New Head of IBMA Accepts ABPIA Offer to Work Together

By Paul Pannone

eWedNewz has learned that Hedy Lapkin, the new head of IBMA, has reached out to Steve Lang to work together on the issue of Chinese counterfeiting. In less than 48 hours the wedding industry, specifically gown makers and retailers, were updated with some disturbing newZ about the difficult road that lies ahead to fight off the piracy plaguing the business.

 

Slowly but surely,  Steve Lang continues to rally support in the wedding industry.

 

Lang broke away from the IBMA to start the ABPIA last year and has now pulled a power-play by paying his membership dues to the abandoned organization. In a written e-mail Lang gave his personal invitation to Lapkin and told eWedNewz;

“I was contacted by Hedy Lapkin today. She wants to work with us on counterfeiting effort. She will group with me after I return from Asia. She apologized that I did not receive original email from IBMA. [She] said it was oversight, but no matter, we are now  members of IBMA. I take this as a positive sign and I will help them in any way possible to fight pirates,” according to Lang.

Wedding dress retailers picked up on frustration and personal opinions given on my Facebook wall shared after reporting China efforts to disrupt and destroy American business.  Stunned retailers say they look forward to greater unity and coöperation among wedding industry professionals to set aside personal differences and work together against the common enemy.

 

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2013

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.

 

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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.

 

 

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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.

 

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Vera Wang Chinese Try-on Policy Gets American Retailers Excited

By Paul Pannone

Vera Wang is making headlines again but this time not with a new dress design but for the honor to try a dress on. According to reports brides-to-be (in China) are being charged almost $500 dollars for an hour and a half appointment to try on Vera Wang merchandise. The fee gets deducted from the price of the dress– if they buy– otherwise the money is forfeited.

We wonder if stars like Angelina Jolie get charged to simply try on a dress before the actual sale. Or do they get paid for mock-up publicity?

 

Reports say the company is trying to keep from getting knocked off, protecting its brand and designs, much like American manufacturers who’re in a fight for survival against dress piracy in China. It’s unknown whether the Vera Wang company is serious about supporting the fight that was recently backed up by a New Jersey judge or if times are just tight for everyone, including the Vera Wang company.

So far the practice has not hit the United States but sources say Vera Wang is watching the PR and backlash. Last year Dolce & Gabbana drew criticism on Social Networks for disallowing picture-taking by Hong Kong natives but not tourists. The unclear guideline raised some issues that no company can afford these days with the rise and instant reprisal brought on by bad publicity over the internet.

In the United States, eWedNewz bridal sources say they’re thrilled at Vera Wang’s attempt to charge consumers to try on merchandise. Facebook responses included store owners who feel they’re losing sales to online dress companies who undercut their prices.

“Bridal Salon professionals spend a lot of time giving “professional advice” what is in style, how to accessories, negotiate, all these girls, not all, but the majority all they want to do is “showroom” your salon, take pictures, and won’t commit to buy, and they have already tried on 50+ gowns. You mean to tell me a gal can’t walk into a beautiful Bridal salon with boutique quality gowns( not you know who)and can’t find anything in their budget?? This is nonsense, because every store has gowns that should be falling off the racks in sales every day!!! Price…it is what it is…you can’t expect to buy St. Pucchi for $1000 including the veil,” said one retailer.

Similar thoughts given by all responding store retailers shows the deep frustration they feel towards the internet and how it’s affected their operation and ability to charge the needed mark-up to stay in business.

The discussion spilled over into the Wedding Water Cooler where we omitted statements from retailers in the group but focused on those given by sources not in the retail end of the business.

“A few bridal retailers in the US have instituted try-on fees in the past.  However, I’m not aware of any fee that’s as high as the fee that Vera is charging.  The retailer applies the try-on fee toward any merchandise purchased in the store.  It’s a practical and logical policy for name brand retailers.  I could be wrong about this but I believe that Kleinfeld’s has a try-on fee.   It prevents show rooming for internet sites.  In the long run, it may be the only thing that will prevent consumers from going to a retailer to try on a gown that they plan to purchase online.  I doubt that this policy will fly in small markets but I can see the benefit it provides:  it separates the lookers from the buyers; it allows the retailer to concentrate efforts on consumers who definitely will purchase at the store,” according to one WWC member.

