Reed Krakoff is stepping down as Coach’s president and executive creative director after 16 years on the job.
Krakoff plans to focus on his eponymous label when his contract with Coach expires in June 2014.
Krakoff’s namesake brand is also owned by Coach, though WWD is reporting that the accessories (and soon to be full fledged ready-to-wear) brand is “exploring strategic options” for the two and a half-year-old Krakoff brand that could involve a sale to another group.
“[Krakoff's] contribution in evolving Coach from a house of American leather goods to a leading international accessories brand is immeasurable and we have great admiration and respect for Reed’s significant accomplishments,” Coach chairman and chief executive officer Lew Frankfort told WWD.
Frankfort is also stepping down in January 2014, when Victor Luis will succeed him as president and chief commercial officer, the Wall Street Journal is reporting.
The announcement was made along with the release of Coach’s fiscal third-quarter earnings, which rose 6.2%. The Journal notes that while Coach’s earnings have increased for the past three years, “efforts to protect the Coach image weakened its North American same-store sales during the fiscal second quarter as it lost share in its key U.S. handbag market to upstart luxury brands with aggressive promotions.”
We’ve noticed that Coach is already pushing its clothing collection (which, at this time, is limited to mostly coats) and shoes–and figure we’ll see more efforts to expand clothing to become that all-important “lifestyle brand.” Watch this space.