Footwear Plus | The Source for Retailers | 2010 • March

THE SOURCE FOR RETAILERS • MARCH 2010 $10.00

JUST SAY NO TO ENDLESS MARKDOWNS SALUTING THE PLUS AWARD WINNERS EXAMINING WELLNESS FOR FALL TREND SPOTTING: COZY BOOTS

OUR FALL ’10 COMFORT PREVIEW WILL LEAVE YOU BEGGING FOR MORE

GET A WORKOUT WHILE YOU WALK THANK YOU to all of those retailers who cast their vote for FITFLOP in this year’s Footwear Plus Awards, winning us the 2010 Plus Award for Design Excellence in Wellness. We are very proud to have built a brand (and more rudimentarily—original technology in our shoes) that delivers instant wellness benefits to such a wide demographic.

Here’s to many years of momentum, growth, and FITFLOP wearing happy feet ahead.

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10

Caroline Diaco Publisher

Don’t Call It a Sale Retailers dish on alternative ways to unload dated merchandise. By Melissa Knific

12

Q&A: Klas Shoes President Charles Liberge tells how launching four brands in the worst of times turned out to be a smart business move. By Greg Dutter

18

Success, Cubed

Nancy Campbell Creative Director

The latest crop of Plus Award winners have plenty of reason to smile for our cameras.

EDITORIAL Leslie Shiers Managing Editor Melissa Knific Features Editor Angela Velasquez Editorial Assistant Del-Ann Henry Editorial Intern

20

Profiles in Excellence

34

The votes are in: Footwear Plus recaps retailers’ choices for 2009’s best in product design and the reasons for their success.

No bones about it: Our Fall ’10 picks in the comfort category are poised to become man’s (and woman’s) best friends.

30

Bow Wow!

Greg Dutter Editorial Director

Wellness Check-Up Health-oriented and toning brands introduce their largest, most versatile collections to date.

By Angela Velasquez

6 Editor’s Note 8 Op-Ped 28 Trend Spotting 32 What’s Selling 33 This Just In 44 Shoe Salon 46 Dress 48 Outdoor 50 Kids 52 Made You Look On the cover: Oh! Shoes suede ankle boot. This page, clockwise from top: El Naturalista hiker, Dansko heeled clog and Dr. Scholl’s foldover boot with zipper detail. Photography by Michael Brian. Special thanks to dog trainer Tyson Kilmer and handler T.J. Robinson.

FOOTWEAR PLUS ™ (ISSN#1054-898X) The fashion magazine of the footwear industry is published monthly (except for bimonthly April/May and October/November editions) by Symphony Publishing NY, LLC, 8 West 38th Street, Suite 201, New York, NY, 10018-0150. The publishers of this magazine do not accept responsibility for statements made by their advertisers in business competition. Periodicals postage is paid in New York, NY, and additional mailing offices. Subscription price for one year: $48.00 in the U.S. Rates oustide the U.S. are available upon request. Single copy price: $10.00. POSTMASTER: Send address changes to FOOTWEAR PLUS, P.O. Box 8548, Lowell, MA 01853-8548. Publisher not responsible for unsolicited articles or photos. Any photographs, artwork, manuscripts, editorial samples or merchandise sent for editorial consideration are sent at the sole risk of the sender. Symphony Publishing NY, LLC, will assume no responsibility for loss or damage. No portion of this issue may be reproduced without the written permission of the publisher. ©2010 by Symphony Publishing NY, LLC. Printed in the United States.

CREATIVE Trevett McCandliss Art Director CONTRIBUTORS Dorothy Hong Photojournalist Bahar Shahpar Stylist Jamie Wetherbe West Coast Editor Kathy Passero Editor at Large Paola Polidori European Editor ADVERTISING Jennifer Craig Advertising Director Rita O’Brien Account Executive Erwin Pearl Special Accounts Laurie Guptill Production Manager ADMINISTRATION Alexandra Marinacci Operations Manager Theodore Hoffman Special Projects Director Melanie Prescott Circulation Manager Julie Gibson Webmaster CONTACT INFO Sales/Editorial Offices 8 West 38th Street, Suite 201 New York, NY 10018 Tel: (646) 278-1550 Fax: (646) 278-1553 nyeditorial@ symphonypublishing.com Circulation Office 21 Highland Circle Needham, MA 02494 Tel: (800) 964-5150 Fax: (781) 453-9389 circulation@ symphonypublishing.com CORPORATE Symphony Publishing NY Corporate Headquarters 26202 Detroit Road, #300 Westlake, OH 44145 Tel: (440) 871-1300 Xen Zapis, Chairman Lee Zapis, President Rich Bongorno, CFO Sid Davis, Group Publisher

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editor’s note sniffing out new ideas 7

A Call for Change FOLLOW THIS TRAIL of broken logic: Many wholesalers offer financial incentives for retailers to commit to orders early. This enables wholesalers to obtain capital to get to the front of the line with their factories. Thus, spring merchandise begins landing on shelves as early as January, where it then gathers dust, consumers having shifted to a buy now-wear now shopping mentality. Retailers then panic and institute steep markdowns to move what is prematurely becoming stale merchandise.

Many subsequently seek make-goods and ship back returns, which hurts wholesalers’ bottom lines. A good portion of these closeouts then wind up on the shelves of discounters come March—just when consumers seek to pull the purchase trigger.

This abridged scenario comes from industry veteran Charles Liberge, president of Klas Shoes and the subject of this month’s Q&A (p. 12). If you agree that this basic sell-in model is outdated, then why is it happening season after season? If an increasing amount of consumers want to buy sandals when flowers are blooming, then wouldn’t it make sense to push back the delivery cycle? The

fact is that not even steep discounts incite consumers to stock up on shoes they do not need in the dead of winter. Price is not the deciding factor here. In our new economic reality, consumers are hanging on to every last discretional dollar before committing to any purchase he or she absolutely wants and needs.

Since we humans are often resistant to dramatic change, Liberge suggests bringing in a small portion of merchandise later to see if a better margin can be obtained. A little hard data might go a long way in convincing all parties that this kind of change can be good.

Speaking of change, I encourage you to read publisher Caroline Diaco’s insightful Op-Ped piece on our changing trade show landscape (p. 8). Trade shows as we have known them in size and scope may be changed forever. While our industry debates where to exhibit and in what format, Diaco argues that the critical exchange of ideas as well as the buzz once generated by us coming together has been lost. It’s a candid assessment that I too have witnessed, and I hope we see changes for the better—be it at a show in Las Vegas, New York or Atlanta.

Now for a change we can all smile about: It took us 20 years, but finally Footwear Plus has gone to the dogs—literally. Check out the gorgeous models gracing the pages of our Fall ’10 comfort preview, “Bow Wow!” (p. 34). Models can be difficult and diva-like, and these subjects were no exception. Of course, their behavior was nothing a tasty dog biscuit couldn’t tame.

Greg Dutter, Editorial Director

Op Ped

3 f o r m o r e o f f - t h e - c u f f c o v e ra g e , v i s i t : f o o t w e a r p lu s m a g a z i n e . c o m / b l o g

Show & Tell I WAS ITCHING to check out last month’s FN Platform, the market being touted as a “new national shoe show” by event organizers Magic International and Footwear News. After several seasons of trade show change, turmoil and confusion, I was eager about the prospects of meeting with as many industry colleagues as in one hall of the Las Vegas Convention Center (LVCC). Moreover, a show billing itself as delivering affordable solutions for exhibitors was worth seeing A bustling for myself. aisle at Immediately, I felt an energy I hadn’t FN Platform. experienced at a show in some time.

Fun music, clean white carpets and sharp graphics made for an enjoyable shopping experience. The uniformity of booths allowed the shoes to speak for themselves and made the aisles more manageable. Some attendees commented that the pre-fab booths saved more than enough time and money to make participating in Platform an easy decision going forward. But others said the arrangement left their proprietary designs far too exposed. (One CEO even demonstrated to me how a coveted style was snatched off his shelf by a stranger standing on the other side of the curtain.)

Trade show organizers know that you cannot please every attendee. But no matter the venue, format, timing, cost or exhibitor list, a show is ultimately judged by traffic. Gauging traffic, however is always difficult, as attendance figures are historically inflated. (You’ll be hard-pressed to hear an exhibitor admit that few retailers visited their booth.) In fact, traffic reports can vary from one booth to the next. For example, one vendor told me he was at 60 percent of his goal for new retail customers by the end of the first day of Platform, but another said he only saw the usual suspects, and one referred to Platform as just another regional show.

While Platform was technically under one roof (a key criticism of WSA’s past incarnation), some brands chose to remain in Magic’s apparel halls, which were adjacent but seemingly miles away on tired legs. And attendees still had to trek from the LVCC to Mandalay Bay to visit the shoe brands showing at Magic’s edgy offshoot show, Project. Shopping multiple venues costs additional time and money, and the dispersion dilutes the traffic at all the venues. So why not feature all footwear brands under one roof?

That simple solution, however, won’t guarantee a winning show. An exciting atmosphere is also key—and while Platform achieved good buzz, this is where Project raised the bar.

Working Project’s aisles, I felt like I was at a nightclub: pumping music, clever and gritty signage, beautiful people (and some celebs), and crowds everywhere. As an industry veteran of 17 years who has attended countless trade shows, Project was the proverbial “place to be.” The rock ‘n’ roll atmosphere culminated late in the day, when the Foo Fighters gave an intimate impromptu concert on behalf of one of the show’s denim exhibitors.

This leaves us wondering: Can a Project-like vibe be created in a footwear-only format?

Should that even be the goal, as more retailers shift to lifestyle merchandise mixes? Is a national shoe show even a viable concept in this new economy? Currently, our industry is scattered across a landscape of competing shows, and I believe the energy we generate as a collective force is suffering. There’s less sharing of ideas and fewer opportunities for potential breakout brands and trends to be spotted. It’s frustrating to see.

Maybe Platform can build upon its debut momentum, WSA gets its mojo back, or FFANY reclaims its top-dog status in America’s fashion capital. Perhaps The Atlanta Shoe Market (TASM) will build on its record attenance in both exhibitors and retail traffic. (Organizers now report a waiting list to get into the show.) Only time will tell if a new national show emerges—if that’s what our industry even desires. —Caroline Diaco

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Just Say No “SALE” HAS BECOME the bad four-letter word amongst retailers. Some say constant discounts establish a false sense of what merchandise should cost and that shoppers are constantly on the lookout for a better bargain.

“You can’t resort to the ‘sale’ word because your customers are going to ask for it all the time,” notes Jill Hathaway, owner of Hathaway Shoe in Kansas City, MO, and J. Hathaway Shoe Boutique in Leawood, KS. Ed Habre, owner of The Shoe Mill in Portland, OR, explains it like this: If a retailer is operating within standard profit margins and continues to sell on sale and reduce profits, he’ll have less money to invest in his merchandise. Not only that, but repeat sales hurt the brands as well, giving shoppers the idea the product doesn’t deserve its original price.

Constant sales are a no-no at Kemp’s Shoe Salon & Boutique in Vero Beach FL, says co-owner and president Meg Offutt, so the retailer devised an alternative plan to get rid of hard-to-sell product: It opened an outlet.

Appropriately named Kemp’s Too, the idea was born in the retailer’s previous Boca Raton location when the founder decided to use an extra room to house discounted shoes. Every afternoon, an employee would open the room for a few hours and let customers shop; the idea became such a hit that it turned into an overcrowded mess. Eventually, the staff decided that opening a separate outlet location was the best option.

“The most profitable and productive way to dispose of excess inventory is in outlet stores,” asserts Steven Greenberg, president of retail real estate advisory firm The Greenberg Group. Based on information from a recent study, he estimates 45 percent of women shop at outlets while 35 percent shop at malls. “The outlet industry is the fastest-growing sector in retail,” he adds. Greenberg points to Neiman Marcus and Saks Fifth Avenue, which have addressed this by opening at least a dozen outlets between the two retailers in the last two years.

