Chinese Get more Aggressive while American Gown Makers Look on

By Paul Pannone

On the first anniversary of an unprecedented meeting in New York the American Bridal and Prom Industry Association convened members of the wedding media to update them on the progress of efforts to slow down the rampant piracy of American goods and conceptual property. Members of the ABPIA board gave the gathering a realistic assessment of the current status saying the campaign enters another phase of an expected long, arduous process.

Bob Cahoon of Maggie Sottero gave the media gathering in New York his honest assessment of a very difficult situation. Steve Lang looks on.

Steve Lang took his usual place at the start of the meeting but yielded midway to Bob Cahoon, president of Maggie Sottero and board member. Cahoon reiterated what Lang has been telling eWedNewz and the wedding industry for over a year staying consistent with the message. Both Cahoon and Lang went beyond the usual rundown of what’s been done so far and stressed how the battle becomes more difficult with each win.

“They’re not going to just sit still and allow us to gain any ground; to the contrary they’re becoming more aggressive and tenacious in their efforts, ” Lang told eWedNewz.

According to Lang the battles won so-far were only preliminaries of what is to come. The illegal use of imaging and explaining how it hurts manufacturers is a difficult legal battle. Now the greater use of technology changing the face of models, creating an entirely different image, makes convincing a judge of a crime more difficult.

Exuberance of a year ago turned serious this time around, as Lang and the ABPIA fight an uphill battle for support from an industry whose nation is under siege. Lang cited a  New York Times story of how the middlemen and layers of overhead are being stripped away from the chain supply of manufactured goods. Lang and Cahoon admitted retailers are part of the traditional structure and conduit between their products and consumers. But rising cost of operation inflates prices  and is forcing some stores, including Vera Wang, to figure out how to stay competitive while boosting revenue.

“We know all the challenges that exist; they’re not going to go away. All we can do is adjust our businesses to the realities that are out there. The best we can hope for is to slow down the deterioration that is taking place,” Lang told the gathering.

An ongoing poll shows 71% of combined replies so-far think the chances of beating online piracy are fair-to-excellent. 26% of combined replies say chances are poor-to-impossible.

 

Only 5% of current replies say they would not join an industry organization. An overwhelming majority say they would support an organization that was well-run, offered good benefits and was not too expensive to join.

 

An appeal to the gathered media to spread the word about the organization was reinforced by board members. Cahoon told the members of the media he keeps track of the perception of the organization’s effort by having Maggie Sottero sales people ask accounts what they think. The results of the surveys were not clear or available for review, but Cahoon mentioned the $100 dollar membership fee was sometimes an issue.

On his own, Lang brought up plans to provide affordable healthcare to the broader  wedding industry beyond dresses. But while poll results so-far show a strong sign of support, actual membership does not show the results.

 

eWedNewz

All Rights Reserved

2013

The Week of March 25th in Review

By Paul Pannone

Vera Wang made top newZ this week getting U.S retailers hot and bothered over the prospect of charging brides to try on merchandise and fitting-room shopping time. But, as quick as it came, the Vera Wang organization scrapped the policy, succumbing to internet pressure and bad PR created by the move.

Celebrity wedding planner, Samantha Goldberg, issued a Press release announcing a long-awaited and talked about show . Goldberg made her rounds publicizing the show and has already started calling out organizations and people she alleges are misleading people and pocketing the profits. eWedNewz investigates further.

 

 

eWedNewz

All Rights Reserved

2013

 

 

 

Vera Wang Scraps $500 dollar Try-on Charge

By Paul Pannone

Because of a global outcry, Vera Wang has scrapped plans to charge Chinese shoppers a $500 fee. A Day after eWedNewz covered the story about Vera Wang charging the fee and negative global media coverage about their Shanghai store, a Vera Wang spokeswoman announced the charge was being scrapped as of today.

Fitting rooms are still free at Vera Wang and most bridal boutiques for now; but for how long?

 

“Please kindly be informed that Vera Wang has abolished appointment fees at her bridal salons worldwide starting from March 27, 2013,” the spokeswoman said in an email to the Reuters news agency, without elaborating.

