While Michael Kors brand has been struggling with overexposure that’s resulted in uninterested shoppers and slumping sales, Jimmy Choo is a footwear darling. Michael Kors confirmed $1.2 billion purchase of luxury shoe brand Jimmy Choo. The coveted, high-end, red-carpet-friendly brand will certainly give Michael Kors the much-needed reputation boost in fashion space.
It’s part of a larger strategy and this will not be the last acquisition for the company, which he hopes to turn into a ‘luxury group,’ said Michael Kors CEO John Idol. Coach will be the first New York-based house of luxury lifestyle brands, with Kate Spade joining the brand says Coach CEO Victor Luis.
While brands like Stuart Weitzman ,Kate Spade and even Jimmy Choo fall short of the names in LVHM and Kering’s portfolios, the budding empires of Michael Kors and Coach are battling for a different type of customer.
As Coach reportedly tried and failed to buy British heritage brand Burberry late last year, it is a guess on who will be the next acquisition in the war between Michael Kors and Coach to become the great American luxury conglomerate.