If an outlet isn’t feasible, retailers note there are certainly other ways to shed excess inventory without plastering the store windows with discount signs. This year, Hathaway—a firm believer that sales shouldn’t be the endall, be-all—lured in customers with a feel-good promotion. She and area retailers were blasted by poor weather this winter, which kept shoppers at home and merchandise on the shelves. Together, the retailers (about 20 in all) joined the American Heart Association’s Go Red For Women campaign and pitched in gift cards totaling $1,000, which customers could win if they bought a $5 raffle ticket. “I wanted to drive customers to the store,” Hathaway says, noting that the 10-percent donation to the nonprofit for every purchase enticed shoppers to buy.

Hathaway also participates in a “shopping party” called Haute Market, an event that attracts women across the Kansas City metro area. Several times a year, local retailers bring select items to a collective trunk show and fashionable women buy tickets to shop, drink cocktails and hang out with their girlfriends. Hathaway has found Haute Market to be a good opportunity to sell styles she’s having a difficult time turning in her store. “I’m not waiting for the consumer to come to me,” she says. “I’ve [automatically] got 800 women coming by my booth.” She offers a 10-percent off coupon at the event, which she hopes will bait the attendees to visit her brick-and-mortar locations.

10 footwearplusmagazine.com • march 2010

At Sole Comfort in Albuquerque, NM, owner Peg Lucas-Swisher believes in the idea of “push money,” or offering cash rewards to salespeople for selling product that isn’t moving. For example, if a shoe retails for $100, then she’ll give the salesperson $10 for a successful sale. “It’s an incentive for them to work a bit harder,” she notes. This way, Lucas-Swisher doesn’t have to mark down the product, thus eliminating the possibility of devaluing her merchandise. She’s also held contests where the staff member who sells the most shoes in a given period will get a paid day off work.

Retailers say it doesn’t hurt to ask vendors for markdown money or see if they’ll take back product that’s a dud. Lucas-Swisher says wholesalers have agreed to exchange non-performing product for core items she knows have sold well in the past. It’s sometimes the best option, she says, even if it’s necessary to order more in the end. (For exchanging 10,000 pairs, she explains, a retailer might have to order 12,000.)

There are, of course, instances where the buy was so bad that the style will just continue to collect dust. In these cases, retailers recommend donating to a charity, such as industry nonprofit Soles4Souls. The gift won’t necessarily free up cash flow, but retailers can earn a tax deduction—and perhaps some good karma. Participating in local charitable events, like the sit-and-fit The Shoe Mill recently held for Portland’s homeless population, is also beneficial in moving out old stock and it can gain locals’ respect for the retailer.

In the end, if a retailer feels markdowns are necessary, then Ted Hurlbut, principal at retail consultant Hurlbut & Associates, suggests a three-pronged approach when it comes to clearing out merchandise with a sale. He says it’s important to focus on eliminating the “best of the best” first, then go for the middle tier, and lastly, dispense of the “sludge.” “There’s a certain toxicity associated with it,” he says of the latter, noting that it devalues surrounding product and possibly the store. “It’s the least desirable product. Don’t waste energy on trying to sell it.”

Minimizing the number of sales is key, retailers say—although some are adamant that all sales should be eliminated. When kept to a handful per year, like an end-of-the-season or semi-annual sale, Habre says it’s not always a bad thing. “It generates good will,” he explains. “It’s a ‘thank you’ to customers.” Most importantly, Lucas-Swisher concludes, “Nothing is worth anything until it’s sold.” •

ILLUSTRATION BY TARA MORRONE

Retailers provide creative strategies for bypassing sales. By Melissa Knific

O&A Launching Pad Charles Liberge, president of Klas Shoes— makers of Rotasole, Strolleez, KlasFit and Roc-A-Bouts—explains how rolling out four new brands in the worst of times turned out to be a smart move.

By Greg Dutter MOST PEOPLE WOULD say that attempting to launch one brand—let alone four—during the worst retail climate in more than 50 year is flat-out nuts. But that’s exactly what Charlie Liberge and his two long-time industry partners, Frank Cammarata and Warren Kaplan, are in the process of doing. The team set up shop as Klas Shoes in 2008—and before you write their decision off as throwing several brands against a wall in the hopes of seeing one stick, Liberge asserts the strategy was quite the contrary, as he and his partners carefully analyzed the market first, keying in on niches of need and avoiding duplication.

“There’s a lot of sameness in our industry, and that sameness is what helped our company launch four unique brands in such a tough time,” he offers. “We differentiated ourselves by picking spots that not everybody was playing in.”

Klas Shoes’ entry started with the Roc-A-Bouts kids’ brand, which hit stores last spring. “We felt that there was a void of a soup-to-nuts brand in the $19.99 to $39.99 retail price range,” Liberge says. A veteran of Stride Rite and E.S. Originals as well as the man who led the launch of the Lelli Kelly kids’ brand Stateside, Liberge knows the market and is also friendly with many leading children’s retailers. That experience allowed Roc-A-bouts to quickly grab hold of a little piece of the market—about 100 doors right out of the gate. “In the mid-tier, there are very few companies that offer total service in the children’s market, [much less] that carry stock and sell medium and wide widths,” Liberge says. “So we started out looking like Stride Rite, only in a more affordable price range.”

Industry connections led to Klas Shoes’ next introduction. At the WSA show in the summer of 2008, a friend introduced Liberge to Brian Goldberg, the son of the inventor of the Rotasole technology. (Rotasole features a pivotal disk in the forefoot that reduces torque on ankles, knees and hips due to sudden stops and direction changes.) “When I saw the technology, I was so enamored by the simplicity of it yet the impact that it could have,” Liberge says. A week later he met with Jack Goldberg in Boston, and a month after that the two were in a hotel lobby in China signing a global licensing agreement for Rotasole, the exec says, noting at the time he believed it would be strictly an athletic brand.

Around that time, a long-time industry associate—Southeastern sales rep Gary Nohe—contacted Liberge to discuss another underserved market niche: diabetic footwear. Liberge was skeptical and unfamiliar with that segment at 12

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O&A tains that this is just one segment of an emergfirst. However, the disease claimed his father’s ing health and wellness category. He believes life at the age of 57. “What I remember most was health and wellness is in its infancy in terms of how my dad always told me how his feet hurt,” overall category potential, and it stretches far Liberge says, adding that he saw an opportunity beyond rocker soles. “Health and wellness is to create a high-quality, government-approved line offering multiple widths at an attractive price. Thus, KlasFit was born. “There are more than 28 million diabetics in the U.S., and that figure is growing—and more than six million people receive a governWhat are you reading?

What is your motto? It’s what ment reimbursement for their spe“Outliers” by Malcom Gladwell. I have preached to anybody cial shoe purchases,” he says. who has ever worked for me: While counterintuitive, Liberge What is the last movie you There are two types of bosses has proof that one launch can saw? My son is a movie buff in the world. One who sits you help the launch of another. Durand we went to see “Avatar.” on their shoulder and one who ing a KlasFit presentation to Alan looks over your shoulder. I try Beychok, the owner of the online What famous person in histo be the former. and catalog retailer FootSmart, he tory do you admire? John happened to mention the Rotasole F. Kennedy left the biggest Who do you think is the concept. “Alan just fell in love with impression on me when I was world’s most influential perthe technology—but in addition young. son in fashion? Oprah. She to helping athletes, he believed it impacts Middle America in an could help people who suffer from If you could hire anyone who immediate way. arthritis and other leg and hip inwould it be and why? Warren juries.” FootSmart began selling Buffet. He has incredible Which do you fear more: both KlasFit and Rotasole last fall. vision for what is to come. For global warming or financial More importantly, that sales meetexample, his recent purchase meltdown? Financial melting opened Liberge’s eyes to the full of a railroad is genius. It looks down. China owns far too potential of Rotasole, which now to be the greenest mode of much of our debt, manufacturstretches far beyond the athletic transportation moving forward ing and real estate. Americans realm. “The reaction by consumers and it’s very likely that more are under the impression that to both brands has been spectacular companies are going to move we are in charge of our destiny, so far,” he reports. freight that way. but every day our destiny is put This leads us to launch No. 4: more and more in the hands of Strolleez. Liberge eyed an aesthetWhat was your first-ever others. ic niche at more affordable pricpaying job? Working in my ing ($69 to $99) in the rocker-sole mom’s sub shop, Ellen’s Italian What is your favorite homewellness category. “We felt that the Cuisine, while in junior high. town memory? Growing up extreme rocker bottom wouldn’t be on a street in Lynn, MA, where accepted by the masses and worn What did you want to be five of my mom’s brothers and in everyday situations,” he says. when you grew up? An archisisters lived. It was like a big Strolleez features a modified bottectural engineer like my dad. family reunion every day. tom that Liberge claims still offers much of the same toning benefits. In addition, the shoes feature an anatomically correct footbed, giving truly going to make an impact on our industry it a Birkenstock-like feel. The combination has unlike anything in a lot of years,” Liberge mainreceived a favorable reaction from retailers in tains, noting the key will be providing long-term the sell-in phase, according to Liberge. Strolleez health benefits. “This category is going to spread will make their retail debut with sandals this across different generations by delivering prodspring and will offer closed-shoe athletic and ucts that answer their respective needs.” casual styles for next fall.

With these four brands taking off, Liberge While some may say that rocker bottoms are says Klas Shoes is expanding its backroom caanything but an untapped niche, Liberge main-

OFF THE CUFF

14 footwearplusmagazine.com • march 2010

pabilities and adding staff. (It has more than doubled its workforce in the past year and is now partnering with seven outside sales agencies.)

“We are beginning to ramp up to do the business that we know that we can do,” Liberge says. And focusing on these four brands is key, as Klas Shoes is turning down new pitches on a near-weekly basis. “Three years down the road, there may be a brand that comes,” he muses, noting there’s plenty of growth to be had within the existing portfolio. Liberge expects Klas Shoes will crush its initial sales projections by 150 to 200 percent for this year. “Our five-year plan is to grow the company into a substantial player in the footwear industry,” he asserts.

Would you describe Klas Shoes as a wellness company?

No. Our company’s mission is to create a stable of brands that deliver what we call “true worth” to retailers and consumers.

It involves five distinct criteria that we run each of our brands through before we ever move forward. It culminates in the design, development, production and sales of products that take into account the changing economic environment and the changes in consumer demographics and the retail marketplace to ensure each brand exceeds the needs and expectations of our customers. Thirty different companies about launching their brands, but we have refused most of them because we didn’t feel they would deliver something unique to the marketplace.

The sameness is what is making it so difficult for companies to survive today. It also makes it very difficult for a retailer to try and attract a customer. Our company is focused on offering brands that fulfill an expectation of the consumer and make an impact. And that could be in any category—adults’ or kids’—down the road.

Even though you’re not a “wellness” company, what is your take on this category’s potential?

I believe the wellness category is going to be far more than just a fitness footwear craze. I look at the extreme rocker soles as kind of a fad diet that consumers will jump on but then will quickly move away. However, authentic wellness products are here to stay. That said, they are go-

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O&A ing to need to have long-lasting effects, because consumers are looking for far more from the products that they purchase today. Developing muscle tone or helping with body alignment is simply not enough. The product must combine health benefits with great styling, quality, comfort and affordable pricing. The brands that last in the wellness category long-term will meet all of these needs while delivering benefits that will last a lifetime.

It’s safe to say that wanting to be healthy is not going to go out of style.

That’s why I believe it has the makings to be a huge category. But it is one that I don’t believe most retailers have wrapped their minds around yet. I don’t think consumers really know that the footwear industry has come into health and wellness.

A few know, but our industry has yet to tell the story well enough to get more to understand this category. If I were a retailer, I would be scream-

ing this in my store. I would have a whole portion of my store devoted to health and wellness and I would be offering other products and services beyond footwear. It could even be a brochure. I think wellness offers an enormous opportunity to bring new consumers into their store.

Why the lag time?

Unfortunately, many retailers have narrowed their vision of how to grow their business due to the economic climate. Retailers have to begin to reexamine how they drive consumers into their stores. I believe the health and wellness category is an enormous opportunity to do that, whether you are Nordstrom, Finish Line or The Tannery.

As the baby boomer consumer ages, I always say to my retailers, “We are not our dads’ 50.” I’m 51, and my dad was a far older 51 than I am. I think the baby boomers are looking for products that not only make them look younger but feel younger and healthier as well.

