Reset for DvF. The US brand Diane von Furstenberg is laying off 75% of its 400 employees, while 18 out of 19 stores are being closed. CEO Sandra Campos and vice president of production Holliday Hofstatter are no longer on the board. A restart hypothesis? Yes, but a digital one, and with a focus on China.
Reset for DvF, and layoffs
The brand created in 1972 by designer Diane von Furstenberg, 73, has seen its difficulties worsen with the outbreak of Covid-19. Business of Fashion reported that most of the layoffs took place in May via video call. CEO Sandra Campos resigned. She had been hired in 2018 to “give a positive shake to the company by achieving good results with the increase of online sales and expanding the offer with more convenient product lines”.
Shops, only one left
Closing 18 of its 19 stores. The only one staying open is the one at the brand’s headquarters in New York. International activities in England and France will be closed. The goal is to change the sales model, moving from physical to digital retail, with the main focus on China. The company hired back designer Nathan Jenden for the third time.
Diane Von Furstenberg
Diane Von Furstenberg has been president of CFDA (Council of Fashion Designers of America) for 13 years and has been the mentor to many designers, including Alexander Wang. The brand is owned by the family, made up of the designer, current husband Barry Diller and children Alex and Tatiana von Furstenberg. Among the causes of the crisis, Business of Fashion cites the lack of appeal of the products, and a positioning in the middle segment of the market that for years has suffered from the competition of fast fashion. But also, more recently, second hand market.
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