The Wang organization claimed the fee was imposed to curtail some of the copying taking place. Their PR department also reported limited knowledge of the fee but quickly shuttered the plan as criticism grew along with media coverage.

Whatever the true reason, the prospect of Vera Wang’s policy sticking was music to the ears of retailers and some manufacturers we spoke with. Most say the Internet has disrupted their business, increasing meaningless store traffic, creating overhead and more cost to accommodate shoppers who want to physically see the merchandise, obtain SKU numbers and style information and then make their buy online for less money. But the rise of knock-off merchandise continues to plague the wedding dress business.

In 2012, China was the top source country for counterfeit goods entering the United States and the European Union (EU) with more than 70 percent originating from China, according to the latest customs seizure reports from the U.S. and the EU. According to the Counterfeiting Intelligence Bureau (CIB) of the International Chamber of Commerce (ICC), counterfeit goods make up 5 to 7% of world trade.

Currently, Steve Lang, owner on Mon Cheri, is embroiled in a battle to offset knock-off and online piracy. Lang’s effort includes forming an organization called the ABPIA that is gathering support in and out of the wedding dress business.

 

eWedNewz

All Rights Reserved

2013

 

The Week of March 18th in Review

By Paul Pannone

In an ongoing story coverage eWedNewz watches as David’s Bridal updates their systems, moving towards reaching today’s consumers digitally and away from standard, traditional methods. The move leaves many disgruntled independent, small business owners shaking their heads wondering how in the world they will ever be able to compete.

David’s Bridal issued a Press Release that basically rubbed the nose of competitors into the challenges they face. Sources near the story told eWedNewz it’s just another chance for David’s Bridal to make noise and headlines , part of the new strategy to leverage online free publicity and grab the attention of brides.

28% of current, ongoing poll says small businesses will not be able to prevail against big box operations like David’s Bridal.

Pascual Ortiz, who married his long-time love a little over a year ago, lost his battle to cancer this week. Samantha Goldberg who helped plan the event told eWedNewz,  ”It’s a gift to have met Pascual he had such joy that day.”

 

 eWedNewz

All Rights Reserved

2013

St. Pucchi’s Rani Totman Gets Flirty in a Me-Too Wedding Dress Business

 

By Paul Pannone

The wedding dress business remains a blurred vision in a Sea of White. Designers struggle to stand out at bridal markets, as attendance shrinks, regardless of how much producers of the markets disagree or try to accentuate the positive while downplaying the facts. Clearly the wedding dress business is over-saturated.

Discussions with bridal retailers lament of the growing problem of brides walking into their stores, taking up their time and then buying the same gown online for a fraction of the price.  On the QT bridal store owners tell eWedNewz of the homogeneous nature of the business and how buying from the most successful manufacturer hurts business, just as much as it helps.

“You need to own a certain portion of styles that are advertised and marketed to get the consumer through the door. They usually come in looking for a better price; once they’re in the door, it’s up to a smart retailer to sell them something unique that’s not really available everywhere– at the higher price, if you want to make any money for your efforts,” say retailers on the QT.

eWedNewz caught up with Rani Totman, President and Designer of St. Pucchi, who says her 2013 designs are filling a niche for retailers faced with the growing concerns. In an eWedNewz exclusive statement, Totman says;

“The reception to our newest collection has been overwhelming. What’s special about this collection is that it has something for everyone; drama for the bold bride, simple elegance for the demure bride and even short dresses for the playful bride. The collection as a whole tells a story and enchants any bride from any walk of life.”

 

Manufacturers, retailers and media agree how saturated the wedding dress business has become and how difficult it is to stand out from the crowd.

61% of an ongoing poll says the wedding dress business is pretty bad or the worse its ever been. What do you think?

eWedNewz

All Rights Reserved

2013

 

 

The Week of January 21st in Review

By Paul Pannone

The wedding business continues to reel from allegations claiming the business is laden with unscrupulous practices by vendors who up-sell clients and qualify their pockets by the very car they pull up with. An ongoing poll shows 2/3 of replies says there is good and bad in the wedding industry, just like any other business. 22% feel strong enough to say the wedding business is not crooked, while 12% say it is crooked.

eWedNewz digs deeper in the weeks and months ahead to expose possible causes for the allegations including wedding marketers who teach the art of deception to vendors entering the business. Members of the Wedding Water Cooler continue to give their insight to the story.