Would you describe Rotasole as a wellness brand?

Rotasole is becoming a true wellness brand as we realize the technology works throughout every category of footwear.

Who is the Rotasole customer?

That’s hard to define compared to most brands.

With Rotasole, it’s any age, because this technology can apply to anyone who does activities that put stress on their ankles, knees and hips. The athletic product will probably sell to a younger consumer. There is so much pressure to perform—especially with young athletes—that injury levels continue to skyrocket. Rotosole offers one way of helping to prevent or at least [stave off] some of these injuries.

Do you believe Rotasole has huge potential?

Yes. Most retailers will play it polite and say a new brand sounds good, but when they want

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CHICAGO SHOE EXPO March 4-5, 2010 Chicago, IL

SMOTA March 7-9, 2010 Fort Lauderdale, FL Booth # 701

B&STA March 15-16, 2010 Edison, NJ Booth # 220

to put a pen to paper and consumers react immediately, that’s when you know you’re onto something. We’ve been on the market for four months and the sell-through of our sandals has been over 30 percent in some locations.

Rotasole has already taken on a life of its own. At the WSA show, we had interest from 13 countries and we will probably sign agreements with five countries in the next four months. The word is spreading. We are now the sponsor of a Fox Sports TV show called “Athlete 360.” It’s hosted by Dr. Martin Adickes, a 12-year NFL veteran who graduated from Harvard Medical School and is now one of the leading orthopedic surgeons in the country. He wears our product every day—in and outside of the operating room. He also suggests our product to everyone at the Houston Medical Center where he practices. We are also the new footwear sponsors of the ECAC, the organization that oversees 279 Division II and III colleges and 120,000 student athletes. We also have an NCAA basketball referee endorsing the brand, as well as testimonials from more than 500 individuals that span athletes to trainers to rehab patients to coaches.

How much will one pay for the Rotasole footwear?

The retail price range is $89 to $149, depending on the product category. Rotasole will be a premium brand worldwide. But we also think the technology could possibly be licensed to other brands. We are looking to add it into our KlasFit brand, and a large service shoe company has already approached us about a licensing opportunity. We will eventually put it into our Roc-A-Bouts line as well.

How did Roc-A-Bouts perform during its first year?

It blew out in some places, and overall it did OK. We are now in about 300 doors and continuing to grow. But we haven’t done a lot of consumer marketing yet. We’ve let the brand grow on its own.

It appears 2009 was pretty good year for Klas Shoes.

It was an interesting year. We started out planning to launch one or two brands and ended up launching four. But that was a good thing, because it would have been very difficult to be a one-brand launch, unless you had $50 million to throw behind it. Launching a multitude of brands allowed us to grow in a multitude of places. We also do a big private label business—especially in children’s—which helped us get over the hump.

It’s a refreshing success story.

We are kind of an anomaly in the industry right now. It’s incredibly difficult to launch a brand—any brand—in today’s market. You need to have what I call the three Ps: product, people and, most of all, patience. If you don’t have patience—and the money to have patience—it is very difficult. We haven’t tried to sell to too many retailers right away. We haven’t even begun the true selling process of our Rotasole and Strolleez brands. We started off with basic lines: just sandals in Strolleez and athletic styles in Rotasole. The full launch for both of those brands won’t really happen until Spring ’11.

Our goal is to capture a little bit of shelf space and then show retailers what we can do from a customer service standpoint. And hopefully we can maintain that shelf space. We are not looking to own entire sections of stores. If we can own a little shelf space in a lot of >51

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success,

cubed

Being recognized as the best in the industry by retailers after one of the toughest retail years on record, these footwear brand execs had plenty of reason to smile for the cameras. Footwear Plus celebrates the hard work and fabulous innovations of our 11th annual 2009 Plus Award winners, challenging the entire field to keep pushing the envelope through the economic recovery to keep both buyers and consumers eager for more.

TOMS founder Blake Mycoskie

Robert and Michael Greenberg of Skechers

The Asics team

Tom McClaskie of Born Shoes 18

Footwear Plus publisher Caroline Diaco and Andrew Fedor of Ecco

Primigi’s Bill and Gina LaRossa

Alan Newhart of Merrell

Wendy Svarre of Hunter Boot

Brooks’ Jessica Etchen

Tim Bushell of Wolverine

Jenn Kretchmar of Robeez

Ugg Australia’s Connie Rishwain and Leah Larson

Steve Madden

Danny Livingston of Florsheim

by Duckie Brown

FitFlop founder Marcia Kilgore and Justin Orrell-Jones

Dansko’s Mark Diehl Monica DeVreese of Simple Shoes

Geoffrey Pedder of Clarks Originals

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What business strategies and designs constituted home runs in a year when consumers were extra stingy with their dollars? Our 2009 Plus Award recipients detail their grand slams of the past year.

winners COMPANY OF THE YEAR: SKECHERS “We all realize 2009 was a difficult year. However, it was one of the most exciting and dynamic years in the history of our company,” Skechers president Michael Greenberg says. The proof is in the numbers: The company reported $388.6 million in sales for the fourth quarter of 2009—a 30.4-percent increase over the same period in 2008. Greenberg says Skechers was a reliable source for reasonably priced shoes for the entire family at a time when many retailers were forced to key in on brands with loyal fans. “We faced the challenges head-on, worked even closer with our retailers, and didn’t waver in our design, marketing and approach to business,” the exec explains.

Finding value in core styles and basics season after season, Greenberg says Skechers added fresh twists last year—for example, a wedge silhouette was added to the popular women’s Bikers collection and the men’s sport line was casualized via streamlined uppers. As for the kids’ collections, Greenberg says, “The sky was the limit.” Bejeweled sneakers, bright hi-tops, unique Z-strap closures and light-up sneakers provided retailers the eye candy needed to get consumers in their doors. In pre-line meetings, he notes, “We often hear comments like, ‘You are a kid’s dream come true.’”

Still, Skechers’ 2009 will go down as the Year of Shape-Ups. “The plan was not to enter the ‘health and wellness’ market,” Greenberg remarks. “We wanted to develop new outsoles with technical features using several of our key stylish uppers.” Greenberg says the resulting “fitness footwear” is a natural extension to the brand. “Consumers can relate to it due to the familiar Skechers styling and the association with a brand they know and trust.”

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MEN’S STREETWEAR: CLARKS ORIGINALS Last year was all about shoe companies going back to their roots (or newer brands using oldschool silhouettes as inspiration). This worked out nicely for Clarks Originals, founders of the now iconic Desert Boot and Wallabee silhouettes. “We have some of the best heritage products in the industry,” declares business director Geoffrey Pedder. However, the brand doesn’t solely rely on its past silhouettes, he adds. “We want to stay relevant.”

In 2009, Clarks Originals did so by debuting its Sports Series—complete with the brand’s signature crepe outsoles plus Opanka stitching and EVA construction—providing an athletic riff on the classics. The company also bowed the Tiger Series—which is lighter weight and more flexible than the original line—at the end of 2008, and it sold well throughout ’09. In addition, Clarks Originals successfully tested new colorways of the Desert Boot: taupe distressed and beeswax.

Even though the Desert Boot received much of the press last year, the Wallabee was actually the No. 1 seller. “This year, maybe the Desert Boot will outsell the Wallabee,” Pedder says. He was happy to see that Clarks Originals’ 2009 sales exceeded expectations—the company reached its goal by December, a month ahead of its fiscal year’s end.

Finding a balance between old and new proved profitable for the U.K.-based brand, which for the first time in 2009 started developing some products specifically for the American market. “We’re one of the trendiest brands in the marketplace,” Pedder concludes. “It’s a nice place to be.”

WOMEN’S COMFORT: DANSKO According to Mandy Cabot, Dansko’s cofounder and CEO, the focus in 2009 was on helping the brand’s retailers not only survive but thrive amid one of the worst retail climates in recent history.

“Anticipating that retailers and consumers alike would gravitate toward the proven and the familiar, we tightened our focus and expanded in three key areas,” she says. Step one was creating newness in the familiar, pairing proven outsoles with fun, new materials and detailing to keep the collection fresh.

Cabot notes Dankso also reasserted itself as a leader in clogs with the introduction of its Acadia line, addressing the active outdoor lifestyle. And lastly, Cabot adds, “We focused on being outstanding business partners, improving retailers’ cash flow by remaining committed to high in-stock inventory levels and by guaranteeing rapid turnaround of orders.”

As for top sellers, Dansko’s core stapled collection continued to lead sales last year, but Cabot reports great reaction to several new introductions—specifically the Professional collection in tooled and petrol patent leathers; the Solstice shoe within the Sausalito collection; and the closed-back Kelsey clog in the Acadia grouping, which she says “blew away expectations.”

Dansko expects retailers will be looking for new twists on trusted favorites for 2010. Cabot says the introduction of three new clog collections (the Rio, for young, urban women; the Walden for men, mirroring the success with the women’s Acadia; and a child-specific line) as well as two lower-profile assortments (the Brandywine casual wedge and tailored Berkeley collection) will help the brand meet that need and continue on its trajectory of double-digit sales growth.

BOOTS & BRAND OF THE YEAR: UGG AUSTRALIA Between boots being one of last year’s hottest silhouettes and the unfaltering popularity of Uggs in all shapes and forms, it’s no surprise that Deckers Outdoor’s Ugg Australia walks away with two Plus Awards in 2009. “We continue to build on our heritage,” notes Leah Larson, the brand’s product director. But the real secret to the line’s success? “When we add new collections or categories, we make sure they still embody the Ugg DNA,” she says. “They have to feel good the minute you put them on.”

Last year, new styles lopped on top of the perennial Classic Hi and Lo boots drove the brand’s sales, reports brand president Connie Rishwain. The Bailey group—including a popular button style—provided a fresh update but branched far enough away from the signature style to attract a wider following. In fact, vice president of sales Ed Goins reports the brand found success in many categories. “Boots like the Cardy, Highkoo, Bellevue, Kensington and Adirondack represent real success stories of styles and categories that don’t compete but complement each other,” he says. “[I’m] not sure too many other brands can make that statement.”

Headed into what is likely to go down as another landmark year for boots, Ugg plans to keep consumers guessing. “[We have to] keep surprising them with styles they may not initially expect from us, but once they see them or try them on they understand,” Larson explains.

Goins believes success will lie on building upon past successes, making them better and fresher at retail while maintaining Ugg’s key features— specifically, comfort paired with style. After all, he notes, “More than how we look, our customer loves how we feel.”

ITEM OF THE YEAR: TOMS People like doing good. And TOMS vice president of sales Pete Ferrer believes the company’s promise of delivering a pair of shoes to a child in need for every pair sold lies at the root of its success in today’s marketplace. Still, the introduction of new and fresh products in 2009 helped. “It’s what we call ‘style and substance,’” he stresses.

Keeping TOMS’s simple canvas shoe silhouette intriguing to consumers means constantly adding different colors, treatments and material interest, Ferrer says, noting the Classic shoe in black and ash were top sellers last year, while flashier folks raised the style quotient a notch by choosing the popular black and silver glitter versions. In addition, two new product launches in the past year have helped build the brand into a resource for multiple wearing occasions. The introduction of the Cordones, the brand’s first-ever lace-up silhouette, as well as its chukka boot (the Botas) both proved very successful at retail, Ferrer notes.

As TOMS looks to add additional styles for 2010 (look for a summery wedge and more cool-weather styles), the goal remains the same: “We will continue to educate, inspire and empower people from our retailers to college campuses to join the One for One movement,” Ferrer pledges.

KIDS: PRIMIGI As the children’s line retailers look to enduring Mary Jane and loafer silhouettes as well as the latest in European fashion trends, brand manager Gina LaRossa says the company’s vast 2009 offerings (and business-savvy, in-stock buying program) cemented Primigi as a leader in the children’s luxury market. Silver sparkled, tween and vegetable-dyed styles exceeded expectations and the brand’s Gore-Tex SKUs struck the value nerve ingrained in all parents.

