“We are quite balanced in the approach of having this aspirational product that is $600 to $1,300 for that luxury customer, balanced with access points for the millennial customer that wants a part of the brand but can’t spend that,” said Craig Leavitt, CEO of Kate Spade.
The bridge bags brand, Kate Spade, decided to change one of its strategies which is cutting down its brands to focus on its core brand. Leavitt points that a bag at $148 is an accessible price for younger shoppers and he added that he is seeing the most growth internationally, in places such as China, at the higher price points.
China as one of the most growth internationally even if there is a higher price. For example, when a bag, costs $600, is just delivered to China is already selling out. “It has really exceeded our expectations” he said.