The American Bridal and Prom Industry Association, ABPIA, announced a new creative campaign to help retailers fend off the growing problem of online piracy and sale of inferior wedding dresses to American consumers. Steve Lang, president of the group, outlined the campaign and how his fight using all available legal means is starting to have an impact.

 

 

eWedNewz

All Rights Reserved

2013

ABPIA Launches New Ad Campaign | Invites The Wedding Industry to Unite

By Paul Pannone

After a week of divisive controversy that besmirched the reputation of the wedding business, President of the ABPIA, American Bridal and Prom Industry Association, Steve Lang, decided it’s time to start uniting instead of dividing. Lang watched the controversy from the sidelines while quietly implementing necessary checkpoints and roadblocks to help his part of the business; gowns.

A new Creative Ad by the ABPIA unveiled this week will help rally wedding boutiques and bridal stores to help the fight against internet piracy.

The path to the current information is well-documented thanks to Lang’s outstanding job of keeping this newZ source informed with updates for the public but equally as important, behind-the-scene background so we could fully understand the story.

Here is the latest update from Lang and the ABPIA:

It is with great pleasure to report to you today as President of the American Bridal and Prom Industry Association (ABPIA) our progress fighting counterfeiters from China. At the end of 2012, the ABPIA filed a lawsuit against 45 of the most egregious websites shipping counterfeit merchandise to North America and the rest of the world. The court granted us a temporary restraining order, also referred to as TRO. We returned to court in New Jersey on January 7, 2013 and appeared before the Honorable Judge Wolfson, Chief Magistrate of the Federal Court.

At this hearing, we presented original and counterfeit merchandise from multiple manufacturers and highlighted the damage done to our industry from these offshore pirates. We explained to the judge that approximately 500,000 to 600,000 counterfeit units entered North America in 2012, representing approximately $300 million in lost retail sales. This translates to approximately 100 to 150 units per full-service bridal and social occasion store in the United States.

Within a half hour of testimony, the judge immediately grasped the danger to our industry and ordered the following:

• The granting of a Formal Injunction against the defendant websites to immediately cease and desist from their illegal cyber- squatting activity. Our counsel prepared the paperwork and the order was signed the next day on January 8, 2013.

• For counsel to additionally serve the injunction on all members of the supply chain that aid and abet the counterfeiters. This includes website providers and hosts such as VeriSign, Go-Daddy and other such entities, search engines such as Google, financial entities transferring funds offshore such as PayPal, American Express, MasterCard, Visa, Discover, etc., freight entities transporting goods such as FedEx, UPS, DHL, and any other entity within the supply chain that helps the counterfeiters.

• For counsel to immediately add additional websites as defendants without having to file formal motions to amend the complaint. We have a list of approximately 2,500 additional websites that will be added to the injunction as defendants this week.

• For counsel to instruct all entities conducting business with the counterfeiters to reveal the exact name of the owners of the website, their locations and any other information we feel pertinent in eradicating this threat to the industry. This will aid us in securing damages, shutting down the websites and aiding the court and government agencies to enforce rulings.

• To immediately inform United States Customs and Homeland Security of the injunction to secure maximum help from these institutions to seize illegal websites and counterfeit merchandise.

The judge was clear in her instruction that should any entity fail to comply with the order, she is fully prepared to take additional action. This could include forcing any of these organizations to appear before her in court for rulings, especially if she feels they are in contempt of court.

Judge Wolfson was also clear that the economic damage to the industry is so difficult to calculate that she would place it in the category of “irreparable harm”. The significance of this category is that we could potentially go after large damages from any of the entities should they fail to comply.

It is my great pleasure to report that PayPal has begun to seize funds originally slated to be sent offshore and that we already received notifications of websites that are being shut down by web hosts following instructions of the court order. We expect many more websites to be shuttered over the coming weeks and will remain vigilant in this effort as we add an additional 2,500 counterfeiters to the injunction.

Attached to this email is the ad creative our marketing team recently developed to communicate the ABPIA’s message to the masses. Keep an eye out for this impactful new ad campaign to appear in major publications, websites and social media platforms next season.