Moving forward, LaRossa is particularly excited about the sophisticated Fall ’10 boot collection—a category she says the company has honed to perfection. “Fashionable mothers buy Primigi,” LaRossa notes. “We’re able to thoughtfully take a silhouette—like a boot that resembles their style—down to one that is appropriate for kids.

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WOMEN’S STREETWEAR: STEVE MADDEN Steve Madden’s 2009 will be remembered as the Year of the Boot. “My game plan was to make as many boots as possible,” says Madden, founder and designer of the eponymous brand. The company blanketed the category with a bounty of styles, covering 2009’s over-the-knee, studded, western, platform and slouchy suede trends that complemented the year’s skinny jean craze. Boots—along with aggressive platforms and rosette-embellished, pin-up inspired pumps—blew out of the stores, Madden reports, noting he expects the same from its collection of buckle, stud, rope and chain detailed boots for 2010.

Youth and fun stream through the brand’s veins, but Madden admits the label is maturing. He says Steve Madden’s recent collaboration with Seth Campbell and the UES (Upper Echelon Shoes) line has been an exciting project. While Campbell is directing UES’s design, Steve Madden is taking care of expansion, production and distribution.

“Campbell has great design ideas,” Madden explains. We want to be part of cool things, and not everything has to be our brand.” A touch of celebrity cachet doesn’t hurt either.

The first round of shoes under Steve Madden’s exclusive footwear license agreement with Mary-Kate and Ashley Olsen’s Elizabeth and James label debuted in 2009. “I loved working with the girls,” he says. The collaboration provided a chance to design for a higher price point and for Madden to guide an apparel line into new territory.

“We’re in a position now to take more of a nurturing role in things other than Steve Madden,” he adds.

The company is doing a little exploration of its own, too. Steve Madden’s expansion into accessories offers retailers and consumers a piece of the brand’s strong street aesthetic in new forms. The recent acquisition of Big Buddha handbags injects even more youthful vitality into the lifestyle brand. “We love that it’s a young company with tremendous value,” Madden notes. And in January the company entered into a licensing agreement with Lucas Design International to design and sell fashion jewelry for the Steve Madden brand, with pieces reflecting the footwear line’s rock ‘n’ roll direction.

WELLNESS: FITFLOP Last year was monumental for FitFlop, says U.S. brand representative Justin Orrell-Jones, noting that the wellness brand sparked by a single toning sandal grew into a full footwear collection last fall with the addition of a clog style, a slipper, and mid- and tall-height shearling boots. “For three years, our customers have been pleading for year-round footwear,” he attests. “But the response far exceeded our expectations, resulting in a complete sell-out.”

Still, the brand’s signature sandals continue to be a hot commodity as consumers look to FitFlop’s trademarked Microwobbleboard midsole for extra body benefits. “The consumer testimonials are inspiring, so this is clearly at the heart of the FitFlop experience and what the consumers rave about. But I also think everyone loves the fact that we care about style,” Orrell-Jones says, noting that founder Marcia Kilgore considers the fashion element an ongoing priority. Last spring saw new introductions such as the Electra, with a sequined upper; the Oasis, with a suede upper; and the Walkstar III in a colorful assortment of patent and natural leathers. Orrell-Jones says the extended styling gave consumers an array of choices and a reason to buy several pairs at a time.

FitFlop is keeping the momentum going for 2010 but plans to stick with its core values: innovative toning technologies married with on-trend aesthetics. Orrell-Jones reports the company is also exploring additional silhouettes and may launch a full shoe version in the near future.

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OUTDOOR PERFORMANCE: MERRELL “This award is a great vote of confidence for the work we [and our retailers] are doing together,” says Jim Zwiers, president of Wolverine World Wide’s Outdoor Group, which comprises Merrell and its sister brands Chaco and Patagonia Footwear. Key to the company’s fifth consecutive win in the outdoor category is staying ahead of what consumers want and developing styles they’ll come back to again and again, he reports: “That’s the true test of a great product.”

Despite the challenges at retail in 2009, Zwiers believes the year was a good one for powerful brands like Merrell, which have earned consumer confidence over the years and were able to gain market share. “We leaned forward through the recession, not back, and continued to invest in product,” the exec says. Merrell’s signature “franchises”—core performance models such as the Chameleon, Jungle Moc, Outbound hikers and Moab crosstrainers—continue to be stalwarts customers gravitate toward, but Zwiers notes that retailer support of its casual shoe programs and new introductions also resulted in significant sell-through.

Zwiers promises Merrell will continue delivering in 2010 via market-leading innovations, improved category management and a bigger branding push. Right now, Merrell sees an extremely high- intent-to-repurchase rate but low brand awareness, so the company sees getting the word out as the key to future growth. To that end, it plans to tap into social media networks to strengthen communication with its end consumers. “Merrell is a brand people feel especially close to,” Zwiers explains. “We think there’s an opportunity to make consumers aware of our aspirational message and the tremendous products we have to deliver… If we can encourage customers to try them out, we know the products will deliver—the comfort and durability will be there. If we can initially get them on their feet, all the data shows they’ll be back for a second, third and tenth pair of Merrells.”

Thank you for voting Wolverine the 2009 Excellence in Design Plus Award winner for the work category, 11 years in a row.

wolverine.com

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RAIN BOOTS: HUNTER BOOT With a 150-year-old history, Hunter Boot sets a high bar where heritage is concerned. “Hunter Boot is the go-to brand in rain boots,” notes Wendy Svarre, CEO of Hunter Boot USA. “In a difficult economic climate, both retailers and consumers were attracted to Hunter Boot as a familiar brand producing consistently functional and reliable products with evolving style.”

Svarre says the brand’s success lies in combining its cutting-edge technology and traditional handcrafted approach. Hunter Boot is committed to improving the boots’ performance and durability, as the styles are constantly undergoing intensive research and testing. She highlights three key new silhouettes in 2009: the Hunter Short and Lace Up boots and its Clog. “These styles were designed as an evolution from the Original Tall Boot due to our customers’ reaction to the great design,” Svarre says. To spice up the Original Tall and Short boots, a gloss finish was added; in addition, Hunter Boot introduced a capsule leather collection for both men and women, lending it cred as an evolving lifestyle brand.

Despite the recession, Svarre says 2009 sales were “fantastic” and that Hunter Boot is poised for a very strong 2010. It only helps that sales in the rain boot category continue to soar. “Our retailer partners are now approaching rain boots as a fashion category, whereas in the past, it was truly a replenishment business,” she says. The company plans to offer a broader variety in the year to come, continuing the evolution of the brand.

PRE-WALKERS: ROBEEZ Baby-oriented retailers relish cuteness, and Robeez, a division of Stride Rite Children’s Group, delivered cute to the hilt. “The litmus test for successful designs is if a buyer picks up a shoe and giggles,” explains Jennifer Kretchmar, vice president of product for the group. The company designed plenty of new styles for 2009, including the Mini Shoez collection—one that Robeez plans to vastly expand after an impressive first run. The miniature takes on classic adult styles such as penny loafers, trainers and patent Mary Janes, offer stylish alternatives for moms wanting a shoe to complete cute outfits—not compete with them. “Moms can’t get enough of the little adult look,” Kretchmar adds. In addition, Robeez’s signature soft-sole slippers got a lick of bright color and 3-D embellishments. “We can be counted on for basics, but our 3-D styles were the real driver in sales,” Kretchmar says, noting designs with hatching dinosaur, happy garden and blue car motifs practically sold themselves off the shelves. (Look for new mouse and dragon designs this year.) The brand also offered its bread-and-butter slipper shoes in new silhouettes: a Mary Jane and a lined ankle bootie. “These styles were a chance to move away from that staple silhouette retailers and moms are already familiar with,” Kretchmar says.

Robeez’s 2009 growth spurt was capped off with redesigned packaging, solidifying the brand’s foothold in the gift category. There will be even more to give in 2010, including five new organic cotton and recycled e-Leather soft-sole styles.

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WORK: WOLVERINE The announcement that Wolverine won a Plus Award for design excellence in the Work category isn’t really news, but the fact that the brand has won 11 consecutive such awards since the Plus Awards debuted in 1999 is headline-worthy.

While consistency is obviously a brand trait, Roger Huard, vice president of product development for Wolverine Footwear Group (WFG), believes comfort and innovation are two additional key factors.

“It’s an expectation on the retailers’ part that we keep surpassing ourselves each year,” he says. “We don’t just put catchy words or phrases on our shoes; rather, we stress that the boots function the way they are supposed to and deliver the benefits we claim they will.”

For 2009, that innovation involved expanding the brand’s Contour Welt collection into waterproof and insulated styles. Designed to deliver the flexibility of a sport shoe with the durability and support of a traditional work boot, a unique contour-stitched arch allows the boot to flex at essential points. The boots also feature a Wolverine MultiShox comfort outsole and Gore-Tex waterproof membrane linings. “We established Contour Welt as the premium work boots on the market,” Huard says. “There isn’t anything else that offers as great a combination of aesthetics and functionality. It just pops off the shelf.” Huard adds that the welt stitching is on trend with a shift to vintage styling—a look found in Wolverine’s new 1,000 Mile collection, which features modern updates of work boot styles pulled from the 125-year-old brand’s archives. “That look reverberates back into the work category, where there is a return to fine leathers and elegant design,” he notes.

Tim Bushell, vice president and general manager of WFG, considers Contour Welt to be one of the best product introductions the brand has ever made: “The quality is unsurpassed. We have gotten less than 0.5 percent in returns for any type of issues, and that includes our 30-day comfort guarantee. People put a pair on and immediately are extremely happy.”

Another 2009 highlight for Wolverine involved the launch of its Peak AG (Anti-Gravity) series. The 100percent non-metallic boots feature an antimicrobial air cell footbed that wicks moisture away from the foot and controls odors. A Vulcan Composition Safety toe meets ASTM standards but is 50 percent lighter than traditional steel toes, and the durable shoe features athletic styling for a younger demographic.

Overall, WFG president Ted Gedra says the goal each year remains the same: “We always try to outdo ourselves.” The brand’s think tank is always working on the next big initiative, he hints. “At any given time, one of these technologies may become ready—after a lot of testing—and brought to market,” Gedra says.

“Those are the game-changing efforts we will continue to introduce.”

“We don’t just put catchy phrases on our shoes; we stress that the boots deliver the benefits we claim they will.”

—Roger Huard, Wolverine

GREEN: SIMPLE The key to Simple’s success in 2009?

“Combining the useful and fashionable elements in our design language,” reports Monica DeVreese, manager of Deckers Outdoor’s ecologically sensitive brand. “At the end of the day, from a consumer standpoint, the shoes have to look cool,” she notes, adding that Simple has honed in on a youthful, fashion-centric approach. “Sustainability is like the cherry on top.”

The brand’s Eco Sneaks have risen to the top, thanks in part to sneakers being mainstream consumers’ everyday go-to silhouette. Dressing up the women’s Satire with a ribbon shoelace resulted in a retail hit, while the men’s Carport shoe also sold well, DeVreese reports. Simple will continue in this vein, dressing up the footwear staple with new colors, materials and applications in line with its environmental messaging.

That message’s delivery has been tweaked for 2010, with a goal of engaging more consumers. “We were never preachy, but we were maybe speaking to ourselves,” DeVreese notes.

With the new Bio-D collection hitting this spring, Simple hopes consumers will hear the facts of the matter—that normal footwear can take thousands of years to break down in landfills, but a new additive in its components helps Simple’s shoes decompose in just 20 years—and want to make the conscientious choice. With a new ad campaign to support this collection, “We’re putting more of a face to the brand, which we haven’t really done in the past,” DeVreese attests.

Green products have held strong through the recession, the exec says, but Simple is working hard to keep its price points attainable to not scare off consumers. Ultimately, DeVreese believes it all boils down to product: “Value is obviously important, but from what we’re seeing, if your products are intrinsically [solid] and visually interesting, we see it’s working. It’s got to look and feel good first, then you reel them in with the sustainability.”

