Handbag Maker Kate Spade Stockpiles For Christmas

The owner of the Coach and Kate Spade brands is stockpiling its handbags and other accessories ahead of Christmas, to ensure it can meet consumer demand amid ongoing delays in the delivery of products from suppliers.

We find ourselves in a dynamic where the consumer demand backdrop is strong, while supply chain remains challenging,” Scott Roe, the chief financial officer of Tapestry, told analysts yesterday. 야동사이트

The retailer, which also owns Stuart Weitzman, is working on “securing significant expedited deliveries, at an additional cost, in order to mitigate the impact of supply chain disruptions, at least through the Christmas period”

The Covid-19 pandemic has scrambled the global supply of materials and products, fueling inflation and making it hard for companies to swiftly meet demand.

While renewed outbreaks of the delta variant has shaken consumer confidence, shoppers have been eager to spend what they’ve saved during lockdowns.

Mr Roe said they expect higher levels of inventory starting in the first quarter.

“We are getting inventory in as fast as we can reasonably do, in order to keep the momentum of the business,” he said.

The higher cost of shipping those products by air, in particular, will push up costs. But Tapestry’s broader strategy of raising prices on its handbags and other accessories, while at the same time limiting discounts, will help to offset the increase, Mr Roe said, adding he wasn’t worried about increased inventories.

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