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Wednesday, 27 February 2008

Google Answers: JUICY COUTURE



We found these posts on a "Google Answers" discussion board about Juicy Couture. It was an interesting read, and we thought you might like to read it, too!

QUESTION: We want to know how the two women of "Juicy Couture" (Pam and Gela) got their business off the ground. We know that they were not or iginally fashion designers and we would like to know how they got financial backing and how they got their designs made without a background in textiles, sewing, etc. How did they start their business?
This is about all we could find about the start of their company:

"Whatever excesses of fluffiness the two might indulge in, there is nothing fluffy about their work ethic. When they started off, Pam was a milliner who made press-worthy but unsellable hats, and Gela was a pregnant actress living in a one-bedroom apartment with her first husband, the musician Chris Nash. The two—who met while helping their friend Tracey Ross at a shop—collaborated on a line of maternity jeans and shirts called Travis (for Gela's now-teenage son). They got out of the maternity racket after a catsuit they designed in red, white, and blue was recolored by a chain of stores in yellow, tangerine, and lime-green ("hot dog on a stick," recalls Pam). The ugliness was too much to handle—"It was our biggest order; that was it, we had to get out," says Gela. Seven years ago, they started Juicy Couture, to make the clothes they wanted in their closets but couldn't find anywhere else: a non-vulgar scoop-necked T-shirt (Pam is a 32 D), a saucy tennis skirt, jeans that fit skinny curves. Th ey had $200, Gela's apartment, and a cleaning woman to help with the shipping (she now runs their warehouses). "My single girlfriends always ask me how to start a business," Gela says. "Men tell them they have to go to a bank, do a business plan, borrow $60,000 to $100,000. If I'd started a business $60,000 in debt, I wouldn't have been able to get up in the morning. We learned from our experiences, and we were lucky." " We weren't lucky," Pam says. "We worked our asses off ."

While that information is a start, it hardly gives any details about how they got started and how they got their designs made or even how they knew how to design. Every article about the company just lists all the celebs that wear their terrycloth sweatsuits. We know they had a maternity line and we are more interested in info about their current line but would not neglect early learning experiences with their maternity wear. I guess really early interviews might help as well.

I poured through article after article about Juicy Couture, going through several databases and finding virtually nothing about the early business financing of Juicy (formerly Travis Jeans) until I finally hit upon one article from the The Times in London. Unfortunately, it is in the Proquest Database (which you may have access to in your local library) and copyright restrictions prevent me from copying the article here. Therefore, I have provided a summary of the article below, along with other relevant articles and information about the origins of Juicy Couture:

An Overview of the Company, it's origins and early financing:

From Proquest: The women who made velour cool; [Final 1 Edition] Grace
Bradberry. The Times. London (UK): Apr 11, 2003. pg. 6

Summary:

Gela Taylor and Pam Skaist-Levy launched their business from home, starting off with $200. Though friends urged them to formulate a business plan and take out an $80,000 loan, the two women were rejected both suggestions. They were adamantly against borrowing money, noting that an $80,000 debt would not have allowed them to sleep at night. Instead, they had a revolving line of credit which permitted them to borrow and pay back their credit lines to zero so they did not assume outstanding debt. The women took their profits and continuously put them back into the business. Neither woman took a salary for the first two years.

Starting in the niche maternity jean market gave them the opportunity to start with an item of apparel that was neither seasonal or likely to falter due to decreased need. The market was narrow enough that they were permitted to learn from their mistakes on a small scale.

When the women launched Juicy Couture, they also started with another basic staple - the t-shirt - which they cut to fit a women's figure in a flattering and sexy manner.

One of the keys to their success, they believe, is designing clothing lines that do not fall out of fashion. They keep their brand strong by limiting sales to a select group of stores. While celebrity customers have certainly helped to drive the brand, the pair note that their items were selling out before the big names sported their label.

While the velour tracksuit is a huge success, they are quick to point out that it is not a new concept. The materials and cut of their designs are different, but it is simply their own spin on an item that has always been popular due to the comfort and functionality. Noting that most every person would love to be able to step out in their pajamas, the Juicy brand reconfigured the tracksuit with cut and color to make the item of sportswear more presentable.