Initial reads on Bio-D show strong promise, and in 2010 Simple will add boots that reflect the DNA of its popular sneaker styles, an area where the company sees huge opportunity. Another growth prospect is children’s. “We launched our toddler collection in Fall ’09, and it’s opened up so many doors for us,” DeVreese notes. “The kids’ piece is massive, especially when you look at that parent who’s willing to spend more. Plus, the sustainability message resonates even more when you’re buying for your kid. We expect big things from the kids’ category.”

ATHLETIC LIFESTYLE: CONVERSE Converse’s global creative director Phil Russo says the brand hit a chord of familiarity with retailers and consumers alike in 2009 in the midst of massive economic, political and social uncertainty. “It seems they took notice of products that are grounded in the familiar, the authentic—products with story depth,” he explains.

Design highlights for 2009 include the brand’s First String collaborations with fine artist Terence Koh, fashion designers Vena Cava and United Bamboo and retailer Undefeated; the relaunch of the classic One Star 1974 silhouette; new basketball products, including the Weapon EVO, Drop Step and Poorman’s Weapon; its ongoing collaboration with John Varvatos; the momentum of its Skate initiatives; and expansion of the Jack Purcell line with iterations of last year’s popular boat shoe silhouette. In addition, Converse continues its commitment to help eliminate AIDS in Africa with its (Product) RED Chuck Taylor All-Star product. “Overall, we are continuing to show our true face in the marketplace as a diversified brand with an incredible depth of authenticity, honesty [and] credibility,” Russo says, noting this is evident in the wide range of areas in which Converse successfully plays.

While Converse continues to update the line, people respect its roots. “Converse has the unique historic ability to be continually relevant in the market, and we have been able to develop designs that continue that legacy,” Russo notes.

HUNTER BOOT WOULD LIKE TO THANK OUR RETAIL PARTNERS FOR AN OUTSTANDING YEAR!

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WOMEN’S PERFORMANCE ATHLETIC: ASICS The key ingredient to Asics’ 2009 success was consistency, according to Jim Monahan, vice president of footwear for Asics America. While a lot of brands regressed amid the recession, Asics scored a “Shoe of the Year” nod for its Gel-Kayano 15 from Runner’s World, a Plus Award for design excellence in the women’s athletic category and 10-percent sales growth in its ladies’ running business.

“Our women’s business continued to be one of the major drivers of our brand’s overall growth last year,” Monahan says, noting the brand’s running sales overall are split about 50-50 between genders. “That’s a very healthy balance and a sign that we are not viewed one way or the other by the consumer.”

For 2009, Monahan cites the Kayano and 2000 stability models as well as the cushioned Nimbus style as its three leaders in women’s. All incorporated new technologies, including an improved asymmetrical lacing system that provides a more natural fit over the forefoot and an evolved gender-specific Space Trusstic System that accommodates the changes in the shape of a woman’s arch (which are linked to monthly estrogen spikes). Monahan adds that the latest innovations built upon already highly advanced shoes, which brings us back to the “consistency” factor: “It’s not a real sexy word, but year in and year out we continue to meet the expectations of our consumers,” he offers.

Monahan says Asics’ women’s-specific story began in earnest about five years ago. “Our technologies, like Bio Morph Fit, IGS [Impact Guidance System] and the Trusstic System, show we are constantly evolving the women’s fit and performance story,” he says, noting the deluge in available data helps this process.

“The science dictates the various evolutions that we incorporate into our product.” The result is a loyal customer base that seeks the latest technology but a similar fit, feel and ride from model to model. This keeps retailers loyal to the brand, too, Monahan says, noting they trust Asics’ product and can increase turns season over season.

Of course, looks matter as well. Monahan says color and materials played a big role in 2009, and while Asics always looks closely at trend reports, it went against popular opinion with respect to pink. “People have said that pink is the ‘kiss of death’ for women,” Monahan says. “That is not the case. [Our top] three styles all incorporate different shades of pink.”

Monahan says Asics’ success is a rewarding validation to what remains an ongoing product innovation story. “Years back we said we wanted to become the No. 1 performance running brand in the specialty channel, and we have succeeded,” he says. “And while we have had opportunities to introduce new categories, our [current success] is an ongoing evolution of our original focus.”

“Science dictates the various evolutions that we incorporate into our product.”

—Jim Monahan, Asics America

MEN’S DRESS: FLORSHEIM BY DUCKIE BROWN Marrying a century-old American footwear brand with one of today’s most fashionforward menswear designers, retailers welcomed Florsheim by Duckie Brown with open arms in 2009. “It was a team effort,” notes Duckie Brown’s Steven Cox, who co-designs the line with Daniel Silver. It’s rare to find a project where both parties work extremely well together, they note, adding that they believe the happy union is a huge factor in the brand’s success.

For the collection, which debuted in Fall ’09, Cox and Silver dove into Florsheim’s vaults. “Both [Florsheim and Duckie Brown] are very interested in traditions,” Silver says. “We work out of the same basket.” The result was an updated take on the classics, sometimes with unexpected pops of color or detailing. Brogue styles are a large part of the collection, whether in oxford or boot form, as are saddle shoes and loafers. While classic dress shoe colors cordovan, cognac and black are present, Florsheim by Duckie Brown introduces dark green, blue and smoky gray hues for a more modern look. Studs and laceless oxfords also add a contemporary feel. One of 2009’s biggest standouts was the Patriot Boot, which the design duo found in an old catalog; the cream, cognac and brown lace-up resembles an American flag.

In just a short period, Florsheim by Duckie Brown landed in big-name retailers throughout the United States, including Bloomingdale’s, Saks Fifth Avenue, Barney’s New York and Nordstrom. The designers agree: “Without the retailers, we’d be nowhere.”

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MEN’S PERFORMANCE ATHLETIC: BROOKS “Wow.” That’s the in-a-word response Rich Zartman, footwear design manager for Brooks, uses to best describe 2009 for the running specialty brand.

Double-digit sales growth, a Runner’s World Editor’s Choice nod for its Glycerin 8 shoe and a Plus Award for design excellence in men’s performance are just a few highlights from the company’s last year.

“Considering the economy, there was a definite ‘Chicken Little’ feeling going into the year, but it never really materialized,” Hartman says.

“We had a really great year.”

The shoes behind that greatness, Hartman says, include the Adrenaline GTS 10 (which looks to become the brand’s all-time best-seller), the Green Silence—considered a groundbreaking design in the sustainability arena— and the aforementioned Glycerin 8. “These are just some phenomenal shoes that are resonating well within the core running community,” he says.

According to Hartman, Brooks’ pure focus on running enables it to micro-dissect the wants and needs of its target audience. “We can look for white space where other brands either can’t or won’t,” he says, noting the Green Silence is a perfect example. While Hartman says other brands have created some press with a few eco-friendly initiatives, they aren’t digging deep into long-term sustainability. “Literally every single component of our Green Silence shoe is at some point recyclable, recycled or sustainable, stretching from the shoelaces to

the linings.” And while that may not yet resonate with the Foot Locker crowd, Hartman believes it does with avid runners. “The core running community tends to be a little more discerning and receptive to features like that,” he notes.

Hartman says Brooks paid equal attention to aesthetics in 2009.

What started with a nod toward tribal prints expanded into telling stories with each pair by featuring unique design touches. (A silhouette of a famous runner featured inside the shoe, for example). “We tried to push that discovery element past the purchase so it could be days or weeks later that the consumer spots that detail molded into the heel rubber,” he notes. It’s further proof that Brooks has a beat on its core audience, he adds. “It’s to say we understand what world you come from, but we don’t need to ram it down your throat.”

Part of that understanding involves being consistent from season to season, a quality Hartman says Brooks’ retailers appreciate: “Our design process is an evolution, not a revolution. Quite often other brands will have a successful shoe but they never anniversary that design.

They move on but then they lose that customer base, and maybe that customer doesn’t come back to that retailer or they switch brands.”

Perhaps it’s only fitting then that the tenth and eighth editions of Brooks’ Adrenaline and Glycerin models are so popular. “Every year we are raising the bar with our shoes,” Hartman says. •

march 2010 • footwearplusmagazine.com 27

TREND SPOTTING

3 2

4

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1. Merrell retro-striped boot. 2. Sebago ankle boot.

3. Blondo pull-on. 4. KorkEase over-the-knee style with mini-stud detail.

5. Kickers shearling-lined crepe-sole boot. 6. Sperry Top-Sider boat shoeinspired lace-up. 7. Rieker hiker with plaid cuff.

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Comfort Inn With cushy soles and lush materials, these fall boots were made for walking.

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PHOTOGRAPHY BY NEAL BRISTON

6

1 1. Sanita clog-bottom boot.

2. Rockport buckled lace-up.

3. Ecco desert boot. 4. Spring Step two-tone ankle boot with plaid detail. 5. Pikolinos over-the-knee style. 6. Naot calf-height boot with studs.

7. Earth chukka. 8. Indigo by Clarks granny bootie.

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wellness check-up Unable to cure their affinity for rocker bottom soles, wellness brands are amping (and in many cases booting) up their portfolio with some of their largest and most versatile collections to date. By Angela Velasquez + REEBOK

As consumers warm up to Reebok’s EasyTone shoes, the brand is carrying the line’s patented sole technology into new designs for every age, gender, climate and activity. Bill McInnis, head of Reebok Advanced Innovation, says the benefits of the EasyTone technology appeal to a varied group of consumers—and now Reebok must deliver resonating designs. “Expect an explosion of upper looks,” he says. The boldest addition to the women’s range is the EasyTone Passion, a fresh and youthful full-grain leather, water-resistant lace-up boot. Thinsulate insulation encapsulates the warmth, comfort and durable protection needed for the cold months.

EasyTone’s foray into men’s footwear plays up

the athletic angle. The first style, the RunTone jogging shoe, will hit stores in March, followed by the JumpTone in July. The latter is a sporty lifestyle shoe intended for off-thecourt wear that provides slight instability to activate muscles. “We’re basically taking the same idea as our women’s EasyTone styles and tailoring it to specific activities, in this case improving the jump of basketball [players],” McInnis explains. The shoes will reportedly tone and strengthen the wearer’s hamstrings, calves and glutes.

+ EARTH

Earth is launching the Athletic Recovery Collection—a complementary range to the brand’s 3.7degree incline shoes and an idea sparked by user

suggestions. “Pockets of active people were finding value in our incline shoes for other reasons,” says David Aznavorian, the brand’s vice president of marketing. All of Earth’s shoes offer wellness benefits via the incline, but Aznavorian says the expansion is part of the company’s approach to broaden the application of its technology.

Like its forerunners, the five Athletic Recovery Collection styles gently work key and often under-used muscles, allowing fatigued performance muscles to rest. “The incline delivers a balancing effect,” Aznavorian adds, noting the shoes’ original styling blends these benefits with the appeal of mainstream athletic-inspired uppers and silhouettes. “The shoes are designed to be worn by athletes while they’re off

the field,” he says. Behind the design and development of the line is outdoor innovator Martin Keen, Earth’s outdoor/performance product manager.

“He’s done a great job of creating designs that can be casually worn to work on the Monday after a big weekend race,” Aznavorian says. Standouts include the women’s open-back REcharge in cherry red and the men’s REspond lace-up in navy, brown and black.

+ EASTLAND

Mary Brown, director of marketing for Eastland Shoe Corporation, says that as a 55-year veteran of casual comfort leather footwear, the company is a natural player in the rocker sole category. This fall, Eastland debuts the Solistic collection: six styles for women built

around the benefits reaped from rocker sole construction, such as reduced heel pressure and long-lasting comfort. But the sole is only one aspect of the collection’s entire package; Brown says it also offers extra toe room and a permanently contoured insole and footbed cushioning.

The assortment includes suede and leather clogs, casual sandals, and a slipon shoe in neutrals, red, olive and denim blue. “We’re investing in this category as a trend with staying power and opportunity.

Demand for contemporary footwear that addresses health and wellness concerns, as well as wide widths is only going to increase—especially as the huge boomer generation demographic ages,” Brown notes. And at price points between $60 and $70, she

Reebok

Ryn Earth 30 footwearplusmagazine.com • march 2010

Eastland

BEYOND THE BARE MINIMUM says the collection is a chance for Eastland to open the category to a larger consumer segment that has been hesitant to spend $100-plus on a pair of shoes.