Thus far, the ABPIA is comprised of approximately 400 members including manufacturers, retailers, sales representatives, apparel marts, media resources and other interested constituents of our industry. If you have not yet joined the ABPIA, we respectfully feel it is your responsibility to stand up and be counted. Join us in the fight to save our industry from this horrible scourge. We created ABPIA as a nonprofit 501(c) 6 organization, which allows us to lobby in Washington, D.C. and with other government entities. We plan to visit senators and congressmen to secure federal legislation that would give us even greater leverage against these counterfeiters.

It goes without saying that this grand endeavor takes time and money. I have personally dedicated the last year and a half of my life to working on this project, basically turning my company over to be run by my wonderful employees. However, I cannot do this alone and need your help. Attached is an application to join the organization. As you can see, it is only $100 annually for retailers. If we save you just one lost sale, your investment is more than secure. We also have other plans for the ABPIA including securing affordable health care coverage and already have a consultant working on this project.

Please stand up and be counted. Join the ABPIA today.

Respectfully,

Stephen Lang, President of ABPIA and CEO of Mon Cheri, LLC

Currently only 5% of respondents so-far say they would not support a wedding industry organization. 95% said they would support a well-run organization that would give benefits to its members, wasn’t too expensive and/or all of the stated reasons. What do you say?

Click to join the ABPIA

eWedNewz

All Rights Reserved

2013

Federal Judge Backs ABPIA Efforts

 

By Paul Pannone

eWedNewz has learned the ABPIA won the support of  Hon. Freda L. Wolfson, a Federal judge in New Jersey. Wolfson upheld a ruling and temporary restraining order granted back in November, 2012, that will help to stop more internet thievery against American wedding occasion dress makers.

 

 The Honorable Freda L. Wolfson gave full backing to the efforts of the ABPIA, headed by Steve Lang. Judge Wolfson is a dedicated upholder of the law, putting the interests of her country first and foremost, before all other civil and global issues that plague businesses in America.

 

In an exclusive eWedNewz interview, Steve Lang, head of the ABPIA, said he was thrilled with the decision.

“We got more than we ever expected from Judge Wolfson. She understands the importance of what we’re trying to accomplish,” Lang told eWedNewz.

Lang has been continually lambasted by critics who feel he has ulterior motives behind the fight but have failed to produce any sort of evidence to substantiate their claims. For the most part critics have fallen silent and tell eWedNewz they’re watching the action from the sidelines. Some commended the efforts but so far have not financially supported them.

In our interview with Lang he told eWedNewz he’s not holding his breath waiting.

“I’ve spent an enormous amount of time, energy and money to get to where we are. The win this week will allow us to really move forward at an even greater speed,” he told eWedNewz.

In a prepared statement to the organization board and wedding industry sources, Lang said the following:

Dear Board of the ABPIA and Industry Friends and Associates,

There will be a board meeting of the ABPIA tomorrow at three o’clock Eastern standard time. More details will be covered at that time among board members, but I would like to share some news that has just occurred.

Our counsel, Craig Hilliard , and I just returned from a court hearing with Judge Wolfson at The Federal Court, Trenton, NJ.

 We have been given a landslide of support by the court.

Today was the return date based on a lawsuit filed against the first 40+ defendants. Of course, none of these defendants from China appeared before the judge.

The judge is extremely sympathetic to our cause and made it very clear in her decision that she will support every effort. She actually commented to Mr. Hilliard that she understands how serious this is and she feels extremely bad for every hard-working, legitimate company and person working in this industry.

She has allowed us carte blanche latitude in terms of allowing Mr. Hilliard to write the order converting the TRO into an injunction. Beyond that, we do not have to jump through hoops to add any additional websites to the ruling. We can add websites at will and avoid any lengthy motions to edit defendants.

 I heard her tell Mr. Hilliard that she is going to give him the widest berth possible in terms of those we can go after, including the websites, the operators of the sites, the service providers as well as anyone in the food chain from shippers financial institutions that supply support to aid and abet these counterfeiters. She instructed Mr. Hilliard to write the document she will sign it immediately.