Liz Claiborne is the current owner of Juicy Couture, having recently bought out 100% of the stock in Travis Jeans, which owns the assets to Juicy.

From "Juicy Couture: packed with Vitamin See," by Caitlin Ingrassia.
The TimesHerald-Record.

"Juicy Couture began in 1994 after friends Gela Taylor and Pamela Skaist-Levy shared their desire for the perfect T-shirt - a modernized version of a man's V-neck, with a better fit. Sensing a need in the market, the two took to their sketch pads and sewing machines and designed a dozen tight little tank tops."

The following articles are available on the Highbeam Research site. You may access the article if you want by taking out a "free, 7-day trial" at http://www.highbeam.com/library/index.asp

Since no portions of the articles can be copied I have summarized them below:

From "They've got the juice. (Pamela Skaist and Gela Nash and their women's apparel business, Juicy) Los Angeles Business Journal; 1/27/1997; Kanter, Larry.


At the time the article was written, the business was located in an industrial business park in the northeast section of the San Fernando Valley. Large bolts of fabric and boxes of t-shirts awaiting shipment cluttered the office, according to the writer.

Skaist and Nash originally started their business designing maternity jeans under the Travis label. The simple design consisted of an oversized pair of jeans with the waist replaced by an expandable cotton panel. The two followed up with a line of lace nursing bras.

The duo then shifted their talents to re-designing the basic v-neck t-shirt under the label Juicy, using various fabrics and restyling the cut so it was more form-fitting to a women's body. The t-shirts sold in the range of $21-$30, with sales reaching approximately 1 million at the end of the first year.

At the time of writing, all of Juicy's clothes were, according to the label, "made in the glamorous USA". According to Nash, the two wanted to keep manufacturing within the country. Rather than employing teams of market researchers, the women prefer to operate on their own instincts, creating comfortable clothes they would wear themselves.

Some facts about Juicy:

Year Founded: 1994
Employees in 1994: 2
Employees in 1997: 8
Sales in 1994: $1 million
Sales in 1996: $5 million

From "Tee for Two: Designers Gela Nash-Taylor and Pamela Skaist-Levy hit it big with their colorful, form-fitting Juicy T-shirts.(Style)(Brief Article) People Weekly; 11/6/2000

Summary:

In order to create their curve-hugging t-shirts,($30 to $60), the two took a Hanes T-shirt and cut it to fit in sexy manner.

The following summary is from a 2003 interview in Women's Wear Daily, one month after Juicy was bought by Liz Claiborne Inc. The article is also available on Highbeam.

From "Juicy's New Squeeze: Claiborne."(Interview). WWD; 4/17/2003;
Jones, Rose Apodaca

Summary:

Pam Skaist-Levy and Gela Taylor currently remain co-presidents while Claiborne's owns 100 percent of Juicy Couture. The buyout is allowing them to finance additional product lines, from flip-flops to fur parkas. (For in-depth information on buyout figures, you will need to access the article)

Store owners are also looking forward to a more timely flow of Juicy goods to fulfill the frenzied demand. Juicy products are currently sold in over 840 specialty stores in the US and 280 department stores. Eight-percent of the company's sales are in Europe, 5% in Canada and 2% in Japan.

The simple ability to fulfill the current demand for Juicy products has some speculating that the business will double in growth within a year. A steady supply of existing and new product lines has retailers anticipating the plus side of the buyout.

New product lines are expected to include cosmetics, fragrance, footwear, handbags as well as the first namesake Juicy boutique. All of this is expected to take a good portion of the production out of the United States - a difference in the original company vision of keeping all production within the country.

At the time of writing, the Juicy staff numbered 200. The two women have already begun to envision a home collection, including designer furniture.