+ MBT

Despite MBT’s longstanding focus on the athletic segment, Amy Dox, MBT’s West Coast regional manager, says the company is planning to roll out more fashionable styles for everyday, “morning, noon and night” wear.

“The technology has always been there, but in the past we may have fallen short in designing innovative, creative and different silhouettes,” Dox explains. The latest additions aim to fill wardrobe gaps, open the door for loyal MBT-users to collect more pairs and attract fashion-minded newcomers to the rocker bottom phenomena.

MBT is placing some of its weight into new boot styles. The Tenga for women is made with fine premium leather sleekly finished with two-tone details, while the leather pull-on Tisa debuts for men. However, Dox says MBT’s boot expansion is just a sliver of what’s to come and is not MBT’s

single pursuit. “Every brand is capitalizing on the popularity of boots.

MBT is never going to be a go-to boot company, but it is important to offer variety as products no longer fall into one bucket,” Dox notes. Nor will MBT become “a $100 brand,” she adds. MBT’s assortment of quality styles will continue into Spring ’11 with a sandal package Dox called “stellar and premium.”

+ ALEGRIA

After Alegria’s successful run with spring’s minirocker sandal series, it’s only natural for the sole to lay the foundation to the brand’s newest silhouettes. For fall, the Feliz—a ballet flat with an elasticized strap—is offered in 14 different prints, including metallic green snake, suede leopard and supple earthtone leathers. Alegria spokeswoman Donnette Ortel says the division of PG Lite is having fun with fashion, and the lower-profile rocker lends itself to more fashion-forward looks. “The mini rocker is modified and less extreme,” she notes. “It makes the Feliz a great silhouette for all occasions.”

Boots remain a bus-

Terry Stillman says one of Ryn’s key differentiators is its shoes’ ability to transform walking on a hard surface into feeling “like you’re on natural terrain.” Health benefits include reduced knee and joint stress, toning, and better circulation and posture. Stillman says Ryn wearers fall into many categories—the largest being women and men who want to get fit.

As a result, Ryn’s Sports and X-Run athletic styles are especially popular.

However, the brand is adding seasonal styles including an aggressive Fall ’10 outdoor range made with SympaTex, a waterproof material that Stillman claims outperforms Gore-Tex. While 2009 marked Ryn’s official Stateside debut, Stillman notes the company isn’t entirely new to the rocker bottom game. (Its shoes have been in production since 2002 and are currently sold in 22 countries.) He says the U.S. market is at least five years behind South Korea, where children are wearing Ryns, but he’s optimistic and confident in the brand’s longevity. “In 10 years, everyone will have some form of these shoes,” Stillman wagers. •

tling business for Alegria.

The latest—the Aspen shearling mini—is also built on the less bulky outsole and features the same “perfect-fit footbed system” found in all Alegria designs. Ortel notes the water-resistant and adjustable boot with butterfly embellishments is getting a great response from retailers. Carryovers like the Sedona pull-on boot get refreshed in funky paisley and animal prints, while the Sierra sweater boot is updated with a touch of suede floral print. At the core of Alegria’s largest collection to date is the Classic clog, a brand staple done up in 18 new colors for fall, as well as a new custom print inspired by the artist Frida Kahlo. Ortel calls the collectable style “a good attention-getter.”

For a bit of glam, Oretel says the company is adding bling to some buckles with clear rhinestones.

+ RYN

Poised to create a “new culture of walking,” Ryn is melding rocker bottom soles and its unique seven-layer air tunnel construction to create the effect of walking barefoot. CEO and director of marketing

Barefoot technology’s cult-like following has a street-ready and ecofriendly assortment to select from in Fall ’10.

Vibram FiveFingers

• As Vibram FiveFingers’ natural movement concept takes off, the brand is introducing renewable materials and non-leather alternatives to new and core styles. Tony Post, president and CEO of Vibram USA, says using recycled and reusable fabrics underscores the company’s minimalist philosophy. TrekSport makes its Fall ’10 debut with an upper fabricated from Coconut Active Carbon Fiber, known for top-notch durability and abrasion resistance.

The shoe has a bold athletic appearance with reflective details and a padded athletic collar. Like the existing KSO Trek design, it is built for high-intensity workouts. Post says the shoe sports an outsole, tread and snug closure system appropriate for rugged terrain, gym workouts and travel. In other eco-makeover news, 50-percent recycled rubber soles and SmartWool uppers change the face of Vibram FiveFingers’ original Classic style. The natural fiber fabric is designed to wick away moisture and contains antimicrobial and body temperature-control properties.

• For its second collection, U.K.based Terra Plana’s Evo performance shoe gets a seasonal makeover.

Founder Galahad Clark reports darker colors and a new water-resistant and warm interior to handle winter temperatures. “We’ve had an amazing response to the Evo launch,” he explains. “Now we’re re-interpreting

Alegria

it for year-round wear.” Along with

MBT

its strengthening and realigning benefits, Clark says Evo is a welcome addition to the category, as it is designed to be functional, fashionable and “worn like a pair of everyday trainers.” He says the Fall ’10 styles take on a “Chariots of Fire look” in black/yellow, dark blue/white and green/yellow/gray colorways. —A.V. march 2010 • footwearplusmagazine.com 31

w h at ’s s e l l i n g

comf ort retailers

Schuler Shoes

When The Shoe Fits

The Shoe Tree

As a descendent of one of the oldest familyowned shoe stores west of the Mississippi, this store—one of eight Schuler Shoes locations in Minnesota—has a rich tradition that dates back to 1889. The majority of today’s customers are women “35 to 100 years old,” notes owner John Schuler. Sales also get a boost from frequent doctor referrals. “They trust us,” he asserts. Schuler bought the business from his father in 1972, but his interest in footwear laid dormant until the ’70s when athletic and Euro comfort categories came into fashion.

“I’m comfortable with comfort footwear,” he says, admitting high fashion isn’t his thing.

“Comfort has come a long way in the last 15 years,” says owner Alan O’Hara, although he wishes companies would improve the quality and “ahh” factor of their insoles. After 12 years buying footwear for Nordstrom, O’Hara opened his own store in 2004—just as he says department stores began refocusing on fashion styles. Comfort remains a top priority, but O’Hara admits the keys to success are styles that take care of foot problems while looking good. “Eight-five percent of our customers are women. They want to look great, so we look for a compromise that will please doctors and the wearer,” he adds.

“Comfort footwear chose us,” states general manager Keric Rowlee. Located in a relaxed beach town, most of the store’s clientele wants their shoes as cushy as their seaside lifestyle.

However, products must offer quality and customer service cannot be lax, he says: “We don’t just hand out shoes.” Staff members are trained to measure feet, work closely with pedorthists to find perfect foot-and-shoe combinations, and choose from an inventory with something to satisfy all tastes—including trendy styles for teens. “We get a lot of families during the summer months, so we try to have something for every age,” Rowlee notes.

Top brand: New Balance.

Top brands: Brooks, Keen and Merrell.

Top brands: It’s neck-and-neck between SAS and New Balance.

Best-selling women’s styles: New Balance’s 845 and 927 leather walking shoes.

Best-selling women’s styles: The 1123 New Balance trainer, Merrell’s Encore slide, and clogs by Dansko and Sanita.

Maple Grove, MN

Best-selling men’s styles: Rockport’s World Tour classic moc-toe oxfords. The style is a go-to shoe for everyday wear.

Top fashion comfort brands: Söfft and Think!

Most popular colors: It’s always black, but people do want variety. Metallics are new neutrals, and fun colors do well in the spring.

Best new brand added in the past year: I’m pleased with FitFlop.

Vancouver, WA

Best-selling men’s styles: Brooks’ Beast running shoe and Keen’s Briggs lace-up.

Top fashion comfort brand: Think! for its great footbeds and terrific materials.

Biggest disappointment: Vendors selling directly to consumers online. It’s frustrating to actively promote a line, be told a style is on backorder and then find it on their web store.

Best new brand added in the past year: Naot.

Biggest disappointment: It’s not the vendors’ fault, but sometimes we’re too early with a trend or style. Just because we hear it’s popular on the West Coast doesn’t mean it will win over Minnesota consumers.

Projected top brand in 2010: New Balance.

Best-selling accessories: New Balance, Aetrex and Birkenstock inserts.

32 footwearplusmagazine.com • march 2010

Most popular colors: Black and metallics, but spring colors make the store look good.

Projected top brand in 2010: Keen, because they offer styles that fit the Pacific Northwest lifestyle. Plus, we’re capitalizing on the closure of some local outdoor big-boxes.

Best-selling accessory: SmartWool socks.

Pismo Beach, CA

Best-selling women’s styles: New Balance’s 845 walking shoe, though Classic Ugg boots are a hit in the winter.

Best-selling men’s styles: New Balance’s 845 walking shoe.

Biggest disappointment: The comfort category is still missing style. It can get pretty frumpy.

Most popular colors: Red and purple are still hits with women. Metallics are a good alternative to black and brown and coordinate with most clothes.

Projected top-selling brand in 2010: Maybe not in dollars, but Vibram FiveFingers has a cult-like following. They’re the most in-demand shoe.

Best-selling accessories: Lynco over-thecounter insoles. We also have a good beach bag business. —Angela Velasquez

THIS JUST IN

Penelope Kranitakis, 37 Athens, Greece Wearing: Steve Madden.

What shoes go with this legwear? Combat boots, ankle boots, thigh-highs, slouchy boots.

Is this strictly a winter fashion statement? I’ll wear them this spring. They’re easy to wear.

Have leggings taken over the skinny jeans trend? Yes. I think they’re just more comfortable.

Michelle Tse, 19 Toronto Wearing: Nine West.

What shoes wouldn’t work with this look?

Running shoes.

Is this strictly a winter fashion statement? No, I love patterned stockings year-round.

Have leggings taken over the skinny jeans trend? I wear both pretty liberally. I think they make legs look skinnier.

Susanne Wand, 21 Düsseldorf, Germany Wearing: Steve Madden.

What shoes go with this legwear? More casual styles. You can combine it with something more elegant.

What shoes wouldn’t work with this look?

Peep-toe booties.

Have leggings taken over the skinny jeans trend? I don’t think so. Jeans will never be replaced.

Maria Rybakova, 20 St. Petersburg, Russia Wearing: Steve Madden.

What shoes go with this legwear? Boots, maybe flats.

What shoes wouldn’t work? Sneakers.

Is this strictly a winter fashion statement? No. Tights are a nice accessory to add to skirts and dresses.

Where do you find cool tights? Anthropologie or Express.

Bianca Bailey, 25 Washington, DC Wearing: Chris Kane for TopShop.

What type of shoes go with this legwear? Really high heels. They’re versatile, though.

What did you choose first today, your shoes, apparel or legwear? I threw these leggings on this morning because I’m running a lot of errands today. They’re surprisingly warm.

Boot Legs

Ladies draw eyes to their gams in tights and leggings, from funky to chic. By Dorothy Hong march 2010 • footwearplusmagazine.com 33

Isis sits pretty with Indigo by Clarks’ heeled desert boot.

NO BONES ABOUT IT : OUR FALL ’10 PICKS IN THE COMFORT CATEGORY ARE POISED TO BECOME MAN’S (AND WOMAN’S) BEST FRIENDS.

PHOTOGRAPHY

BY MICHAEL BRIAN

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Dogs trained by Tyson Kilmer and supervised by T.J. Robinson. Fashion editor: Melissa Knific

Bernardo’s crepesole heeled desert boot has Zeus salivating.

Opposite: Cordani’s lace-up clog soothes weary pups like Rufus.

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Rockport hikers are Winston’s perfect fit.

Opposite: Martino’s cherry patent leather desert boot has Chouka licking his chops.

39

Schutz ponyhair bootie. Opposite, from top: metallic bootie with chain detail by Sergio Zelcer; Tracy Reese mesh pump.

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Mr. Pickles plays hideand-seek with a zippered clog by Kork-Ease.

Opposite, top to bottom: Birkenstock’s thong, a metallic bootie by Helle Comfort and Gentle Souls

by Kenneth Cole’s boot with back lacing are treats for the feet.

