Ugg plight

The Ugg manufacturer Deckers Outdoor Corp. (DECK) is faced with the same predicament Heelys Heelys and plastic sandals Crocs single product to support the enterprise has become increasingly tight, susceptibility trends, changes in cost brought serious blow, accounting for the company sells 80% of the the Ugg product in 2011 grew by 38% this year, with third-quarter profit fell 31 percent, Deckers even rumored to be sold.

In the case of the third quarter, sales fell 12%, Sterne, cheap uggs for sale Agee & Leach analyst Sam Poser expected Ugg sales will drop 1.8 percent last year, the the Ugg average of more than 22% growth in the previous three years.

Ugg's rise began in 2000, when the well-known host Oprah Winfrey Oprah will be included in its annual list of favorite products. Ugg the Deckers acquired in 1995 to a profit, Ugg become the essential thing in the female wardrobe, the 2011 sales of more than one billion U.S. dollars.

Success Xiao Xiao loser. One hand Ugg seems to no longer popular, on the one hand, competitors launched similar products.

Marketing expert Barbara Kahn of the Wharton School of the University of Pennsylvania, said Deckers overly concerned about the Ugg and Teva brand, cheap ugg classic short acquired in 2002, did not create a sufficient number of lifestyle brand portfolio. A brand you want to continue to meet our customers', must have greater flexibility in the investment portfolio. Barbara Kahn cited PVH (PVH) to avoid similar mistakes example: from single shirt manufacturer Van Heusen to acquire global brands, Calvin Klein and Tommy Hilfiger. Such examples are far more than one. British designer Deborah Lloyd handbag maker Kate Spade ailing expanded into a lifestyle brand series include clothes, shoes, jewelry, perfume and household items, and Kate Spade also reported that holders of Fifth & Pacific (FNP) 22% quarterly sales increase.

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