Recounting the beginnings of the company, the pair tell how they met at a friend's shop in 1994, soon hooking up to launch Travis Jeans. In 1996, their t-shirt business took off under the brand, Juicy Couture. Juicy Jeans followed in 1999, with a launch party headlined by Taylor's husband and his band, Duran Duran. The party attracted a celebrity A-list who have helped to boost the brand's image.

In 2001, the Juicy Couture tracksuit became a hit with its form fitting cut and wonderful array of colors. A men's line of clothing, a baby business, and the new house party launch of Down Dog Couture Yoga apparel has added to the Juicy line.

Skaist-Levy and Taylor speculate that they will be able to keep up with the increased pace now that Liz Claiborne has taken over, but they don't want to see the Juicy line flood every department store in the country. They still want to retain their specialty niche. Moreover, they are avoiding the calling to produce their tracksuits in sizes for larger women, only recently adding a size 8, and contemplating a size 10 to quiet the retailers.

Nor do they want to enter the teen or tween market. They figure that young girls can wait until they grow up to be fit into or afford the Juicy label. However, they are already aware that many teens are already buying the clothing intended for their mothers.

To sum it up, Skaist-Levy and Gela Taylor are hoping that, with the aid of Liz Claiborne as their parent, they will be able to make Juicy into the next American brand.

A freely accessible article from "Juicy Couture meets their match." PR Newswire; 3/20/2003 http://www.prnewswire.co.uk/cgi/news/release?id=99753

Some excerpts follow:

"Liz Claiborne Inc. purchase 100% of Juicy Couture on the same day the US edition of Vogue Magazine declares 'Juicy Couture just may be The Future of Fashion."

"In 1996, with a pair of scissors, a bag of T-shirts and $200 between them, Juicy Couture co-designers, Pamela Skaist-Levy and Gela Taylor created the Juicy phenomenon. "We had originally intended to make sexy basics for our friends as presents" claims The Juicy's (as Vogue
Magazine's April 2003 issue refers to them), however they soon realised how contagious Juicy fever would become. "Juicy Couture has completely revolutionised fashion," says Skaist -Levy. Not only did the world take notice of the tracksuits, but Liz Claiborne Inc. quickly recognised Juicy's appeal and the talented women behind the influential label."

"It's amazing because while we remain in 100% control of the vision of the company and the product, Juicy's design concept and quality will not change at all. It's the best feeling to have the financial freedom and the uninhibited creative control all at once - It will be 'Juicy Mania' like no one has seen before", states Skaist-Levy. "Liz Claiborne Inc.'s financial backing will allow us to go leaps and bounds over anything that we have ever done in the past. We are ecstatic", claims Taylor. "Finally with our new partnership we can add a great dimension to this Juicy world!"

"Having been introduced by mutual friends in 1994, P&G's first project was producing a line of maternity jeans called Travis Jeans, what would soon become Juicy Couture. Pam, previously a milliner, had a strong background in fashion, having studied at the Fashion Institute of Design and Merchandising; while Gela was an actress who had held numerous roles in films, on television and on the stage. Their common bond? "We could never find fashionable basics that were girly, flattering and sexy!", expressed P&G in unison. The Juicys launched their line of T-shirts that immediately flew out of every store that carried them. Based on this success, P&G applied their designs to revolutionising denim wear. Juicy expanded into the jean market with the launch of Juicy Jeans in 1999. For the actual launch, Duran Duran reunited for the evening and performed at an exclusive venue for a high profile guest list. This natural progression, led the duo to later introduce a line of cashmere sweaters and scarves inspired by the styles and trends of the 80's London punk rock scene and such icons as Johnny Rotten and the Sex Pistols. Building on this momentum, in Spring 2001, P&G created a new Juicy twist to affordable fashion by designing the Juicy Tracksuit. "Why can't women be comfortable while still feeling sexy and chic?" asks Taylor. "As I travelled across the country last year, speaking with women about fashion, the only thing united was an obsessive interest in Juicy velours -should the tracksuit go to a dinner party? The dog run? The school cafeteria? A date? The in-laws? A cocktail? (Answer: Yes to all of the above.)", asks Sally Singer, Fashion Features Director at Vogue Magazine."