I cannot begin to explain to you how powerful today’s ruling is. This judge went above and beyond to communicate sympathy to both Mr. Hilliard and myself during this interchange. We brought with us examples of counterfeit dresses as well as the originals. We had Mon Cheri and Maggie Sotterro dresses with us and she was exasperated when she saw the difference between the originals  and the counterfeits. We explained to her how the customers are being cheated, how customs is being cheated and how all of our companies and businesses are dramatically affected by this scourge to the industry.

I am sharing this e-mail with everyone on this list, including those of you that are not on the board of the ABPIA. We have worked very hard as a board to achieve the status we reached   today. The fight is not over and will continue for quite some time–many people said we would not get this far and we proved the opposite . Let’s move on to finish this fight.

I need help from everyone at this point. We need more than 350 members in ABPIA. I need the media, the marts, the manufacturers, the sales reps and the retailers that have yet to join the organization to step up to the plate and become members. The industry must be represented by the broadest number of participants possible. We will need it in terms of our lobbying power with the government in Washington as well as to continue to generate dues to allow the legal firm to continue its work. We have raised approximately $250,000 and to date have spent about 75,000 and legal work. As you know, the law firm absorbed the first $60,000 in expense by not charging us anything up until the suit was filed. The $75,000 has been incurred since the filing of the suit up until this point over the past six months. I want to be able to continue to make sure that our efforts are never hampered due to cash flow. We have made the dues very reasonable for everyone in this fight and it needs to be supported by everyone.

I will ask every entity copied on this e-mail to do their part. If you have not become a member of ABPIA please consider doing so now. If you are capable of e-mail blasting or speaking to your constituencies, I hope that you will refer them to ABPIA and ask them to join as well.

Progress has been great even before today. PayPal has frozen over $60,000 in funds that were scheduled to be sent offshore just from the original 40 defendants. Now we will add over 2000 more and you will see a great change in the ability of these websites to continue to steal from us. We will be relentless in our effort and today’s victory just reinforces to everyone that the fight is a worthy one. If I had a video of how sympathetic this judge was I think you would all be very impressed. I indicated to the judge at somewhere between 500 and 600,000 units representing as much as $300 million in sales were sucked out of the industry last year she was aghast. She realized the magnitude of the problem and so forcefully indicated that she will work with us. She even took Mr. Hilliard to a sidebar conversation indicating that she would work very hard to help him in this battle should he run up any obstacles with defendants. She indicated to Mr. Hilliard that from our testimony today she can glean that irreparable harm is being done to all companies. She asked Mr. Hilliard to work on angles for what those damages and demands for those damages could amount to. Again, a watershed of support will be coming from this federal judge.

No one likes to sit in the courtroom, but I have to tell you, today was totally enjoyable. Hearing these results and the actions the judge is willing to take is nothing short of wonderful gift to the industry.

ABPIA board members, you will receive a dial-in number for our call tomorrow at 3 PM shortly. For everyone else on this list is not a board member, I want to thank you for your support in the past and in the future.

I want to extend a special thank you to two people that have worked tirelessly to bring about the results achieved today. First, I want to thank Roanna from TJ Formal’s for her effort to identify the list of offending sites. I cannot begin to tell you the legwork in detail with which she conducted her research ferreting out those that are true counterfeiters incapable of being stopped versus fringe sites. Secondly, I want to thank Mr. Hilliard for his support and his friendship in this fight. He is a true friend to the industry.

Steve Lang

Lang would not elaborate on how he feels critics will take the newZ but did say he does not count on any of them to offer help. Instead he plans on continuing the efforts calling the win a single battle in a long and costly war.

Currently 72% of responses to an eWedNewz poll says the wedding industry has a fair-to excellent chance of winning the war against online piracy. 25% feels there is a poor to impossible chance of winning.

 

What do you say?

 

 

 

eWedNewz

All Rights Reserved

2013

More Wedding Business Professionals are hurting than ever; Really?

By Paul Pannone

Yes, really; they are. The statement is in response to a story at Think Like a Bride that begins:

“I read an article recently saying that the wedding industry is in worse shape than anyone is willing to admit. Really? Then I have a slew of people lying to me. Or maybe my followers are just a little smarter than the rest.”

eWedNewz reader and wedding service provider, Mary Bower, gives her view on what is happening in the business. Coincidentally her views match countless others.

