Coach Changes Its Name to Tapestry
October 11 2017 - 2:58PM
Dow Jones News
By Suzanne Kapner
The corporate name-change game has a new player: Coach Inc. is
becoming Tapestry Inc., attempting to reflect the multiple brands,
including Kate Spade, now under its umbrella.
Founded in 1941 as a maker of leather goods and accessories,
Coach didn't acquire another company until 74 years later when it
bought Stuart Weitzman, an the upscale shoe brand known for its
over-the-knee boots. In July, it completed the purchase of Kate
Spade & Co., a maker of handbags, apparel, shoes and other
accessories that previously had participated in some renaming of
its own.
It is part of a strategy by Coach Inc. Chief Executive Victor
Luis, who has set out to create an American luxury conglomerate
modeled after LVMH Moët Hennessy Louis Vuitton SE and Kering, home
to Gucci, Balenciaga and other European designer brands.
"We are now at a defining moment in our corporate reinvention,
having evolved from a mono-brand specialty retailer" to a house of
brands, Mr. Luis said in a press release Wednesday.
Coach's name change, which takes effect Oct. 31, is the latest
in a long line of corporate rebranding efforts, some more
successful than others.
Google Inc. restructured into Alphabet Inc. Tribune Publishing
Co. was truncated to Tronc Inc. Philip Morris Co. morphed into
Altria Group. Pinault-Printemps Redoute abbreviated itself to PPR
before adopting the entirely new name of Kering.
Liz Claiborne Inc. was re-christened Fifth & Pacific Inc.
and then Kate Spade & Co., and designer Kate Spade herself, no
longer affiliated with the company, changed her name to Kate
Valentine to reflect her new shoe and handbag line, Frances
Valentine.
And earlier this year, Verizon Communications Inc. said its
newly acquired Yahoo and AOL businesses would be housed under the
name Oath.
Companies rename themselves for a variety of reasons. Sometimes
it is to escape unwanted associations.
" Time Warner had a reputation for poor service," said Bob
Killian, the founder of Killian Branding, referring to the cable
company that changed its name to Spectrum following its 2016
acquisition by Charter Communications Inc. "The name change was an
attempt to change consumer perceptions of the company." A Charter
spokesman said the company already had begun renaming its cable
operations Spectrum before the acquisition, and changed Time
Warner's name to have one consistent brand.
This week, The Wall Street Journal and other news outlets
reported that Weinstein Co. is considering changing its name amid
allegations that Harvey Weinstein, its former co-chairman, sexually
harassed women for decades.
In the case of Coach, the new name reflects a new corporate
structure. Tapestry was chosen because it represents "the idea of
weaving together the brands to form something beautiful," a Coach
spokeswoman said.
"What's important in choosing a name is telling a story," said
Allen Adamson, founder of BrandSimple Consulting. "A story about
weaving together brands is not a bad approach."
But corporate rebranding rarely resonates beyond Wall Street, he
said. "For most people, it will still be the company that owns
Coach."
Write to Suzanne Kapner at Suzanne.Kapner@wsj.com
(END) Dow Jones Newswires
October 11, 2017 14:43 ET (18:43 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
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