Tailored Brands will continue to capitalize on the strength of its custom clothing business in 2018 — after growing the category to more than $100 million in sales last year.In reporting strong results for 2017 after the market closed Wednesday, Doug Ewert, chief executive officer, said he believes the company is now “the largest and fastest-growing retailer of men's custom clothing. So far this year, custom sales are now trending above $3 million per week, and we are clearly in the early innings of this opportunity. With custom suits starting at around $400, we can serve a large addressable market of men who want a personalized look and a perfect fit and a reasonable price.”He said the plan is to “significantly increase the penetration of custom as a percentage of total suits sold.” The bedrock of this strategy is the company’s ability to deliver a custom suit in an increasingly shorter period of time. "During 2017, we tested expedited custom delivery and validated our hypothesis that the faster we can deliver a custom suit, the more customers will give it a try,” he said.Earlier this year, Tailored Brands said it will now deliver Joseph Abboud or Jos. A. Bank Reserve clothing within three weeks. Expanding upon that is the new Custom Express program, which can deliver a select assortment of custom suits in just one week. “Based on overwhelmingly popular demand in our pilot stores, we'll expand Custom Express into more Men's Wearhouse and Jos. Bank stores throughout the year,” Ewert said.Additionally, the company will roll out custom shops to more of its stores as well this year. In 2017, it tested expanded custom shops in about 60 stores, he said, and the strength of the response is prompting the company to add these shops to approximately 450 Men's Wearhouse, Jos. Bank and Moores stores during 2018.“Custom is a win-win for Tailored Brands and our customers. Our research and experience show that men who buy custom suits from us are happier with their purchase, shop more frequently and have a higher annual spend than off-the-rack customers. We'll be dedicating significant marketing efforts to build awareness for custom, including promoting it to our special occasion customers and hosting nationwide custom trunk shows,” Ewert said.Other growth initiatives for this year include building a stronger branding message through digital channels and moving further away from promotions. “The Men's Wearhouse branding campaign reinforces our brand promise that you're going to like the way you look,” Ewert said. “The campaign features our expert style consultants and master tailors in the stores, who instill customers with confidence and reinforces the importance of fit for all men, including big and tall. In Q4, we continued to invest behind this successful campaign, which helped increase transactions, new-to-file customers and positive comps at Men's Wearhouse.”At Jos. A. Bank, whose financial profile the company has been working diligently to improve since acquiring the chain in 2014, a branding campaign launched last fall is taking hold, he said. Called Tradition Tailored for Today, the campaign “evolved the marketing mix away from pure product and promotional advertising to more advertising focus on lifestyle and brand building. In 2018, we plan to further distinguish Jos. Bank as a lifestyle brand with elevated storytelling around what makes shopping with us different.”Lastly, the company will work this year to enhance omnichannel capabilities, he said. Last year, the company’s e-commerce site saw 65 million visitors, an increase of 8 percent over the prior year. “In 2018, we'll create both online and in-store digital experiences to drive discovery, encourage store visits and augment the in-store retail experience.”For the full year, net profits nearly quadrupled, to $96.7 million, or $1.95 a diluted share, from $25 million, or 51 cents, in 2016. It was a case of doing more with less, as sales for the year slipped modestly, to $3.3 billion from $3.38 billion.Comparable sales inched up 0.1 percent, with a 1.1 percent decline at the Men’s Wearhouse division and a 5.4 percent gain at the Jos. A. Bank unit. (Results saw some firming in the fourth quarter, when total comps perked up 2.5 percent, with a 2.3 percent gain from Men’s Wearhouse and a 5.3 percent rise at Jos. A. Bank).Tailored Brands cut its debt by about $200 million, to $1.4 billion, and lowered its inventories by 11 percent. It also sold its MW Cleaners business, an independent dry cleaning business that was not a part of its formalwear rental operations, for $18 million.“In 2018, we plan to further reduce our debt, invest behind our growth strategies and return cash to shareholders via our dividend,” Ewert said.
Exclusive: @longchamp is planning to stage its first official runway show at New York Fashion Week this fall. The French leather goods firm has expanded into ready-to-wear as part of its repositioning as a lifestyle brand. The show, scheduled for September 8, will also cap the brand’s 70th anniversary celebration. Get all the details on WWD.com. #wwdnews #wwdfashion (📷: @dominiquemaitre)
The Duke and Duchess of Sussex undertook their first overseas engagement as a married couple in Dublin. The trip included multiple events and outfits changes, including this black dress by @emiliawickstead that Meghan Markle wore for a party at the British Ambassador’s home. #wwdfashion #royals
At 20 years old – and with an estimated net worth of $900 million - @kyliejenner is the youngest person to ever make @forbes’ annual list of America’s Richest #SelfMadeWomen. “It’s incredible to be recognized for something I’m so passionate about, and I’m really grateful for that. I’ve always loved makeup and worked really hard to bring the first lip kit to the market,” said Jenner on founding @kyliecosmetics. See who else is on the list on WWD.com. #wwdnews #wwdbeauty (📷: @rainerhosch)
“The collection is inspired by Tulum and the Mayan Riviera – its laid-back luxury, life of cabanas, untouched coastline, natural habitats, exotic cocktails and jungle parties with renowned DJs,” said Matteo Maniatty, creative director and cofounder of @descendantofthieves, on the brand’s inspiration for its latest collection. See more designer sketches and inspirations on WWD.com. #wwdfashion #nyfwmens #nyfw
@riccardotisci17 is releasing a limited-edition capsule collection as part of his anticipated runway debut for @burberry in September. Delivered in a series of instant drops, this is the second Burberry capsule collection announced since Friday, when Tisci broke the news on his collaboration with @viviennewestwood. Get all the details on WWD.com. #wwdfashion #wwdnews
“It’s like a Cinderella story. You get a little fake, you get a little real, you put it together and voilà,” said legendary rapper Slick Rick, who helped pioneer the merge of luxury and streetwear. WWD’s @ariahughes spoke to @therulernyc about his jewelry collection, his collaboration with @bally and how the industry has evolved – link in bio. (📷: @kristaschlueter)
@ragandbone and @eminem are teaming up on a special capsule collection of streetwear pieces. Sold at a one-day pop-up in London’s Soho on Friday, the collection features three different T-shirt designs and a hoodie. The capsule is set to kick off the rest of Eminem’s shows in his European Revival Tour, which ends on Sunday. Get all the details on WWD.com. #wwdfashion