In an ongoing eWedNewz story and further discussions on Social Networks and  in every format including the Wedding Water Cooler most wedding professionals  we’ve spoken with reluctantly agree things are not good. For the few who want to dispute the findings, citing how well they’re doing– they are the exception– not the rule.

To some hopefuls who dismiss all other information, facts and opinions; subscribe to their own methods of collecting, slicing and dicing information, everything is fine or bound to get better. For some the presentation and argument they make boarders on insanity.

We’ve often quoted Christine Boulton, owner of Think Like A Bride, agreeing with many aspects of the wedding business. But many is not all. Boulton cannot dispute she works with talented, successful local vendors who can afford her services. But for the average wedding service provider–  we speak to many as an informational newZ source– the story is quite different. Many were forced to change the way they conduct their business, adapting to the shift in expectations by consumers who want what they want when they want it and refuse to pay full price. In the thousands of discussions over the past five years not one vendor says they’re doing well running their business the same way they did in the past.

Mary Bower relied to the story and had this to say:

Hi Paul,  I read your article and of course, I have to comment :)  I have a niche here in Lansing, MI where I sell wedding invitations, it’s a side business, thank goodness. I give great service, have great lines. But I believe you are seeing a faltering of the wedding industry because of the economy. Young people are being especially budget conscience these days  They are having difficulty landing good paying jobs, leave college with lots of debt (most of them) and they struggle. unlike we did in the 80′s when jobs were plentiful for us in the yuppie crowd.

I am hanging on to my business, moved it back home from a brick and mortar and am hoping for the best this 2013 wedding season.  I could not survive on invitations alone now and am branching out to do other things, such as candy buffets that may reach a bigger consumer pool other than weddings. Each year now, I often wonder what stationery company will call it quits and leave me holding the bag, like Encore did!

I am also working on a new business that is totally not wedding related to fill the gap.  These are crazy times, and the outcome will be fewer wedding professionals getting out of the business.  Some clean up will be good, as many who got into the business after 2008 thought it would sustain them. My God, have you noticed how many people suddenly became “wedding photographers”  or “cupcake bakers?”   It used to be that there was plenty of room for everyone, but now that is shrinking.

As always, I hope for a prosperous 2013, but this year, (I’m) not taking on new lines, sticking with what I have and hoping for the best!

Mary C. Bower

Occasions

Mary is one of the majority of wedding business owners that are telling it like it is on a national scale. Further exchanges with Mary say many wedding-related businesses in her area are closing and getting out, no longer able to keep holding on.

In an ongoing poll 31% of responses so-far say the wedding business is deteriorating. 20% say the wedding business is stuck in neutral.  11% feels the wedding business has not yet hit bottom for a 62% total negative connotation. On the positive side 13% says the wedding business has hit bottom and is climbing nicely. 20% of response so-far say the wedding business is recovering but very slowly.

What do you think?

eWedNewz

All Rights Reserved

2013

The Wedding Business Rocked by Market Facts and Truth

 

By Paul Pannone

In the closing days of 2012 the wedding business is buzzing because of newZ involving major companies who are bailing out of the business, bringing investors in to shoulder the financial burden and responsibility of trying to run a profitable business in the shrinking wedding market.

Yesterday’s story, The Wedding Business in Worse Shape than First Thoughtdrew reaction in all social media formats and plenty of private response from industry veterans who would like to dispute the newZ– but can’t.

 

 ”I’ll also bet that few if any of the existing US manufacturers close this year or next, the number will represent an insignificant percentage of the total. Is there anyone out there who will take the bet?” says Jim Duhe.

 

Jim Duhe gave his usual response in his own style saying;

 ”Your story isn’t a cheerful launch pad for the start of the new year. Certain aspects may or may not be accurate but I’m not alone in refusing to accept that the sky isn’t falling — at least not quite yet.  The average age of couples who wed has increased each decade since the turn of the 20th century.  When I joined the bridal industry in the 1970′s, we advised advertisers that “brides are older, better educated, and more affluent than ever before in history.”  It was a documented fact in the 1970′s.  It was equally true in the 1980′s.  It was true in the 1990′s.  It was true in the first decade of the 21st century.  It’s still true today.

