The Week of August 20th in Review

Posted on August 25, 2012 Written by Leave a Comment

By Paul Pannone

 

The struggles in the wedding business continue as survey results and data show a new generation of Americans move away from traditional weddings and everything associated with them. This week eWedNewz discovered the owners of the biggest retailer and supplier of wedding gowns in the United States, David’s Bridal, has reportedly agreed to sell the business to another investment firm.

Clayton, Dubilier & Rice reportedly agreed to pay $900 million to Leonard Green & Partners $900 million dollars  for David’s Bridal; about $100 million shy of the original projected price. eWedNewz began the coverage back in June, as LG&P quietly shopped their bridal dress business.

In the printed magazine business expert onlookers say they’re watching dubious numbers reported in newsstand sales and circulation. Some told eWedNewz the numbers seem fuzzy, feeling publications can spin them anyway they like because of an industry that doesn’t really pay attention.

A Rundown of the American Bridal and Prom Industry Association keeps the wedding industry aware of how the new organization plans to fight online theft of property and eventually create an organization that will give value products for membership and support.

 

 

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Filed Under: Advertising and Marketing, Anti Fairy Dust, Breaking Newz, bridal, Bridal Dresses, Bridal Magazines, Bridal Shops, General News, Ongoing Story Coverage, Ongoing Story Investigation, retail, The Internet, The Week in Review, wedding industry, wedding websites Tagged: , , , , , ,

Clayton, Dubilier & Rice reportedly agrees to pay $900 million for David’s Bridal

Posted on August 23, 2012 Written by 2 Comments

 

By Paul Pannone

Since eWedNewz discovered David’s Bridal was on the auction block in June owners have been quietly seeking a buyer that still has confidence in a sagging wedding industry. The challenge may be met, as Leonard Green & Partners hands off the hot-potato dress company to private-equity firm Clayton, Dubilier & Rice for a price around $900 million. Green paid $750 million in 2007; a 16.6% increase if the deal closes– and a 3.4% average return over the last five years– way below private equity expectation and standards.

Clayton, Dublier & Rice feel they can top the paltry 3.4% average return in company value realized by Leonard Green & Partners.

 

Sources familiar with the story say they’re amazed CDR would get into the wedding business at a time of economic challenges and an aversion towards marriage.

63% of an ongoing poll says Leonard Green is smart in dumping David’s, while 22% say it remains to be seen. 12% feel Leonard is making a mistake in selling; 3% give their feelings of the troubles at David’s Bridal ranging from poor customer service to inferior quality of merchandise. Many bridal store owners feel the dress business is saturated and under attack by offshore sources selling dresses direct to consumers and undercutting prices.

 

If you have not voted please give us your views.

 

 

eWedNewz continues our investigation and coverage of this story.

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Filed Under: Anti Fairy Dust, Breaking Newz, bridal, Bridal Dresses, Bridal Shops, General News, Ongoing Story Coverage, Ongoing Story Investigation, Poll, retail, Vera Wang, Wedding Dresses, wedding industry, Wedding Industry Events Tagged: , , , ,

Priscilla of Boston Offers 40% Off All Merchandise

Posted on September 6, 2011 Written by Leave a Comment

By Paul Pannone

Word of the shutdown of Priscilla of Boston is hitting consumers causing many to try to find out as much information as they can about what will happen to their orders. Many are happy to learn they will get what they bought at a savings, as the company offers a 40% off discount on all merchandise, liquidating as much product as possible before the scheduled December 31st shutdown.

Brides are happy to learn they can purchase beautiful products at a 40% savings.

 

Sources near the story say the offering is gathering a lot of attention but stopped short of saying sell through of merchandise is great. Sources near David’s Bridal continue to say sale of Vera Wang products at the higher end has been very successful.

David’s Bridal and Priscilla of Boston were bought by Leonard Green & Partners in 2007 from Federated Department stores. Federated later became Macy’s.

Information, stories and internet searches involving Priscilla of Boston are of the greatest interest to both bridal consumers and wedding industry sources reading eWedNewz.

 

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Filed Under: bridal, Bridal Dresses, Bridal Shops, eWedNewz, General News, Promotions, retail, Vera Wang, wedding websites Tagged: , , , ,

Priscilla of Boston Yields to Vera Wang Success

Posted on September 1, 2011 Written by 1 Comment

By Paul Pannone

As news of the shutdown of Priscilla of Boston stores at the end of the year spreads, many wedding industry sources offer their opinions as to why. In an ongoing eWedNewz investigation Priscilla of Boston stores are closing in a very orderly fashion, providing customers with information and an opportunity to ask questions and get answers.

The story of Priscilla of Boston sparks long-time wedding analysts to give their thoughts on exactly what’s happening. Wedding Analyst, Christine Boulton, told eWedNewz the deal that involved Priscilla of Boston and David’s Bridal was right for the time.

“It really was and they made the decision to purchase Priscilla of Boston at a time when the wedding business was still robust; or at least no one had any reason to believe it wasn’t,” according to Boulton.

Priscilla of Boston and David’s Bridal were sold to Leonard Green & Partners in late 2006 by Federated, as the company wanted out of the wedding business. After Hours formal wear was sold to Men’s Wearhouse. According to Boulton, the deal was done at a time when there was confidence in the wedding business remaining recession resistant; it never was recession proof.

On their website Priscilla of Boston says, “After nearly 65 years of serving some of America’s most beautiful brides, we have made the difficult decision to close our salons after a thorough review of the business environment. We are grateful to have had the opportunity to help women across the country look their best on one of the most important days of their lives.”

 

Sources near the Priscilla of Boston story say evidence of the brand suffering were in plain sight all along.

 

The company’s vague reason of “a thorough review of the business environment” is challenged by sources that say they have the behind-the-scene story. According to eWNz sources near the story, the growing effect of Vera Wang product success is at least in part an economic reason to shudder expensive POB stores and declining sale of merchandise.

One source maintains, “It’s much more cost-effective to sell Vera Wang products in David’s Bridal departments than it is to sell Priscilla of Boston products in their own stores– it’s as simple as that.”

 

After reading our story and issuing a statement David’s Bridal has not yet responded for an eWedNewz  interview request.

 

 

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Filed Under: bridal, Bridal Dresses, Bridal Shops, Economic news, General News, Men's formal wear, retail, Vera Wang, wedding industry, wedding websites Tagged: , , , , , , , , ,