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Expect in-store quibbles and fits over Thierry Rabotin’s plum boot with elastic detail and Rieker’s suede bootie.

Opposite: Chester finds Aetrex’s Mary Jane the perfect catch.

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Shoe Salon

Designer Chat: Suecomma Bonnie

44 footwearplusmagazine.com • march 2010

Clockwise from top left: Chocolate Blu ballet flat with bow; engineer boot by Franco Sarto; Marc Joseph New York pump; Contessa by Italian Shoemakers mule; cut-out bootie by Sergio Zelcer; hidden platform pump by Schutz.

E D I T O R’ S P I C K S

Stud Finder

Designers minimize their metal addictions.

suede platform with a cascading leather overlay. Lee’s hope is that each style will have a handmade feel, attracting “someone who is looking for a special shoe that makes them feel special and believe it.”

choose an outfit, and I remember it when I am designing.

Who is your customer?

A woman who cares about herself, no matter what age.

Describe a shoe we would never see in your line.

One that uses the logo or brand label openly.

Where do you look for design inspiration?

People on the street, my travels to anywhere exotic or my daily outfit. I’m always thinking about what shoes I want to wear when I

What would people be surprised to know about you?

That there’s a good designer who comes from Korea. —Melissa Knific

What shoes could you not live without?

Stilettos!

EDITOR’S PICKS PHOTOGRAPHY BY NEAL BRISTON

KOREA ISN’T NECESSARILY known as a mecca for up-andcoming designers, but Bo Hyun Lee (who goes by “Bonnie”) has found her place. In 2003, she launched Suecomma Bonnie in Seoul, Korea. “I was always looking for something different,” she says about the footwear shopping experience in her resident country. “I couldn’t find the right one in Korea.” Lee decided to give it a go and create her own line; she proved successful, opening 12 stores in Korea under the luxury dress label. Suecomma Bonnie can also be found overseas at top-tier retailers, such as Takashimaya and Bloomingdale’s, everywhere from Japan to France.

Recently, Suecomma Bonnie made its way into the U.S. market via New York’s Sole Commerce.

The high-end line incorporates luxury materials from Italy and Spain, giving the collection a $300 to $1,500 price range. For Fall ’10, Lee made a statement with embellishments like Swarovski crystals, metallic studs, heavy stone ornaments and large flower corsages, as well as pops of electric blue and hot pink against a mostly black and metallic palette. The collection largely comprises sky-high stilettos and platforms, but the designer made sure to add in a few flats as well.

Highlights include a black satin platform with a bright blue silk flower, a silver kidskin multistrap ankle bootie, a black slingback with a gold heel and studs, a black suede and satin bootie with crystals and studs on each strap, and a beige

ATHLETIC COMFORT DRESS KIDS OUTDOOR WORK

Back in Business

Caressa returns with better quality, sizing and retail incentives.

THIS IS NOT your mother’s Caressa. After building its niche in the ’80s and ’90s in the affordale retail sector ($79 was its kill zone), then fading for about five years, the brand is relaunching for Fall ’10 under the guidance of Nashville, TN-based Graves Imports, a longtime first cost producer marking its first entry into the branded footwear business. This time around, look for a higher quality line featuring casual, dress and tailored styles, with retailer-friendly incentives like an open-stock program on select shoes and an extensive sizes-andwidths program. Amy Hester, vice president of sales, credits Caressa’s new factory, Stella Holdings. “[It is] regarded as being one of the top in all of China,” she says.

Caressa’s suggested retail ranges from $110 to $130 (boots run $160 to $280). Design highlights for fall include plenty of buckle and stone ornamentations in a neutral-heavy palette. A diverse array of heel heights in pump, boot and casual silhouettes appeal to the brand’s target age range of 25- to 45-year-olds, according to Hester. She reports that Caressa’s signature “pierced” package—a boot, bootie and pump featuring a gathered back with a half-pin closure—had a particularly strong response at recent trade shows. Many styles are sheepskin-lined and all feature a patent-pending flexible sole comfort system. “Our shoes are not only fashionable but also comfortable,” Hester maintains.

According to Linda Pettinato, the brand’s northeast sales representative, the Caressa consumer is “a fashionable, working woman [whose] shoes go from day to night.” While she might not lead fashion, Pettinato says she knows what is on trend and looks for comfort at a great value.

At FFANY and Platform, “A lot of [buyers] who knew the old Caressa line were presently surprised by the look of the shoes,” she says. Caressa hopes to build on the buzz and is targeting department stores as well as independents.

As for trying to launch a new brand in a stingy retail environment, Hester takes the glass is half full perspective: “The only place we have to go is up,” she says. “While it’s the same name, it’s a totally different brand: beautiful shoes that are also comfortable.” —Del-Ann Henry 46 footwearplusmagazine.com • march 2010

London Revisted

Sacha London makes a comeback alongside two sister labels.

IT’S A LONG and messy story of why Sacha London nearly disappeared from U.S. stores over the past few years, says Jerry Friedman, vice president of Sacha London USA. Here’s the abridged version: About five years ago the 30-year-old, well-respected fashion label entered into a licensing deal in the U.S. that quickly imploded.

A nasty legal fight ensued, the Spanish brand’s New York showroom closed and, worst of all, the brand stopped shipping to U.S. retailers.

“It took two years to clean up the mess following the two-year disaster,” Friedman says. “Sacha London was still selling in Europe, but the States had taken a backseat.”

Friedman, a 30-year industry veteran, says the brand is back in the driver’s seat. He came on board seven months ago, new U.S. sales reps are in place and Sacha London reopened its Big Apple showroom during the recent FFANY show. And in addition to reintroducing Sacha London, the company is also launching two new labels: Valdini, a line of men’s and women’s weatherproof fashion boots, and Sachelle, an edgier fashion colletion targeting a younger consumer than Sacha London’s.

In regards to Sachelle and its more playful aesthetic, Friedman credits the brand’s young Italian designer for introducing a roundedtoe characteristic that will help the brand stand out on store shelves.

The fall color palette consists of deep hues, with twilight the leading shade. Friedman adds that the comfort factor is a key element because Sachelle’s target customer is a career woman in her late 20s who wants to pair designer jeans with cute, comfortable footwear for a night on the town. “That’s exactly what she will find in the Sachelle collection,” Friedman maintains, noting the Euro-comfort construction features plush linings and flexible soles. (The brand sources components in Europe and produces the shoes in China). The all-leather line, with suggested retail prices between $90 and $150, includes a range of options, from flats to booties to tall-shafted boots.

Friedman describes Valdini as a bonus brand, since Sacha London’s Canadian distributor has been selling it for about five years. “When I stumbled upon this brand, I immediately thought it would be a great product for the States,” he says. According to Friedman, Valdini offers excellent quality—seen in its soft nappa leathers, sealed waterproof constructions and great styling for all age groups—at truly competitive price points ($90 to $200 retail).

As for Sacha London, Friedman believes there’s an existing relationship that just needs to be renewed. “After exhibiting at four shows, I can say that the response has been unbelievable,” he says. “It’s amazing how many customers say they still have a pair in their closet.” Specifically for fall, Friedman says the line features plenty of sturdy heel shapes, providing better wearability in a fashion brand.

Overall, Friedman believes the market is hungry for newness and the new Sacha London USA meets that demand. “Independent retailers, especially, are biting for something new in order to bring the consumer back into their stores,” he asserts. But value is key with today’s consumer: “They are looking for quality and affordability and shoes they can get a lot of usage out of. It has to be comfortable and stylish.” —D.H.

ATHLETIC COMFORT DRESS KIDS OUTDOOR WORK

Warming Trend

Snow Sneakers

PERHAPS IT’S A sign of our warming times. Khombu, the official après footwear provider to the United States Ski and Snowboard teams, is expanding from its roots in technical winter footwear to become a year-round brand. The brand’s 2010 collection includes an expanded collection of third- and fourthquarter traditional weather boot business as well as new spring counterparts, such as functional rain boots, men’s hikers and children’s water sandals.

“This was a natural progression of our fashion-weather product and is unique in the marketplace,” Khombu director Matt Itzkowitz says. “We’ve put a lot of emphasis on value by packing a lot of features and benefits into our line. For example, our rain product has Poliyou footbeds for comfort, moisture and fungal control. And our keystone-plus-plus pricing structure makes us an attractive alternative.”

Itzkowitz believes the time is right for Khombu to make the yearround leap. “As the economy tightened last year, our brand became a go-to for many retailers, and we feel that our approach to value, performance and quality couldn’t come at a better time,” he says. “Khombu serves both the retailer with margin and the end consumer with extremely competitive product. Our consumers have a strong comfort level with the brand and want to have the option to purchase Khombu items year-round.”

To help accomplish this expansion, the company is moving its headquarters to Canton, MA, which will allow it to expand its adult’s sales team as well as create a specialized sales team for its children’s product, which Itzkowitz says is key. “It’s a distinct and innovative line, and our goal is to give it the resources to develop and grow on its own.” Itzkowitz describes the kids’ collection as fun, colorful and parent-friendly— meaning it offers easy-on/off; waterproof, cold-rated styles; and competitive prices. “While we’re priced below our competition, we’ve been very careful to offer the same—or in many cases, more—benefits to the consumer and a long margin to the retailer,” he asserts.

Overall, Itzkowitz views Khombu as a “hidden gem” within the industry and is bullish about the brand’s future. “Our heritage is in the outdoor market, but it’s exciting to see dealers and consumers [realize] the mainstream reach our brand has because of the fashion and style we are bringing to the category.” —Greg Dutter

IT WAS BECOMING too common an occurrence: When Tom Berry, vice president of sales, marketing and merchandising for Tecnica, would hit ski areas for a little market research, he’d see many young adults trudging to and from the slopes in old-school kicks like Converse All-Stars, Nike Dunks and Vans slip-ons. When Berry asked the obvious question—Why put up with soaking wet and freezing feet?—the snowbunnies gave it to him straight: No one was making cool-looking boots. “They almost always gave the same two reasons: Style is the priority over performance, and the winter performance footwear currently offered wasn’t meeting their needs—they aren’t hunting, camping or snowshoeing,” Berry says. “But they did say that they wanted to be warm and dry.”

Enter No Stop by Tecnica, a collection debuting for Fall ’10 that combines heritage sneaker styling with protection and warmth for cold and snowy conditions. No Stop features Tecnica’s breathable waterproof TecniDry membrane and PrimaLoft insulation. Designed with a leather and fabric upper with a plush lining, other features include a dual-density bottom unit with an EVA midsole for comfort and lightness, an Ortholite antimicrobial comfort insole, and a Winter TecniGrip rubber compound outsole. “The benefits are driven by our consumers’ needs: [It’s] warm and dry—but not too warm for everyday winter—it has grip on snow and ice, and offers all-day comfort,” Berry says. “And the look is one part old-school, one part skate and one part heritage collection, pulled from Tecnica’s archives.” Suggested retail ranges from $110 to $130.

Berry believes this is a market segment that has been simply overlooked. “It is a pretty enormous niche—every 16- to 26-year-old living or visiting any place with winter weather is a pretty big market by any measure,” he says, noting that sneaker and outdoor companies sometimes miss the consumer’s point of view. “Because Tecnica has been the leader in the aprés-ski market for 40 years, this ‘after ride’ consumer and the crossover to young street consumers needing warm and dry footwear was easier for us to spot.”

Buyers’ reactions at the recent round of trade shows were “polar,” Berry reports. “There were only two responses: The first was ‘Perfect, how come we haven’t seen this before?’ And the second was, ‘No way, that’s not our consumer,’” he says. And while Berry was pleasantly surprised by how many retailers had the first response (often new categories are greeted with a good deal of resistance, he notes), he believes the naysayers are simply missing the boat. “The bottom line is that if they have any 16- to 26-year-old winter consumers, then they have this customer. He is just buying his shoes someplace else.” —G.D.

Khombu expands collection to include year-round styles.

48 footwearplusmagazine.com • march 2010

No Stop by Tecnica blends skater style with cold-weather protection.

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Outdoor Couture Fall collections showcased at Outdoor Retailer show up the fashion ante.