However, age, education, and affluence don’t necessarily mean that a death knell is replacing wedding bells or that traditional weddings no longer represent a preferable life style choice for a meaningful number of Americans. Research conducted by Bridal Guide and all other publications as well as by prominent on line bridal sites like The Knot indicates that the number of destination weddings that take place in foreign countries is substantial.

Because foreign countries are not required to report the number of US citizens who marry to the Departments of Health, Education, and Welfare, it’s difficult/virtually impossible to determine the exact number of Americans who marry annually.   Therefore, it’s difficult/virtually impossible to verify that the total number of American weddings has declined substantially in recent years.  Regardless, many people who select to have a destination wedding continue to purchase bridal apparel in this country. They still create wedding gift registries in this country.

Long range business success requires much more than keeping up with trends. It’s essential to run one step (or more) ahead of them.  Conceptually, the challenges to bridal retailers created by online bridal apparel sales in 2013 aren’t  dramatically different from those offered by direct mail purchases (JC Penney, Sears, et.al.) in the 1980′s.  However, direct mail bridal apparel had an Achilles heel that online retailers don’t have: return policies.  The vast majority of online sales are generated by companies that are headquartered in foreign countries.  These companies can’t be forced to comply with US laws regarding merchandise returns.

Because the majority of China/direct sites offer positive consumer reviews (that may or may not be complete fabrications) consumers are lulled into a sense of security in their buying decision.  Unfortunately, prominent “money back guarantees” offered by China/direct companies generally are unenforceable.  There’s little if anything that a consumer can do to secure a refund for merchandise that is unacceptable or substandard.   Unlike complaints posted on Google, Wedding Wire, and others sites, there is no place for a consumer to publicize a complaint about a China/direct web site purchase.  It’s a perfect storm for China/direct sites:  on site comments are consistently positive; there’s no way for anyone to complain publicly.

Frankly, I don’t have answers to many of the questions that plague independent bridal retailers or tuxedo rental specialists.  However, that doesn’t mean that answers don’t exist.  It may well be that the number of existing independent bridal apparel stores will suffer from attrition. That’s a distinct possibility.  However,  I’ll bet you that new bridal retailers will launch in 2013, 2014, 2015, and beyond.

Seasoned bridal industry experts predicted that there were far too many bridal manufacturers — that there would be a “fall out” in the 1970′s — in the 1980′s — in the 1990′s — in 2000.  These predictions continue today. I’ll bet that there will be more bridal brand names in 2013 than there were in 2012.  There probably will be even more in 2014.   I’ll also bet that few if any of the existing US manufacturers close this year or next, the number will represent an insignificant percentage of the total. Is there anyone out there who will take the bet?”, said Duhe.

Duhe’s statement started strong but seemed to fall asleep by its end. So did that of Christine Boulton, who called to discuss the story. Boulton proposed there are clients who are doing well in the wedding business. We never suggested there weren’t. But Boulton could not argue there are fewer wedding industry professionals doing well than there are doing terrible. In fact none of the discussions could challenge any of the central points of the story. Simply put, the increasing challenges against a shrinking (traditional) market will not lead to a happy ending.

The story dates back to 2009 when companies like David’s Bridal sought positive data, wanting to know when the wedding industry would recover. No such information existed but through hocus-pocus hypotheses (guessing) there would be a spring-back in the wedding business. To date it doesn’t seem likely.

An ongoing eWedNewz investigation concludes the data failed to include variables, including the languishing economy that will continue to plague a full recovery in spending for traditional wedding goods and services. The results, exacerbated by growing competition in all areas of the wedding business, dilutes the ability to command higher prices from consumers. The decline of over four years with no end in sight resulted in decisions by major wedding companies, including owners of David’s Bridal, Leonard Green and Associates, to divest themselves from a majority stake in the wedding business.

The statement is supported by an overnight shift since the story released. An ongoing poll feels the wedding business is deteriorating (29%), stuck in neutral (15%) or is yet to reach the bottom (13%).

What do you say?

 

 

eWedNewz

All Rights Reserved

2012