What will gentlemen prefer next fall? Dressing up, down or somewhere in between? - Men - dollar volume down in men's wear - Brief Article - Statistical Data Included

DSN Retailing Today, April 8, 2002 by Emily Scardino

Clearly, a widening separation between work and play. Casual Friday may have vanished with the last century as men readopt a two-tiered wardrobe. Catering to this polarization may prove a sartorial light at the end of the tunnel. This trend is welcome, since men's wear has not been performing well.

"Men's wear Was definitely a weak link this past fall," states Doug Ewert, executive vice president of merchandising for The Men's Wearhouse. "Families typically prioritize dad last when it comes to allocation of discretionary money."

Dollar volume was down, down, down in every single category of men's wear, according to NPD Group figures. Even in jeans, there occurred a slight decrease of 0.4 percent. Tops and pants were true slackers industrywide--each with a sales decrease of about 10 percent.

Unit volume slid off in most categories, with one notable exception: Tailored clothing was up 12.1 percent.

This has given retailers and vendors serious pause regarding the casualization of society that has influenced planning the past few years. The time has come to reevaluate the mix.

"I think it hits the nail on the head to say that men's wear is shifting to opposite ends of the spectrum, in particular, to dress up," says Bill Compton, chairman and chief executive officer of Tropical Sportswear Int'l. "The look will not be so much a tie and shirt, but a silk knit top and flat-front or pleated pants with a sports jacket; they will sell very well this fall."

Ewert agrees, noting, "The good news is that there is pent-up demand for men's wear, which we are starting to see reflected in our numbers."

In keeping with the return to dressing up, The Men's Wearhouse is going back to emphasizing its core offering-suits--in its marketing, after an attempt to showcase its smaller casual assortment in advertising backfired, leading to a drop-off in sales.

JCPenney executives reported men's wear a strength in the business last year, due in no small part to the company being a bastion of affordable suits, a point of differentiation for the retailer's men's wear department.

While for years there's been talk about the return to dressing up, it is now gaining momentum. The economy has made those who have jobs focus on dressing to impress--Lehman Bros. and other financial institutions are back to dress codes requiring suits in New York.

Though suits are not part of the mix at the mass level, dressy looks are definitely news for fall. Microfiber pants are expected to be important at Wal-Mart, Ames and Kmart, mirroring the slick fabrications that have performed extremely well at upscale stores.

Even khakis-centric companies are coming out with alternative pants fabrications. VF Jeanswear's Timber Creek is launching a line of microfiber trousers at mass, hoping to lure customers from the mid-tier as the firm is adeptly showing possible in denim. The microfiber pants are being tested at Kmart for Father's Day before a launch across mass come fall.

"There's definitely been a slowdown in the casual part of the casual pants business," says Hector Torres, merchandiser for VF's Timber Creek line. He anticipates a 20 percent increase on top of a 12 percent increase in business due to more formal, finished, streamlined offerings in 2001. These include darker, dressier colors such as charcoal, brown and olive. "Our new Signature Collection features microfiber that plays into the trend of more formal dressing in the workplace."

The company also is launching Ultimate Khakis, again with more tailored makes. They feature value-added stain resistance with a soft hand--a major trend for Lee, Dickies Tropical Sportswear Int'l, and VF. Each is using various branded and proprietary technologies from Nanotech, Weatherproof and from DuPont, respectively.

Torres sees "fine-gauge sweaters with the newer dressier khakis" as a key look for mass as well.

Refined, super-fine gauges in solid tops, especially with a high V-neck, play into this dressier look. In keeping with the trend, "Fine-gauge sweaters are very important to our fall assortment," says Lorna Nagler, senior vice president and general merchandise manager of apparel at Kmart.

This look has trickled down from the high end, where it's still strong. Knits have "always been an important element for us," adds Ewert of The Men's Wearhouse's offering, which is fine-gauge mocks and polos in silk, silk/cotton and Italian Merino, from $35 to $60.

The company is lowering price points on its suits in 2002, staying under $500, versus suits that were $200 to $300 more in 2001, to make suiting available to the younger customer showing an interest in grown-up looks.

Notably in young men's, there's a surge toward suits--of sorts. H&M and Target carry deconstructed suiting separates, and the men's assortment is front and center at Express for Men. The latter was formerly Structure, definitely the weakest link at Limited Inc. in 2001. But instead of the Abercrombie & Fitch-esque sea of collegiate looks still dominating the assortment as they did at Structure, Express for Men is offering blazers and coordinating slacks. Signage at Express for Men attempts to attract a young, sophisticated working male in the vein of Armani Exchange (A/X) or Calvin Klein.