Kleinfeld told eWedNewz they do not charge to try on their gowns but do take credit-card and other personal information to book the appointment. But, according to Kleinfeld in New York City, no money is charged to try on their merchandise and there is no obligation to buy from them. It clearly states on their website, picture taking is not allowed during the shopping appointment.

May I take pictures of the gowns while I try them on?

“We do not allow cameras in the fitting rooms while you are shopping. Once you have purchased a dress, you may take as many pictures as you’d like.”

 

eWedNewz will continue to follow this story. We ask for your thoughts and opinion.

 

 

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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.”

 

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David’s Bridal Banks on Digital as Print Continues to Suffer

By Paul Pannone

In an ongoing story a Press release by David’s Bridal gives strong indication they’re shifting more focus and resources to online, digital formats; going where today’s brides are. The move is consistent with eWedNewz reporting citing the outgoing CEO’s lack of prowess in the digital age and greater desire to make the necessary changes to keep David’s Bridal in their leadership role.

 

A Press Release from David’s Bridal includes findings from their 7th annual What’s On Brides’ Minds Survey. David’s Bridal found that the 2013 bride will plan, chronicle and culminate all of her wedding details with the help of social media, ranging from Pinterest to Facebook to Skype, banging the steady beat of declining use of print for wedding planning even louder.

According to David’s Press release;

“The big news is that everything has gone digital, and the new tools of the trade are a smart phone or a computer instead of a wedding binder.”

eWedNewz reported David’s Bridal was on the auction block last June, under mounting pressure as a giant leader in a declining market. After shedding losing parts of their business while adding designer brand Vera Wang, sources near the story tell eWedNewz the shift to digital is a natural progression and plan execution to stay in the leadership role in a changing market.

Current poll results show 62% of replies feels Leonard Green was smart in dumping their majority stake in David’s Bridal, 12% say they weren’t. Undecided, 23% say it remains to be seen. With the current Press release we will be watching the poll results very carefully.

 

 

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2013

Apathy and Indifference Grips the Country; Sounds Like The Wedding Business

By Paul Pannone

Over the weekend news reports  that proclaim America is yawning at the possible collapse of the nation comes as no surprise to most.  According to ongoing discussions apathy and indifference to the troubles facing the nation is a natural progression to how Americans view the problems after continuous coverage and nothing really extraordinary ever happening.

(yawn) An asteroid falling from the sky; another bomb explosion in the Middle east…. Zzzzzzzzzz. When’s the new I-phone coming out?

 

Members of the Wedding Water Cooler say the view of the world has distorted claiming half the people in America have less in savings in the bank than they spend on the newest I-phone. To prove our point we tweeted the statement while writing this story and got relatively little response back, other than the usual voices who are passionate about how they feel.

A year after eWedNewz reported Dessy selling products online, direct to consumers, the outrage quelled into an apathetic stance– along with many other issues that plague the wedding business.

 

More of the discussions in the cooler point to the people who just muddle through life instead of picking and choosing what really matters. The usual laments revisited several topics including the online sale of products by Dessy to consumers. The original story and follow-up showed overwhelming opposition to the practice.

An update still shows 76% of replies say manufacturers should not sell goods direct to consumers.

Similarly, opposition to manufacturers opening stores to compete with accounts was also struck down in a poll:

An update shows 78% oppose this action.

Over time similar polls that asked if it matters where products are made favored buying American if prices were about the same as products made in China or elsewhere. One poll in particular  overwhelmingly favors support to a wedding industry organization if it offered good benefits, was properly run and didn’t break the bank to join. Yet the show of support falls short of financial commitment when it comes time to make good on promises or to reach into the pocket and pull out the money.

The story was picked up by The New York TimesReporter, Stacey Solie, asked us why more people aren’t talking about this. Stacey’s story gives one account of hundreds-of-thousands of online transactions happening every year affecting the wedding dress business.

“What’s frustrating about that is it’s just another news story that people breeze over. But to our business  it’s the difference between keeping the lights on in lean months,” according to Steve Lang, President and Founder of ABPIA.

Lang and other WWC members say they’re interested in the principle behind why these issues exist. As the CEO of his own company Lang has more latitude to express his feelings freely when compared to other members who work and must rely on their means of support above giving their opinion.

“Thank God I am not interested in winning a popularity contest; I’ll just continue to do what I’m doing and hope that sooner or later people realize this is for the good of their business and in their best interest to support the efforts in whatever way they can,” says Lang.

 

How apathetic are you?

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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?

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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

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