Kurt Geiger had plenty of big news on Wednesday, unveiling its new campaign starring Emily Ratajkowski, its new Chelsea collection and also announcing that it had a “standout year” in 2023/4 with earnings surging in high-double-digits and the current year also strong.
The shoes-to-bags specialist (or that should be bags-to-shoes as the biggest turnover is for accessories rather than footwear now) said sales jumped almost 10% to over £360 million/$446 million in the year to February 2024.
That was due to “rising global demand for its ‘affordable luxury’ handbags”, which are now the company’s biggest-selling products.
The London-headquartered 61-year-old business is one of the fastest-growing fashion brands in North America and the US has become its largest market from almost a standing start.
In 2018, its gross sales in North America were just £2.5 million/$3.1 million, but they’re £255 million/$318 million today, benefitting from celebrity adoption with Kylie Jenner, Julia Roberts, Jennifer Lopez, Viola Davis, Eva Longoria, Paris Hilton, and Afiya Bennett all being seen with its products.
Overall in FY23/4, net turnover rose 9.4% to £360.6 million/$447.1 million and EBITDA rose 34.4% to £40.4 million/$50.1 million.
Wholesale shipments growth was 30.4% to £91.4 million/$113.3 million and to North America that figure leapt 50% to £74.6 million/$92.5 million.
The company also said that KurtGeiger.us net turnover almost doubled (it was up 92.8%) to £29.3 million/$36.3 million.
Kurt Geiger also saw 9.5% own brand sales growth to reach £231.1 million/$287 million.
The year was boosted in its domestic market by the opening of its new Oxford Street flagship store in London too.
The retailer shared basic details of its growth in the year to date (February to June) as well, saying net turnover has risen 21.3% with handbags up 45%. Wholesale shipments have grown 38.1% (and 48.1% to North America alone) with turnover growth for the US web ops rising 104% and overall DTC own brand sales up 35%.
Denim products across both handbags and footwear have been some of the most popular of late, buoyed by demand for Western and Americana themed products.
It has also opened its first US DTC store in Orlando with trade 25% ahead of plan and another three US DTC stores set to open in Q4 this year in New York, Los Angeles, and San Diego. The US expansion won’t stop there though with the company in talks on another five stores for next year and a plan for 50 US locations longer term.
The company isn’t all about directly-operated standalones and also has a strong presence in global department stores including Bloomingdales and Nordstrom in the US, Harrods and Selfridges in the UK, and France’s Galeries Lafayette.
Standing out from the crowd
Kurt Geiger has been owned by London-based private equity firm Cinven and its management team since 2015.
CEO Neil Clifford said its success is due to the fact that “we stand out from the crowd. Our brand has [a] unique design aesthetic – fun, colourful and instantly recognisable. That, combined with a strong British DNA and an incredible value proposition – we’ve filled a white space with bold, maximalist silhouettes at an affordable price point”.
The firm’s handbags have an average price of £250 ($295) and Clifford added that “2024 is on track to smash all of our most ambitions predictions – with our global footprint growing exponentially, driven by handbags… now our largest product category in all markets. Not bad for an independent British brand, operating against a pretty tough economic back drop”.
New products
As for that collection launch and campaign starring Emily Ratajkowski, the Kurt Geiger brand’s newest offer is the Chelsea collection, named after the upscale London neighbourhood.
The company said the “project signals the continued evolution and stellar growth of Kurt Geiger, as the British designer launches a new classic for its fast-growing customer base”.
The brand’s signature eagle symbol is transformed for the debut of a crystallised halo buckle that appears on all Chelsea items.
And the campaign launches with the Hobo-style bag in a variety of sizes from tiny to giant with Ratajkowski photographed by Laura Coulson.
Chief creative officer Rebecca Farrar-Hockley said: “Emily has a strong sense of style and incredible personal confidence – and really, that’s why she is the face of our new Chelsea collection. Chelsea, with its feminine, curved lines is an ode to the modern woman. Through her work as a NY Times best-selling author, model, actress and entrepreneur Emily is a formidable advocate for female inclusivity and empowerment.
“Softness and curves are the key design themes here. This is a story of silhouette — the fluid, round shapes offer comfort and informality but still deliver a sharp, refined aesthetic that can see our new product family offering the Kurt Geiger woman versatility: day to night, casual to dressy.”
Other styles include a saddlebag in a leopard hair calf, black snake-effect leather, and a toffee faux fur; a camera style bag in black drenched snake-effect leather and black calf with antique brass hardware; a shopper bag in classic black, cherry red and umber brown; and a bucket bag in drenched black.
There are also Chelsea wallets and purses plus footwear including slingbacks, ankle boots, sandals, ballerina flats, platform heels and slip-ons.
Prices ranges from £70/$85 to £299/$325 and will sit alongside the wider collection.
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