Through its limited-edition, quarterly GO International apparel program, Target is continuing to do what it does best: add excitement and buzz about its brand. Apparel continued to be a top performer for the mass retailer in 2005, and the company hopes GO International will help further its fashion credentials even more in 2006.
"GO International is a series of limited-engagement apparel collections from internationally renowned designers geared toward our trend-conscious junior and contemporary customer," said Gregg Steinhafel, Target Stores president, during the company's fourth-quarter earnings call. "She's already shopping in our stores, and it's just a way for us to add freshness and newness ... so we're excited about it."
Target launched the Luella Bartley for Target collection in February. Bartley, a British fashion writer turned designer, is known for her preppy yet punky fashion design. Her collection at Target reflects this, and includes items such as a denim sandblasted biker jacket, $49.99; a heart tattoo screen T-shirt, $12.99; and tartan plaid dress with bubble skirt, $39.99. The entire collection's price points range from $8.99 for a plastic bangle to $149.99 for a suede jacket.
Target's next designer, Canadian-born and Paris-raised Tara Jarmon has a completely different approach to fashion. Although specific pieces or prices for her collection have not been announced, Jarmon's high-end line is known for its refinery and femininity. Her Web site says her line includes "smart and comfortable pieces, colored and sexy but never provocative, embellished with details such as embroidery, bows [and] flowers." The Jarmon for Target collection will land in stores in May.
Target has not announced the designers for its other two collections just yet, but the retailer expects that they will perform well.
"Luella is off to a great start. We're very pleased with her," said Steinhafel. "We expect that the subsequent brand and designer launches will be equally successful."
The GO International program is not Target's first experiment with limited-edition collections in its apparel department. During holiday 2005, Target debuted its limited collection of luxury gifts. It included women's cashmere sweaters with Swarovski crystals and silk scarves. For men, the collection had $29 silk-jacquard ties, silver cufflinks and cashmere sweaters. Also during the holiday season, the retailer sold a 60-day run of merchandise from Italian fashion house Fiorucci.
Target's move to sell limited-edition merchandise most closely mimics the one-off designer series sold by Swedish retailer Hennes & Maurtiz. H&M has had three designer collections in its stores over the past year and a half or so: Fiorucci, Karl Lagerfeld and Stella McCartney. The McCartney collection was so successful that it sold out within a few hours of being in some stores.
Unlike H&M, Target has not chosen designers who are particularly well known in the States. Bartley has more of an identity than Jarmon does. Bartley's handbags sell at high-end department stores, and her collection has shown at New York Fashion Week. Jarmon's high-end line only shows in Paris, and her apparel is not readily found in the United States.
But the GO International program is not as much about driving sales as it is about building upon Target's reputation as a destination for fast fashion and great design, say some retail experts.
"I'm not convinced that the Fiorucci or the Luella collections have really done all that well in terms of sales," said Jane Hall, vp and director of retail and merchandising for the Coleman Research Group. "But it creates excitement, and it makes them a great place to go for those looking for fashion."