Shopping Centers Today -> August 2006
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WOMEN IN WHITE

Shirt maven Anne Fontaine will double number of stores next year

By Molly Knight

Anne Fontaine seems intent on saving customers a few trips to Paris and New York.The Brazilian-born, Paris-based designer, who for the past 10 years has been delighting customers with simple yet stunning, predominantly white shirts for women, is nearly doubling the number of her stores in the coming year. At press time her eponymous chain boasted 70 units throughout Belgium, China, France, Germany, Israel, Japan, the Netherlands, Switzerland, the U.K. and the U.S. Management says it plans to open an additional 60 stores by year-end. (It has not determined how many of those will be located in the U.S., where there are 19 currently.)

The chain likes upscale shopping centers, such as South Coast Plaza in Costa Mesa, Calif., and equally upscale streets, such as Chicago’s Michigan Avenue or Boston’s Boylston Street.

“I constantly have women coming up to me and saying things like, ‘Now I don’t have to go to Paris or New York to get my shirts,’ ” said Tisha Maley, vice president of leasing at Simon Property Group’s tony Phipps Plaza, Atlanta, where Anne Fontaine opened last summer. The 800-square-foot store sits in the mall’s center court between Saks and Neiman Marcus.

“It’s certainly a special boutique,” said Maley, suggesting that the store’s simple yet elegant clothes fill a niche in the U.S. “I wasn’t sure how quickly our customers would get it, but it was very well received from the moment it opened. I think people would be surprised to know that there are sophisticated Atlanta shoppers who rely on New York and Europe for their clothes. There have to be other markets in America where the same is true.”

Anne Fontaine’s offerings meet the needs of jet-setting customers whose tastes run to simplicity combined with refinement and who are always concerned with looking their best, says Robert Passikoff, president of Brand Keys, a New York City-based consulting firm.

“Their stuff is very natural and classic, but with a little twist,” said Passikoff. “And that’s what it’s all about. The fabric is high quality. The cuts are classy and hip, and the styles are there. Women are flocking to the stores, and this makes shopping centers around the world anxious to participate.”

Passikoff says one of the reasons Anne Fontaine appeals to so many is that it offers dozens of different takes on a white blouse, including button-downs, V necks, wraparounds and zip-ups. “Anne Fontaine puts all the pieces together,” said Passikoff. “In this situation, the whole is certainly larger than the sum of its parts.”

At the Madison Avenue shop on New York City’s affluent Upper East Side, a middle-aged woman eyes a simple dress shirt that retails for $250. A younger woman holds a white tank top ($125) with braided spaghetti straps against her skin. She worries that it is too transparent. Not to worry — she grabs a white Lycra undershirt ($80) that hangs on a nearby rack. Meanwhile, salesgirls flutter back and forth between the counter and the back of the store, fetching appropriate sizes.

“Their offerings are predominantly white, but they’re starting to add a little more black and navy-blue shirts too,” said Maley. “They introduce a new color each season. Sometimes it will be brown, sometimes pink and sometimes red. But when that specific season is over, so is that color. Good luck trying to find it there again.”

Whatever the company does with its color palette, though, it is staying clear of patterns. “You go there when you want solid colors,” said Maley. “That’s really what they’re great at.”

In keeping with the natural inspiration and feel of the clothes, each blouse comes with an attached plastic baggy filled with a potpourri of flower buds and tiny leaves. Passikoff calls this “a nice touch.”

“It’s just another thing they do that sets them apart,” said Passikoff. “It’s hard to think of any other stores that consistently do something like this, and you’re always looking for ways to differentiate yourself in the minds of consumers.”In addition to the clothes, Anne Fontaine sells soaps, candles and home fragrances.

Maley calls Anne Fontaine a “fabulous addition to Phipps Plaza’s tenant mix.” She calls the Atlanta store’s success “tremendous,” though she declined to offer sales per square foot figures. She did cite one good reason the chain will continue to do well, however. “Every woman on the face of the earth can use a good white blouse,” said Maley. “There are so many men’s stores that offer nice shirts, but who else is really offering this on the woman’s side? It’s not just men who need to look sharp for work and other social events. Women need blouses too.”

They certainly do, agrees Passikoff, and the chain is ready to provide them. “Anne Fontaine is someone who heard a cry and answered,” said Passikoff. “She has developed a definitive spin and a positioning in the marketplace, and she’s doing phenomenally. Aside from higher-end department stores which might have the same kinds of things in terms of quality, I don’t know that she has any competitors.”

Many consumers are turning to less expensive stores like the Gap and Old Navy for basic clothing needs, sources say, but Maley notes that Anne Fontaine’s core audience of 35-to-50-year-old women is willing to spend $125-$300 for a fine-quality white shirt because they’re interested in investing in attire that lasts.

“Twenty-year-olds might not have the wallet for this store, but otherwise I’m not seeing any kind of resistance to price points,” said Maley. “Anne’s shirts are made of beautiful cotton that washes really well. They really become signature pieces that women can pair with dress pants or jeans or skirts. Versatility is very valuable to the customer, and Anne designs her clothing with that in mind.”

In harmony with its simple designs, Anne Fontaine’s displays are clean and easy to navigate. “Instead of putting every size out on the racks, they only put one shirt out of each style,” said Maley (hence the busy sales assistants). “This allows customers to see as many shirts as possible. Sometimes you’ll look on the rack and they’ll only have size 8’s or size 6’s or 4’s, but they always make sure they’ve got your size in the back. They do this because they don’t want to crowd you with dozens of the same shirt.”

Passikoff and other insiders say Anne Fontaine’s story has yet to be fully written, but the aftermath of the doubling of its store count this year will provide a great indication of the future of the company. “We’ll have to wait and see what happens,” said Passikoff, “but I think Anne Fontaine will do extremely well.”

When it comes to fashion, Maley says, the average woman knows best. “With a good white shirt,” she said, “the possibilities are endless.”

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