"Juicy Couture retail success has been reinforced by the immense celebrity appeal. "We have been very fortunate by our celebrity support. All of these celebrities really get it - while they are sent the best in fashion whether from Gucci, Versace, or Dior, they still choose Juicy!", claims Skaist-Levy.... For Spring/ Summer 2003, P&G launched Juicy Couture largest and most
elaborate collection ever. With five new line extensions, Juicy has rounded out the collection, creating a 'Juicy lifestyle'. New introductions include:

Down Dog Couture Yoga, Menswear, Swim, Baby, Sleepwear and Accessories: While Juicy's national appeal is growing by the day, Juicy international recognition is mirroring that growth and in instances surpasses it. In October 2002, a Juicy promotion in Harvey Nichols in London broke a store sales record! That evening The Juicy's hosted a party at 'Home House' (where Madonna used to stay in London). Guests included: Matthew Williamson, Yasmin & Simon Le Bon, Jodie & Jemma Kidd, Kate Driver, Alison Loehman, Debbie Harry, John Taylor, and Nick Rhodes from Duran Duran. For their Milan launch, Juicy took out their first advertisement ever. The ad not only generated such a high level of interest, but drove their retailers to see additional record breaking sales in first day alone!

Read more....

More about Pamela Skaist Pamela Skaist is not as complete a novice in the fashion industry as
you might think. She is a graduate of The Fashion Institute of Design & Merchandising. The following excerpt is from a "cached" web page. If you want to view the page, please paste the URL into your browser) "Throughout the apparel world, FIDM alumni are in top positions in their specialty fields. Notable graduates include fashion designers Pamela Skaist-Levy (owner of Juicy Couture),.."

"Designs on the Future - FIDM Prepares Students for Cutting-Edge Careers." Downtown News.com From the Proquest Database - "Designer Friends Stumble Onto Success; [Home Edition] ROSE-MARIE TURK. Los Angeles Times (pre-1997 Fulltext). Los Angeles, Calif.: Oct 9, 1987. pg. 20

Summary:

The article highlights the start of Skaist's earlier career as a milliner while working her way through the Fashion Institute of Design and Merchandising. Skaist was prompted to make her own hats when an ailment caused temporary baldness. Unable to buy expensive hats, she was forced to buy cheaper versions and add her own trimmings. Urged by an instructor to make millinery her career, she started a business called "Helmet," designing one-of-a kind hats which she sold in a friend's boutique.

The hats took off from the start, with the first store ordering two dozen. Expecting only 5 hats per order, original orders were on the number of 15.

Skaist, who believes she was destined to be a designer, imagines her next venture to be a line of clothing called "Uniforms." (Little did she know what the future would hold :) "Juicy/couture. Style.com "Juicy Couture Dives Into Swimwear." For Release.com

I hope these articles provide a bit more enlightenment into how the Juicy Label got off the ground. Don't forget, the connections these women have to the LA scene certainly did not hurt, I'm sure, when it came to finding buyers for their sample products, especially since much of the interest was generated in celebrity launches wihin a home setting or invitation-only party.

However it is still an interesting success story and these two women are to be admired, don't you think??? Search Stratey on Goolge, Highbeam, Proquest and Ebsco for the terms;

Juicy Couture
Juicy Clothing
Travis jeans
Pamela Skaist
Gela Taylor

Early beginnings of "Juicy Couture"- details about getting it started I stumbled on this discussion page about the origins of Juicy Couture. I have to admit I'm a fan of the brand. I have no doubt the founders of Juicy Couture had original ideas and worked hard to make their product successful. I won't knock them and I wouldn't dare belittle their success, but having a good idea come to fruition might possibly have been made infinitely easier by having a rock star husband. Gela Nash-Taylor is married to a member of Duran Duran, John Taylor. The financial backing and celebrity connections sure didn't hurt launching and continually promoting the brand. There is no harm in that. A lot of people with good ideas would love the kind of backing and launch pad. And the Tracy Ross mentioned in one entry is the daughter of Diana. With friends like these, how could you fail? And why should you.

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