Historically, the Outdoor Retailer show in Salt Lake City has been strictly a granola fashion and rugged outdoor scene. Think lots of hikers, mocs, clogs and trail runners and you pretty much get the gist. Similarly, many of the attendees follow suit in their head-to-toe show attire. For the guys, it’s scruffy jeans and pullover tops consisting of some kind of techie performance ďŹ ber. (Many are also schlepping around stuffed-to-the-gills backpacks—just what are they carrying around?) As for the ladies, aside from the occasional prairie skirt, the look has been quite similar to the men—minus the stuffed backpacks.

That’s why it was so surprising to see the dramatic fashion shift among attendees at the recent show, especially among the women. The oor saw an inux of last fall’s popular sleek, tall fashion boots paired with skinny jeans, and a surprising number of buyers had designer handbags slung over their

arms. (I felt like I was in Vegas at times‌) Likewise, many of the footwear brands on display offered expanded collections in what could be labeled as an emerging “outdoor coutureâ€? segment. Exhibitors reported that outdoor specialty retailers are looking to expand their assortments beyond their performance and crunchy-hippie fashion cores. This consumer is already shopping their stores for performance needs so why not entice them with a little fashion as well? More importantly, these retailers view the addition of fashionable styles as a way to spark more frequent purchases among their clientele because, as most would agree, hiking boots can last far more than a season or two and never really go out of style.

With that logic in mind, pictured above is a smattering of women’s “outdoor couture� styles available for Fall ’10. —G.D.

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ATHLETIC COMFORT DRESS KIDS

Tecnica celebrates 40 years of the iconic moon boot with junior ($85) and mini ($70) versions featuring a nylon upper, polyester lining and a cellular rubber outsole.

The waterproof Bugaboot ($60) features Columbia’s new Omni-Heat thermal reflective lining for extra warmth without the bulk.

Woolenstocks pretties up its rubber outsole, waterprooftreated suede boot ($70) with shearling lining, faux fur touches and embroidery.

OUTDOOR WORK

The waterproof Condor ($45) from The Original Muck Boot Company has a hook-and-loop closure, flex-foam construction and cork-cushioned footbed.

Rocky’s suede leather Blizzard Stalker ($80) is fully waterproof and offers 1,000 grams of insulation and excellent traction.

Sorel’s Tivoli collection ($70) offers the versatility of a sneaker and the protection of a snow boot in a light, sleek package jazzed up with fun patterns.

Primigi’s rain boots ($50) go above the call of duty with a removable fleece liner for yearround wear and reflective patches to keep kids safe.

MUCKING AROUND Boots made for splashing and sporting come rain, snow or sleet.

Little Originals

Clarks brings its iconic favorites to kids.

THIS FALL, CLARKS is taking down its Originals—starting with its popular Desert Boot and Wallabee styles—for first-walkers and youth. According to Geoff Pedder, U.S. director of Clarks Originals, the company has debated doing kids’ Originals for some time. Despite the popularity of these iconic shoes, they are primarily fashion items, he explains—and that clashes with Clarks’ positioning in the children’s market as a brand focused on fit.

But not only does the current fashion direction toward classic, authentic styling beg for this entry, Pedder says Clarks allayed its own concerns by thoroughly addressing the fit of the children’s versions, widening the lasts and tweaking the components to benefit growing feet. For example, Pedder notes the Wallabee’s signature crepe outsoles were changed to a molded rubber with a similar look. “Crepe is pretty grippy,” he explains. “We don’t want kids to be running around and falling over [due to the outsole].”

The kids’ Originals will come in first-walkers through junior sizes (5.5 to a youth 3), retailing for $50 to $65. The line will sell through the 40 Clarks retail stores that offer children’s product as well as major department stores, specialty chains and independents.

Pedder says Clarks hopes to add other Original styles to the children’s as50 footwearplusmagazine.com • march 2010

sortment in the future. “I think some of our women’s sandals would look very cute as kids’ shoes,” he muses. This category also gives the design team an opportunity to play with color. Beyond the traditional natural colorways, the debut collection also includes a plum Desert Boot.

While Pedder notes parents frequently head to Target to get shoes for their kids, he believes there is a consumer willing to pay a little more for premium footwear. Baiting them with go-to styles is one strategy, but Pedder says word-of-mouth accolades are key: “In the U.K., Clarks has a very established reputation as being a reliable source for kids’ shoes, in terms of fitting and what we offer... There’s a big trust factor that goes along with kids’ shoes, and we have to build that up [in the States.].” —Leslie Shiers

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Q&A • continued from page 17

stores, then we will grow the brands to be profitable. Once we reach that level, we will focus on delivering our customers new products and offer excellent service that hopefully allows us to stay there.

What’s your take on the overall retail market for the rest of 2010?

I don’t think the recession is over by a long shot. But there are signs of an improvement. Again, retailers have to look within in regards to their mix and figure out what is drawing consumers to their stores compared to their competitors. The biggest thing that has happened over the last couple years is that consumers have changed their buying habits. They use to have a buy-now, wear-later mentality. But with the economy the way it is, people now want to buy goods in March to wear in March.

Retailers haven’t caught up to that shift yet.

The majority are still bringing in products early, and because consumers aren’t buying then, they wind up marking them down and subsequently losing margin. Then they are going back to the wholesalers to make up some of that lost margin, which hurts manufacturers. Discount retailers are benefiting because they get the closeouts and sell them in March, when the consumer actually wants to buy those seasonal goods. That’s why those discounters’ stock prices have gone through the roof over the past year and a half.

Babson College on a feasibility study, aggressively seeking to do just that. We are probably going to start with our diabetic brand, because relatively it’s not a huge volume and it’s a simple construction, where we believe we can source 99.9 percent of the components in the States.

You’ll save on the costs of shipping and have shorter lead times, but won’t it all be cancelled out by paying for American labor?

The real reason manufacturing left was that the process became so ancient. The factories within the United States wouldn’t modernize because the unions were trying to protect jobs. Those jobs are now all gone. If you dramatically change the process, then you dramatically change the number of employees. And when you do that, you dramatically impact the cost structure. So our labor costs would be way down.

“I believe companies need to start looking at manufacturing elsewhere—like in the Unitd States. We are aggressively seeking to do just that.”

Sounds like a common sense analysis. Why is this problem not being addressed more?

As an industry, we are usually slow to react, and human nature is to be against change. But in my opinion, those retailers and wholesalers that react to these changes will be the most successful in the short term and probably the ones that last in the long term.

How do you buck the system, considering that a lot of brands offer price incentives to retailers that commit early?

I think you start by saving a portion of your buy for goods shipped later in season. There’s no reason to go to extremes. Instead of bringing all of your sandals in by January, bring some in March and see what happens. The key for retailers and wholesalers is margin, and right now our margins are getting killed. But we are trying to force consumers to purchase the way we purchase as an industry, and it’s not translating. Consumers are saying no.

The other part of the problem is that everyone is manufacturing in virtually in one place: China. The demands that are being set by where we manufacture is causing the cycle to become longer and longer. It’s our job as wholesalers to try to change that cycle as well. While we may not be able to change the 120- or 90-day cycle, what we need to change is when we offer certain products. Maybe trade shows become a little more of an in-season as well as a futures opportunity. I think many of the companies that are doing well today are ones that offering open-stock programs. I also believe companies need to start looking at manufacturing elsewhere—like in the United States.

There are so many advantages to such a shift. We are currently working with

You sure are presenting some bold ideas.

Would you describe yourself as a rare optimist among a crowd of pessimists?

I’m absolutely an optimist. I think that 2010 can be a very positive year for the footwear industry as a whole. We have to step away from sameness, get back to being creative and look for opportunities that are unique to one’s company. The more uniqueness and the more opportunistic development that happens, the better off we will all be down the road. For our own survival, we have to all look at the positives and help each other as an industry. We need to come together to find ways for all of us to be successful long-term.

What are some of those positives?

There are new opportunities in the marketplace—like the health and wellness category. We just need to figure out how to present it to the consumer effectively. There are also new products retailers need to give more attention. There are brands that are fresh but don’t have a lot of money, so they aren’t getting the view time that maybe they deserve. And like I mentioned, wholesalers and retailers have to work on the timing of products so we can maximize margins.

The other big positive is that wholesalers have to understand it’s a global marketplace today, and it’s smaller than ever before. If you are trying to do business solely in the U.S., it’s going to be very difficult without spending a ton of money. Sometimes you can go outside of the U.S. and bring demand back to this market.

What do you love most about your job?

I love being an entrepreneur. I love the fact that every morning I get to sit with my partners and do virtually anything we can to make our business better. This also allows me to be in close contact with my retailers, and I love talking to them about their businesses. I have worked alongside many good people in my career and I utilize that experience every day. When I visit retailers, it isn’t just about my products; I also talk at length on ways we can improve the business overall. •

made you look å

Touring Zappos Limitless energy makes this e-tailer’s alternative culture special—but it’s not for the easily distracted.

By Leslie Shiers AFTER ENTERING ZAPPOS’ Henderson, NV, headquarters, my first stop is the restroom—a pitstop that gives me a first hint of why there’s so much hype surrounding the company’s workplace. A mural of fluffy clouds covers the walls, glow-in-the-dark stars spackle the ceiling and the air in between reverberates with classic rock tunes. Back in the lobby, the cheeriest receptionists I’ve ever encountered are greeting my fellow tour-takers with chilled bottles of water for the journey.

The writer in CEO Hsieh’s Zappos tours happen several times a day, as people from chair—he didn’t mind. around the world swing by to check it out and perhaps suss out the reasons for the e-tailer’s success. I’m in the company of about a dozen others from a variety of businesses. Our Zappos Insights Culture Guide, Jonathan Wolske, doesn’t mention any of the numerous trophies and plaques on display in the lobby, but he does point out a glass case containing the Airwalk sneakers that Nick Swinmurn couldn’t get at a Track ‘N’ Trail store in January ’98, which sparked his idea for a shoeshilling website.

Behind closed doors, Zappos’ inner workings could be mistaken for a college dorm.

Each department has a theme (the legal team sits in the “Hall of Justice,” while the marketing department has a traffic motif) and decorated with all kinds of artistic flair—from hand-scrawled construction paper posters to ornate collages (including a shrine to Rick Springfield). It’s clear the team is encouraged to turn their cubicles into their home away from home, but five minutes in, I’m feeling a bit overstimulated. In a hallway filled with photos and data on Zappos’ Kentucky distribution center, Wolske notes that facility is an “organized chaos” of—on that day—4,048,881 shoeboxes, a description that sums up the office as well.

CEO Tony Hsieh’s philosophy on corporate culture is well documented (the company’s core values can be found online), and I’d heard the executive team makes a point to sit in the trenches rather than in offices. However, I wasn’t picturing “Monkey Row,” a lane of cubicles under a tangle of faux jungle vines. Onetime merchandising exec Fred Mossler, who now goes title-less, is there juggling phone calls, and Hsieh himself passes by—more than business casual in a sweatshirt and jeans—toting a stack of cardboard boxes.

Each department happily greets our tour with a loud whoop or brief musical acknowledgement (squeaking bike horns, jingling cowbells, etc.) as we wind through the product development, user experience and buying departments. A computer screen displays a live map, showing what people are buying and where in real-time.

And then we hit the customer loyalty team’s area, where Zappos call center staff might spend hours entertaining patrons’ conversational whims, complaints and more. The employees are encouraged to go the extra mile—by sending flowers if a customer mentions they’re buying shoes for a funeral, for example, or mailing a personalized thankyou card if they make a real connection with a caller. “The customer is just blown away,” Wolske says. “Those small gestures can really make a difference.”

Between the various potluck spreads, photos of crazy company parties, free ice cream in the cafeteria, a nap room and the excitement of vendors dropping in to show their lines in secluded (but also themed) meetWith themed ing rooms, Zappos’ non-corporate atmosphere definitely supports its areas and high reputation as a fun place to work. And with its sales record showcased action, Zappos’ where every visitor can see—$7,858,448.42 on Oct. 14, 2009—it’s clear HQ is not your typical there’s a true legitimacy to the madness. • office space.

PHOTOGRAPHY BY LESLIE SHIERS AND COURTESY OF ZAPPOS

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