flagship and a mall-based location elsewhere in America later this year.
Milchior said Etam enters the U.S. market with a wealth of retail expertise, omnichannel selling tools and high-tech razzmatazz, including connected fitting rooms. But also with humility.
“The American customer is very different from the European customer and we need to be humble about this,” he explained. “A good footprint in the U.S. is 100 stores. Before you have 100 stores, you’re still under the radar.
“In 10 years time, the U.S. could be 10 percent of our business if we’re successful,” he continued. “I’m being very careful. You really have to think local….As business people, we have to listen to the market and we have to be customer-centric to the maximum.”
At home, Etam is a force, boasting an 11 percent share of the French lingerie market, according to Milchior.
Etam operates 860 stores in more than 50 countries, in addition to global e-commerce. The Etam Group also markets the Undiz, Livy, Ysé and Maison Cent Vingt-Trois brands.
The company delisted from the Paris stock market in 2017 and no longer reports financial results, but Milchior said 2022 revenues would be in the range of 1 billion euros, slightly less than pre-pandemic and before Etam sold its large, but declining operations with its Chinese partner and relaunched there as a pure player. Etam is controlled by the Milchior, Tarica and Lindemann families.
France remains Etam’s number-one market, with Spain and Switzerland among its European strongholds. It is growing quickly in Mexico, where it counts 65 corners in department stores and where it just signed a joint venture with Diltex to open up to 30 freestanding stores. The Middle East region is also showing great promise, Milchior noted.
In Nordstrom, Milchior found an ideal launch partner with merchandising muscle, geographic reach, strong customer relations and digital prowess. Nordstrom locations in New York City, Dallas and San Diego will also boast pop-up installations with Etam fixtures and other branding elements. Chicago, Seattle, Miami, San Francisco, San Jose, Washington, D.C., and Phoenix are the other locations.
“We’re looking at [Nordstrom] as a long-term partner,” Milchior said. “As a family company, we like to do things for the long term. We are sending quite a few members of our French teams to train the U.S. teams on the shop floor.”
Lori Marten, vice president and divisional merchandise manager for men’s and women’s active, swim and specialized apparel at Nordstrom, said the retailer has been a fan of Etam for years, discovered on its travels in Europe.
“While we have a strong and established lingerie business, we’re constantly looking for new brands to add to our offer, providing inspiration, a sense of discovery for our customers,” she said, lauding Etam’s commitment to sustainability and innovation, plus its “authentic approach to celebrating and empowering women.”
“Etam is the perfect mix of playfulness and elegance combined with the sexiness one would associate with French lingerie. The accessibility of their price points and quality of their product will serve a wide range of customers,” she added.
In order to say “bonjour” to Americans and introduce its brand, Etam plans to dispatch flower trucks across New York City from Tuesday until April 4 to offer free bouquets and shopping vouchers.
Meanwhile, Milchior is hunting for the right real estate for freestanding stores in America to operate alongside the Nordstrom shops, Nordstrom’s e-commerce and Etam’s own online store in America.
To be sure, the brand’s reputation for inclusivity and sustainable innovation is likely to be a plus as it enters the U.S. About 60 percent of Etam’s styles are fully eco-conceived and the brand is aiming to reach 80 percent by 2025.
Etam started out as a hosiery business, opening its first store in Berlin in 1916. It celebrated its 100th anniversary with a livestreamed lingerie and swimwear show at the Pompidou Center in 2016. It has also staged spectacles at the Opera Garnier, Grand Palais and the Beaux-Arts featuring supermodels, celebrity guests and marquee musical performers alongside the runway.
Etam entered China in 1994, listed on the Paris stock market in 1997 and started selling online in 2001.
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